Go to wwwjnjcom Under the Investor heading look at the quar

Go to www.jnj.com .

Under the “Investor” heading, look at the quarterly listing of dividends paid, comment on the growth in dividends and the pattern of payment. What are your expectations for future growth of dividends?

Under “Stock Information”, click on \"Stock Quote/Chart\" on the same page. Under \"Period,\" click on “History” and select the dates in the calendars for the past five years. Then click “Refresh.” By approximately what percentage, has the price of Johnson & Johnson stock changed over the last five years?

Click on \"Trading Statistics.\" Find \"Percent of Shares Outstanding Held by Institutional Investors.\" Anything over 50 percent is considered high. How does Johnson & Johnson fare on this statistic?

Write a 1-2 page summary of your findings as it relates to this learning plan.

Solution

a). As shown in the chart of dividend yield in the company stock, there is a continuous growth in the dividend payment to shareholders from last 20 years. But in the financial year of 2018 company has declared dividend of only .84 which is comparatively very low from last 15 years. This might be the case of the earnings of the company got effected because after all dividend is given out of the profits of the company. But in my opinion this share is still in upward movement in future as from the last 20 years company is continuously in earning upward move and has given good dividend to his shareholders.

In my opinion as Johnson and Johnson has good management so they will be able to regain their earnings in coming financial year and next year dividend percentage will be improved.

b). In april 2013 the price of the share was around 80$ which is now 140$ almost near to 52 week high of 148$. The chart is clearly showing strong upward movement in stock on annual basis. Almost over the 5 years the company has given approx 80% return in the share price along with the yearly dividend regularly from last 5 years. Company is giving huge return even better far better then any bank investment plan.

c). Institutional Ownership          66.19%

Total Shares Outstanding (millions)          2,687

Total Value of Holdings (millions)              $263,434

Increased Positions         939         49,951,775

Decreased Positions       1,192     48,427,746

Held Positions   261         1,679,895,573

Total Institutional Shares              2,392     1,778,275,094