Another company, health care products maker Johnson & Johnson (JNJ), said on Monday that the currency devaluation in Venezuela will have a negative impact on upcoming earnings.
The New Brunswick, New Jersey-based company said that it will take a charge of $100 million in the first quarter of 2013 as a result of Venezuela’s currency devaluation. This equates to a negative impact of 4 cents per share to first quarter EPS.
JNJ’s hefty charge is related to the re-measurement of the local balance sheet. Despite the charge and the negative impact it will have on first quarter earnings results, it is not expected to impact the company’s full year outlook which was previously announced in January.
Johnson & Johnson shares were relatively flat during pre-market trading on Monday. The stock is up +18.29% over the past year.
The Bottom Line
Shares of Johnson & Johnson (JNJ) have a dividend yield of 3.20% based on Friday’s closing price of $76.25 and the company’s annualized dividend payout of $2.44 per share.
Johnson & Johnson (JNJ) is recommended at this time, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars.
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