Why Q3 was a downer
Johnson & Johnson (JNJ), a Dow 30 (DIA) stock and one of only two remaining AAA-rated credits among US-based corporations, reported earnings Tuesday. Using generally accepted accounting principles prevalent in the United States - the only way J&J used to report financial results to the public until just a few years ago - the company had a poor quarter:
- Q3 2017: EPS = $1.37
- Q3 2016: EPS = $1.53
- Comparison: EPS down 10.5% yoy.
This 16 cent per-share EPS decline brought the 9-month EPS comparison from marginally lower in the first 6 months to clearly lower:
