Johnson & Johnson (NYSE:JNJ) needs a pep pill. For the second quarter in a row, revenue from medical devices and diagnostics came in higher than the revenue supplied by its pharmaceutical segment. In fact, the two divisions are headed in opposite directions, with devices and diagnostics gaining 2.3% and drugs losing 14.1% year over year.

Generic competition hurt the year-over-year comparisons for epilepsy and migraine drug Topamax and antipsychotic medication Risperdal, which both put in ugly showings -- 76% and 40% plunges, respectively. Anemia drugs Procrit and Eprex and ADHD drug Concerta also saw double-digit year-over-year drops because of safety concerns.

Not everything in Johnson & Johnson's medicine bag was falling, though. Sales of anti-inflammatory Remicade rose 5.9%, including a 5.1% increase in exports, which are sold outside the U.S. by Schering-Plough (NYSE:SGP) and perhaps its soon-to-be owner, Merck (NYSE:MRK). Risperdal Consta, the long-lasting version of Risperdal, is also growing sales despite the generic competition from its older brother.

The company does have a couple of recently approved drugs -- schizophrenia treatment Invega and anti-inflammatory Simponi -- but they're essentially just follow-ons to Risperdal and Remicade, respectively. Instead of boosting overall sales, they may end up cannibalizing sales of their predecessors or, in the case of Invega, have trouble competing against the generics.

In the pipeline, Johnson & Johnson has Xarelto, a preventer of blood clots that would compete with sanofi-aventis' (NYSE:SNY) blockbuster Lovenox, but most of the potential blockbusters are farther behind. Essentially, Johnson & Johnson is in waiting mode until deals with companies such as Elan (NYSE:ELN) and Crucell (NASDAQ:CRXL) pan out.

The stock is suffering today because of the revenue miss, but long-term investors needn't worry too much. Revenue gains will return eventually, and Johnson & Johnson will cut costs, as it did this quarter, to keep earnings headed in the right direction.

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Fool contributor Brian Orelli, Ph.D., doesn't own shares of any company mentioned in this article. Elan is a Rule Breakers recommendation. The Fool has a disclosure policy.