Filed under: Products and services, Johnson and Johnson (JNJ), Options, Technical Analysis

Johnson & Johnson (NYSE: JNJ) shares are rising today even after the company announced on Friday evening that its Cordis subsidiary issued a world-wide recall for about 132,000 balloon catheters used to expand blood vessels. The company had determined that problems with the devices could potentially cause injury or death, though no deaths have been reported. JNJ says the recall will not have a significant financial affect on the company and investors seem to agree with this assessment, as the stock has been trading slightly higher this morning. If you think that the company won’t fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on JNJ.

After hitting a one-year low of $59.72 in July, the stock hit a one-year high of $68.85 earlier this month. JNJ opened this morning at $62.66. So far today the stock has hit a low of $62.50 and a high of $63.05. As of 10:30, JNJ is trading at $62.85, up $0.39 (0.6%). The chart for JNJ looks bullish but deteriorating, while S&P gives the stock a positive 4 STARS (out of 5) buy rating.

Continue reading Johnson & Johnson (JNJ) unfazed by catheter recall

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This entry was posted on Monday, January 28th, 2008 at 6:21 pm and is filed under Stocks Money News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.