10 Best Low Risk Stocks To Buy in 2025

8. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 98

Equity Beta: 0.49x

Johnson & Johnson (NYSE:JNJ) is a global healthcare company that develops and sells pharmaceuticals, medical devices, and consumer health products. Its pharmaceutical segment focuses on treatments for immunology, oncology, neuroscience, and infectious diseases, while its medical devices division provides surgical, orthopedic, and cardiovascular solutions. The company’s consumer health brands include Tylenol, Band-Aid, Neutrogena, and Listerine. JNJ operates in international markets, distributing its products through hospitals, pharmacies, and retail channels. Its strategy emphasizes research and development, innovation in healthcare technology, and global expansion, with a strong focus on regulatory compliance, sustainability, and public health initiatives. The US-based company ranked second on our recent list of 7 Cheap Global Stocks to Buy Right Now.

Johnson & Johnson (NYSE:JNJ) remains committed to growing its MedTech business at the upper range of the 5-7% market growth rate over the period 2022-2027, having achieved 6.2% operational growth in the previous year. The company has significantly transformed its portfolio through substantial R&D investments, spending $3.1 billion in 2023 and $3.7 billion in 2024, with projections indicating that one-third of sales will come from new products by 2027. Strategic M&A activities, including $32 billion investments in cardiovascular care through acquisitions like Abiomed and Shockwave, have strengthened the company’s market position. The company has successfully shifted its portfolio composition, moving from 18% of business in high-growth categories in 2018 to 50% currently.

Johnson & Johnson (NYSE:JNJ) has implemented significant organizational changes, including decentralizing operations by moving 32,000 associates into individual business units to enhance specialization and customer intimacy. The company maintains a strong position in robotics, with successful platforms like VELYS in orthopaedics achieving presence in 30 markets and completing over 100,000 procedures. Despite facing headwinds in China due to volume-based procurement and anticorruption campaigns, JNJ remains committed to the Asian market, recognizing that 60% of patients live in APAC. The company’s unique model of combining pharmaceutical and medical technology businesses positions it advantageously for future healthcare integration, particularly in enabling same-visit testing, diagnosis, and treatment. Given the low 0.49x equity beta, JNJ is one of the best low risk stocks to buy in 2025.