Johnson & Johnson Explores Sale of Orthopedics Business
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 19 2026
0mins
Should l Buy JNJ?
Source: seekingalpha
- Potential Deal Value: Johnson & Johnson is exploring the sale of its orthopedics business, DePuy Synthes, with a potential deal value of at least $20 billion, which could significantly enhance the company's financial flexibility and capital allocation efficiency.
- Private Equity Interest: Several large private equity firms have expressed interest in the transaction, and J&J is reportedly preparing documents in advance of potential negotiations, indicating strong market recognition of its orthopedics business and positive investor sentiment.
- Revenue Performance: DePuy Synthes generated $9.3 billion in revenue in 2025, and the sale plan may impact J&J's overall revenue structure while providing more resources to focus on core business and innovation.
- Strategic Restructuring: In its Q3 2025 earnings call, J&J mentioned considering the spin-off of its orthopedics unit, a move that could optimize its business portfolio and pave the way for future growth strategies.
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Analyst Views on JNJ
Wall Street analysts forecast JNJ stock price to fall
20 Analyst Rating
13 Buy
7 Hold
0 Sell
Moderate Buy
Current: 244.120
Low
190.00
Averages
218.50
High
240.00
Current: 244.120
Low
190.00
Averages
218.50
High
240.00
About JNJ
Johnson & Johnson and its subsidiaries are engaged in the research and development, manufacture, and sale of a range of products in the healthcare field. The Company’s segments include Innovative Medicine and MedTech. The Innovative Medicine segment is focused on various therapeutic areas, including immunology, infectious diseases, neuroscience, oncology, pulmonary hypertension, cardiovascular and metabolism. Its products include REMICADE (infliximab), SIMPONI (golimumab), SIMPONI ARIA (golimumab), STELARA (ustekinumab), TREMFYA (guselkumab), EDURANT (rilpivirine), and INVEGA SUSTENNA/XEPLION (paliperidone palmitate). The MedTech segment includes a portfolio of products used in cardiovascular, orthopedics, surgery, and vision categories. The Cardiovascular portfolio includes electrophysiology products to treat heart rhythm disorders and circulatory restoration products (Shockwave) for the treatment of calcified coronary artery disease (CAD) and peripheral artery disease (PAD).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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