The J&J Surprise
At the start of 2016, Johnson & Johnson (NYSE: JNJ) was expected to post an 8.06% total return for the year, but its stock was at a total return of 14.7% year to date ahead of earnings, and it was up 12.3% after considering earnings. What’s more, after the adjusted closing price of $102.72 on December 31, 2015, shares dipped under $97 in January.
Shares of Johnson & Johnson were last seen at $115.41. The total market cap is $316 billion. The stock has a consensus price target of $124.25 and a 52-week range of $94.28 to $126.07.
- J&J beats earnings estimates.
- J&J has raised dividends for over 50 years.
- New drug approved to treat Crohn’s disease.
Mmm Mmm Good!
3M Co. (NYSE: MMM) investors were expecting to get a 8.51% total return in 2016, but its shares were up about 15% earlier and were last seen up over 12% so far in 2016. The stock is also up about 17% over a year ago.
Shares of 3M were trading at $169.95, with a consensus price target of $180.87 and a 52-week range of $134.64 to $182.27. The market cap is $103 billion. Other issues to consider on 3M are as follows:
- 3M raised dividends for over 50 years.
- Four dividend stocks for both Clinton or Trump.
- Merrill Lynch has four aristocrat picks, including 3M.
A Shocker on Big Oil
Exxon Mobil Corp. (NYSE: XOM) and Chevron Corp. (NYSE: CVX) are included here for a special mention. Their performance has managed to outperform expectations when you consider expected dividends. If you consider how poor the oil patch was at the start of 2016 and into February (when oil challenged $30 per barrel), this almost seems amazing and too good to be true.
Analysts were calling for a 10.90% expected total return for Exxon in 2016 and a 15.40% total return for Chevron. Now Exxon is up 14% and Chevron up 16%. These may not seem like massive outperformers, but they have to be kept in mind on a relative basis.
Shares of Exxon were at $86.77. The consensus price target is $71.55, and the 52-week range is $71.55 to $95.55. The company has a total market cap of $360 billion. Chevron shares were at $102.70, in a 52-week range of $75.33 to $107.58. The consensus price target is $111.87. The market cap is$192 billion.
Other key calls and articles for Exxon and Chevron were seen as follows:
- Exxon is one of the world’s top 100 economies.
- Companies raising their dividends for 25 years in a row.
- Four big oil stocks to own forever.
- Oil could be heading to $60.
As of Tuesday’s closing bell, the Dow was trading at 18,161.94. That is still down 3% from the 52-week high of 18,722.61, but it is also up 4.2% from the December 31, 2015, closing price of 17,425.03. Stay tuned.