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J&J earnings preview: Wall Street is still optimistic despite company’s legal issues

Sarah Toy
J&J earnings preview: Wall Street is still optimistic despite company’s legal issues

Johnson & Johnson is scheduled to report second-quarter earnings before the market open on Tuesday. Most recent news about J&J (JNJ)  has been about its legal problems, but some analysts still think the future is bright for the baby-powder maker, thanks to a highly diversified slate of products spanning consumer health, pharmaceuticals and medical devices. “We see JNJ’s diversified portfolio... as a potential strength,” analysts at Goldman Sachs wrote in a note to clients in May. That diversification means the company “will be less impacted by potential drug pricing headlines [and] policy proposals ahead of the 2020 presidential election, as was the case in 2015,” they wrote.