Johnson & Johnson shares drop 6% after earnings meet forecasts but show weak medical device outlook

Johnson & Johnson reported third‑quarter results that met Wall Street expectations and raised its 2026 financial guidance, yet the stock fell about 6% on the day.

Analysts highlighted an underwhelming performance from the company’s medical‑device business and noted a lack of near‑term upside catalysts, including an uncertain timeline for the next‑generation blood‑thinner trial.

RBC Capital Markets called the decline excessive and said it reflects broader market volatility, setting a negative tone for the sector as earnings season begins.

Separately, Gilead Sciences disclosed a partnership with Vir Biotechnology to develop T‑cell engager therapies aimed at treating cancer.