02:35 PM EDT, 10/15/2025 (MT Newswires) -- Johnson & Johnson ( JNJ ) reported stronger-than-expected Q3 results amid growth in its medical technology and innovative medicine divisions, driving momentum to accelerate underlying revenue growth at the upper end of its 5% to 7% long-term growth plan, RBC Capital Markets said in a note emailed Wednesday.

Adjusted operational sales rose 4.4% year over year, beating RBC's 3.4% estimate, led by MedTech up 5.7% and innovative medicine up 3.7%, or 16% excluding Stelara, RBC said. Adjusted earnings per share of $2.80 topped consensus by $0.04.

RBC said J&J's guidance points to accelerating revenue and margin growth, including 3.8% adjusted operational sales growth and 8.7% EPS growth in 2025, despite the loss of Stelara exclusivity and merger-related dilution. The firm also noted that the orthopedics separation could add about 75 basis points to sales and earnings growth.

RBC maintained its outperform rating and $209 price target.

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