Johnson & Johnson stock gains after profit and sales beat expectations, while full-year outlook was cut

Shares of Johnson & Johnson
JNJ,
-2.24%
gained 0.7% in premarket trading Tuesday, after the pharmaceutical and consumer health products company reported second-quarter profit and sales that beat expectations, offsetting a reduced full-year earnings outlook. Net earnings fell to $4.81 billion, or $1.80 a share, from $6.28 billion, or $2.35 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $2.59 topped the FactSet consensus of $2.54. Sales grew 3.0% to $24.02 billion, above the FactSet consensus of $23.77 billion, as consumer health and pharmaceutical sales beat expectations while MedTech sales fell shy. J&J said sales of its Janssen COVID-19 vaccine (ad26.COV2.S) for the prevent of the SARS-CoV-2 virus contributed to growth in pharmaceutical sales. For 2022, J&J cut its guidance ranges for adjusted EPS to $10.00 to $10.10 from $10.15 to $10.35 and for sales to $93.3 billion to $94.3 billion from $94.8 billion to $95.8 billion. The stock has gained 1.9% year to date through Monday while the Dow Jones Industrial Average
DJIA,
-0.69%
has lost 14.5%.