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Stock Comparison

JNJ vs KO: Which Is the Better Pick in 2026?

A head-to-head comparison of Johnson & Johnson and The Coca-Cola Company covering yield, cost, risk, and income potential.

Data updated July 21, 2026

Side-by-side snapshot

JNJKO
Full nameJohnson & JohnsonThe Coca-Cola Company
Issuer
Last Close$248.82 as of July 21, 2026$82.12 as of July 21, 2026
Distribution yield2.05%2.55%
Distribution Safety Score™ 10099
Expense ratio
AUM
Distribution frequencyQuarterlyQuarterly
Underlying index
ObjectiveResearches, develops, manufactures, and sells healthcare products including pharmaceuticals, medical devices, and consumer health products worldwide.Manufactures, distributes, and markets nonalcoholic beverage concentrates, syrups, and finished beverages worldwide.
Asset classEquityEquity
Inception dateN/AN/A
Beta0.2350.349
Last dividend$1.3400$0.5300
Ex-dividend date08/25/202609/15/2026

Bottom lineChoose JNJ if you want direct ownership of the underlying business, with no fund wrapper or management fee. Choose KO if you want higher current income (2.55% vs 2.05% for JNJ).

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Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

JNJ has outpaced KO over the trailing twelve months, posting a 54.28% total return against 20.52%. The lead holds up over 10 years too: JNJ has compounded at 10.01% a year, against 9.41% for KO. Figures are total returns: price change plus every distribution reinvested.

SymbolYTD1Y3Y5Y10YSince Jan 1962Volatility Sharpe Sortino Max drawdown
JNJ20.64%54.28%17.05%11.27%10.01%13.01%17.9%0.640.91-15.9%
KO20.40%20.52%12.86%11.30%9.41%12.04%16.2%0.480.71-16.3%

Total return with all distributions reinvested on the ex-dividend date, split-adjusted, as of July 20, 2026. YTD and 1Y are cumulative; longer windows are annualized. “Since Jan 1962” measures every fund from January 2, 1962 — the youngest fund's first trading day — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Quick verdict

JNJ (Johnson & Johnson) and KO (The Coca-Cola Company) are both quarterly-pay dividend-paying stocks, but they take different approaches.

KO offers the higher yield at 2.55% vs 2.05% for JNJ. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

Deep dive

Yield & income

On a $10,000 investment, JNJ would generate roughly $17.08/month, while KO would produce $21.25/month, at current distribution rates. Both pay quarterly distributions.

JNJ yield2.05%
KO yield2.55%
Monthly diff on $10K$4.17

Strategy & risk

JNJ is a stock, while KO is a stock. Beta is 0.235 for JNJ and 0.349 for KO, indicating JNJ is less volatile relative to the market.

JNJ beta0.235
KO beta0.349

Security details

JNJ (Johnson & Johnson) is a stock. KO (The Coca-Cola Company) is a stock.

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Frequently asked questions

Is JNJ or KO better for dividend income?

It depends on your goals. KO currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

What is the difference between JNJ and KO?

JNJ (Johnson & Johnson) is a stock, while KO (The Coca-Cola Company) is a stock. They are issued by — and — respectively.

Can I hold both JNJ and KO?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

How much income does $10,000 in JNJ vs KO generate?

At current rates, $10,000 in JNJ would generate roughly $17.08 per month ($205.00 annually). The same in KO would produce about $21.25 per month ($255.00 annually).

Which has performed better historically, JNJ or KO?

JNJ has outpaced KO over the trailing twelve months, posting a 54.28% total return against 20.52%. The lead holds up over 10 years too: JNJ has compounded at 10.01% a year, against 9.41% for KO. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

JNJ vs KO — at a glance

Generated July 2026 from current fund data.

Overview

Johnson & Johnson and Coca-Cola are two of America's oldest blue-chip dividend stocks, both trading since 1962. JNJ operates in pharmaceuticals, medical devices, and consumer health; KO manufactures and distributes nonalcoholic beverages globally. The core distinction: JNJ is a healthcare conglomerate with defensive pharmaceutical exposure and lower volatility, while KO is a consumer staples company dependent on beverage consumption patterns and carries materially higher yield.

How they differ

JNJ trades at $256.98 with a 1.97% distribution rate and a beta of 0.235, marking it as the lower-volatility option of the pair. KO trades at $83.49 with a 2.49% yield and a beta of 0.349—52 basis points more income per dollar invested, but with meaningfully higher price swings relative to the market. The second distinction is structural: JNJ's revenue comes from prescription drugs, biologics, and durable medical devices with less sensitivity to discretionary consumer spending; KO's depends on volume growth and pricing power in beverage markets where consumption can contract during recessions or slowdowns in emerging markets. Third, JNJ's lower beta and pharmaceutical focus suggest a business model that cushions downturns, while KO's higher yield reflects investor appetite for its income but also carries the risk that yield sustainability rests on volume and international growth in mature and developing markets.

Who each is best for

JNJ: Fits investors prioritizing capital preservation and modest income growth, with lower tolerance for volatility and longer time horizons where pharmaceutical patent cycles and device innovation compounds over decades.

KO: Fits investors willing to accept higher price volatility in exchange for a modestly higher yield, with exposure to global consumer staples consumption and an appetite for the risks of emerging-market beverage demand.

Key risks to know

  • Pharmaceutical patent cliff and R&D productivity: JNJ faces recurring patent expirations on blockbuster drugs; failure to replace revenue through new drug approvals could pressure earnings and dividend growth, particularly in a slowing drug-approval environment.
  • Emerging-market currency and volume risk: KO derives substantial revenue from developing economies; currency headwinds and softening consumption in key markets like China have historically pressured earnings and dividend sustainability.
  • Relative valuation at mature market saturation: KO operates in a mature beverage category with limited organic volume growth in developed markets; continued yield depends on price increases, cost discipline, or M&A to offset flat to declining unit volumes.
  • Healthcare pricing and regulatory pressure: JNJ operates under increasing scrutiny around drug pricing, patent term extensions, and reimbursement rates; policy shifts could compress margins or slow dividend growth.
  • Defensive characteristics in bull markets: JNJ's low beta (0.235) means it typically lags in extended equity rallies, while KO's higher beta (0.349) still trails broad-market upside; neither captures full market returns in expansions.

Bottom line

JNJ emphasizes stability and modest income with minimal price swings; KO offers 52 basis points more yield but with materially higher volatility and dependence on consumer volume trends in maturing markets. If you prioritize capital preservation and lower portfolio turbulence, JNJ's defensive profile stands out; if you want more current income and can tolerate higher price fluctuations, KO's yield premium may justify the trade-off. Past performance does not guarantee future results.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

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