In this article, I’ll show you how to buy Johnson & Johnson shares in the UK. Buying Johnson & Johnson stocks and shares is easy and quick, and this article explains the six steps to get started. I will also provide you with the vital information you need to start your investing journey.
Also consider: Stocks to buy today
This is just a suggestive Johnson & Johnson shares guide and doesn’t amount to or constitute investment advice. Keep in mind that purchasing, investing, and trading Johnson & Johnson shares and stocks come with a high risk to your capital and nothing is assured.
- Choose a trading platform. If you’re unsure which one to choose, see my guide to the best trading platforms UK.
- Open an account. You will need your national insurance number, personal ID and bank details.
- Enter payment details. Fund your new trading account via a debit card or bank transfer.
- Search for the stock code on your trading platform. Search for “JNJ”.
- Research Johnson & Johnson shares information. Your trading platform can show you the latest information for Johnson & Johnson.
- Now buy your Johnson & Johnson shares. Go ahead if you’re happy to buy Johnson & Johnson shares.
Johnson & Johnson (JNJ) Live share price
76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
For your own good reasons, you have decided to buy Johnson & Johnson shares in the UK. That is an excellent investment idea. Let’s take a look at what lies ahead before you can officially claim that you’re a stockholder of the Johnson & Johnson Company. The procedure is similar to any other company shares and stocks, and this article explains how to purchase Johnson & Johnson shares online in particular.
Step 1: Choose the Right Online Broker
To buy shares of any company, you need to have an investment account. If you haven’t created one, or you’re looking for a new one, just visit the list of the top trading platform available below this page and pick your favourite one.
You’ll need to choose a trading platform that offers easy and quick stock trading with no or low trading fees and minimums. Check to ensure the trading platform offers your favourite brokerage account. The markets the trading platform allows you to access are another important feature to look out for. Remember, not all brokers can allow you to access stocks on all markets available in the world.
However, a good online broker will enable you to access all popular markets, including the New York Stock exchange and the London Stock Exchange. Apart from markets, commissions and fees, you also need to make sure that different types of investments, funds and stocks are available to trade.
Another key consideration is whether you can open an investment account with the online broker in question because of your nationality. A good online broker, for starters, focuses on customer support, cost, educational resources, functionality and simplicity.
Step 2: Create a Brokerage Account
You must create an account before you can begin trading. The process of opening a brokerage account with your online broker of choice is similar to that of creating a regular bank account. Since it’s an online process, you need to have a computer or smartphone with a stable internet connection.
Depending on your online broker, your location and the rules needed for creating a new stock trading account, the time required for opening one can vary. While some trading platforms take a shorter time to create and verify your account, others take anywhere between one and three days.
Most brokers also have extensive procedures or processes they will require you to follow for regulations, risk compliance or other reasons. After opening an account to enjoy your investing journey, you need to be sure that the deposited money and your sensitive information are safe.
Step 3: Confirm Your Bank Details and Deposit Money
After creating a brokerage account, you’ll need to confirm your bank details and verify your information before you can deposit money. When verifying your account, you’ll be required to upload a few identification documents, which include a passport or driver’s license and a bank statement or utility bill.
Once your brokerage account is verified, you will be able to pay cash or make a deposit via Bank Transfer, debit card, credit card, or any of the leading electronic wallets such as PayPal, Neteller or Skrill.
Step 4: Search for Johnson & Johnson stock Code on your Trading Platform
Up to this moment, your investment account is ready, meaning you can start buying shares online. To start buying shares in Johnson & Johnson, you’ll need to enter the ticker symbol JNJ into the search field and choose the first option when the results appear.
Use the ticker symbol anytime you want to buy or trade Johnson & Johnson shares or find out any important information about the company shares, including the current stock price and dividend payments.
Step 5: Research Johnson & Johnson Stock Online
Johnson & Johnson is presently a household name. But does this mean that it’s the best time to add Johnson and Johnson stock to your current portfolio? Researching this drug manufacturer to determine whether or not to invest in JNJ stock is crucial.
When researching, you must know all company fundamentals, including past performance, ownership, and investment strategy. If you are unable to find all the details you need about Johnson & Jonson, JNJ, you can look for personal advice from experts in the world of investment.
Step 6: Buy Johnson & Johnson Shares
After researching and you’re convinced that Johnson & Johnson stock is worth your time, log into your broker account, specify the number of shares you want to buy and press the Buy button to complete your order. After buying Johnson & Johnson shares, you are not done yet.
You should track your Johnson & Johnson Company position over time. Use the best investment portfolio tracker platforms or apps to follow the position over time. By monitoring Johnson Johnson’s stock, you can be able to see how its past and latest performances align with your investment strategy.
Johnson & Johnson Company: A Short History
Johnson & Johnson is a multinational company established in 1886. The company manufactures consumer packaged goods, pharmaceuticals and medical devices. Johnson & Johnson is one of the most valuable companies in the world. It is also one of the two American-based companies that have an AAA prime rating, which is higher than that of the US Government.
Established by three brothers: Edward, James and Robert Johnson, who were working in a medical products corporation before establishing their corporation, Johnson & Johnson released its first-aid kit in 1888. Johnson & Johnson started its expansion in the early 1920s, opening offices in Canada and the United Kingdom.
The business continued expanding by buying other companies that produce health care products and services, including Actelion, Ethicon, DePuy, Janssen Pharmaceuticals and Janssen Biotech. Robert Wood Johnson was the company’s first president since it was incorporated in 1887 and across the 19th century.
During his leadership, Robert Wood Johnson worked hard to boost sanitation practices. The Johnson & Johnson Company went public in an IPO at £37.50 a share on the NYSE under the stock code JNJ. And after adjusting for dividends and splits, Johnson & Johnson stock was trading under £1 a share in mid-1970 and by early 1990, it had reached £6.70 a share. By October 1999, the JNJ stock had reached £52.40.
Up to December 2012, the JNJ shares traded anywhere between £50 and £70. Since then, it has gained steadily after breaking out of that range and presently trades at approximately £141.80 a share.
What is Johnson & Johnson? And Should I Invest? Company Overview
JNJ is a pharmaceutical company that manufactures and sells consumer health products and medical drugs. As already mentioned, the firm creates products in three major areas: medical devices, consumer healthcare and pharmaceuticals. The pharmaceuticals section contributes over half of the company’s revenue, meaning creating new drug treatments is the business’s cornerstone.
Healthcare stocks are the most attractive since their products are always in high demand. They’re more resistant to cycles of economics and spend much time on research, where any massive breakthroughs result in huge improvements to public health as well as the bottom line of the business.
Johnson Johnson’s pharmaceutical section provides a massive range of medical products, not only for infection treatment but also for other medical purposes, which include vaccines, pain management, oncology, neurology, dermatology, and immunology, among others.
When it comes to Johnson Johnson’s consumer section, several products for skin care, oral care, and over-the-counter medical and nutritional care products are available. The diagnostics and medical services section provides spinal care, sports medicine, women’s health, surgical care and orthopaedic joint reconstruction products.
Before you add JNJ stock to your investment portfolio, be sure to consider these important points:
Economic/Stock Market Downturn
Even defensive stocks such as Johnson & Johnson can lose some trade value during a severe economic or stock market downturn. Reduced expendable income and worsening employment numbers can significantly reduce Johnson Johnson’s services and product demand. This slows down revenue collection, which would significantly affect the earnings per share ratio of the company and, ultimately, its dividend payments and share price.
The total number of lawsuits pending against the firm has increased over time, and as of 2018, it exceeded 100,000. These lawsuits have been filed for most products made by Johnson & Johnson.
The lawsuits also include side effects in pharmaceuticals and defects in medical gadgets, which account for more than 24,000 lawsuits for the firm’s vaginal pelvic mesh product that caused urinary issues, recurring incontinence, infection and erosion problems in women. Payouts for multiple massive lawsuits could negatively impact the earnings and dividends of the corporation, as well as the price of stocks.
Stock near Historical Highs
The last thing to consider is the all-time high for Johnson & Johnson stock, which was £147.36 a share. This was only over 4% higher compared to the current JNJ stock price of £140.69 a share. The high price reduces the chances of capital appreciation in not only the future but also its dividend yield when you invest your money in it.
You can buy Johnson & Johnson JNJ shares right now as long as you have a funded account with one of the trusted and reputable online brokers. If you want to buy JNJ shares for long-term capital appreciation and dividend income, consider purchasing your stock via a discount broker online.
While you mightn’t get access to the best research resources and other add-ons offered by full-service online brokers, you’d pay a smaller fee. Remember, how you purchase Johnson & Johnson stock is equally vital as where you trade, so ensure you choose the right broker that you’ll definitely get on the list of top trading platforms.
If you live in the UK and think that JNJ shares are a perfect investment, you might find it challenging to purchase stock from this company without using CFDs. Apart from trading CFDs, you can also use financial arrangements made using different derivatives in financial markets. These derivatives help settle differences between open and closing prices with money as long as you carry out a thorough technical analysis.
Trading CFDs offer a perfect way to invest if you want to generate more profits in a shorter period. Such stock trades are excellently executed using trading CFDs that enable traders to trade against stock value without taking ownership of it.
When using trading CFDs, investors buy and sell Johnson Johnson’s stocks faster to make money from short-term fluctuations in share prices. Many investors love CFD trading since they provide room for trading with leverage.
You can also buy Johnson & Johnson stock through share dealing. Share dealing involves holding Johnson Johnson’s shares over the long-term. When investing your capital this way, you need to carry out a thorough fundamental analysis of Johnson & Johnson. As an investor, you need to put your funds in stocks that you believe will increase in trade value.
How to Find the Best Trading Apps or Trading Platforms
Share trading services vary from one trading platform to another. As a result, you must know what to look out for when looking for the best trading app or platform. Here are five things to think about:
Types of Trading Accounts
Platforms offer different types of accounts. The most popular ones are Self-Invested Personal Pension Accounts and ISA accounts. Each of these accounts comes with some advantages and disadvantages. For example, a Self-Invested Personal Account allows you to enjoy tax-free trading benefits. Research well and understand your investment goals before picking a trading account.
Shares, Funds or Stocks & Funds?
Do you want to trade in funds, shares or stocks and funds? If you’re interested in trading or investing in funds, this may determine your final trading website. If you’re interested in Investments Trusts, Unit Trusts, ETFs or Open Ended Investment Companies, you’ll need to check with your platform of choice to ensure your preferred option is available.
Charging structures for funds always vary, and the effect of such charges can be massive over time. With that in mind, check the charging structure of your platform carefully.
Tools and Customer Service
How easy is the brokerage platform to use in terms of buying and selling shares? Aside from a well-optimised website that allows you to buy and sell shares, a mobile app is also a helpful tool.
Many apps alert investors while on the go, and most people are willing to pay additional or other fees for a broker that offers useful applications, services and tools. Some trading platforms also offer financial advice that helps investors to make the most informed decisions that can lead to excellent future results.
Your Trading Strategy
Ask yourself how you want to trade. Currently, there are various ways to trade Johnson & Johnson stocks online. These ways include short-term trading via CFDs and spread betting and long-term trading through share dealing. Spread bets and CFDs are popular among short-term investors since losses and profits are realised immediately.
You will only know if JNJ shares are undervalued or overvalued if you calculate the P/E ratio and PEG ratio of the firm. To calculate the PEG ratio, divide the PE ratio of Johnson & Johnson by its growth.
On the other hand, divide the current share price of Johnson & Johnson by its per-share earnings to obtain the P/E ratio. If you do that, you will get a P/E ratio of about 24x and a PEG ratio of 3.6258. These two metrics show that the JNJ shares are undervalued.
Whether you’re a new investor or an experienced one, you need to know the fundamentals of how to purchase, trade and sell Johnson & Johnson shares. Here is what each process involves.
Buying JNJ Shares
The buying process requires you to find a good trading app or website, create an account and place either a limit order or market order for Johnson & Johnson shares. The six steps further up this article will help you invest in JNJ.
Selling JNJ Shares
If you want to invest in JNJ and earn profits regularly, then you should sell shares at a higher price compared to the one you bought at. In terms of selling, you can either hold on and wait for the selling price to increase or sell your stock once you realise a slight increase in value and use the funds on other investments.
To avoid losing money rapidly, you can sell your shares when the stock falls since you purchased it and predict that it may fall even further. Doing so will help you reduce your losses by selling the shares.
Trading involves buying and selling shares over a shorter period targeting to make smaller profits regularly. That means you can earn profits within a shorter time and investment elsewhere.
However, trading involves a high risk of losing money rapidly. It’s recommended to make investments for a minimum of six months, especially if you’re inexperienced, to avoid the risks.
Despite most brokerages advertising zero trading commissions, some regulatory authorities may still charge a small fee to fund some of their operations. That means aside from the stock exchange commission’s fees, you may pay unavoidable fees when trading shares or other investments. Ensure the fees are minor and don’t significantly affect your inclination to invest in Johnson & Johnson stock.
How Can I Reduce Risk in Stock trading?
As you already know, buying, investing, and trading shares come with a lot of risks. If you want to reduce the risks, be sure to review the following tips.
- Avoid Investing Scams: You should never accept any offer that looks too good to be true, as well as any that seeks upfront payment without explaining how it’ll use your funds.
- Diversify Your Portfolio: If you decide to purchase Johnson & Johnson shares, be sure to buy other ideal investments to balance out your current portfolio.
Is Johnson & Johnson Listed on London Stock Exchange?
How Can I Buy Shares in the UK?
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.