In today's match-up of The Motley Fool's Better-Buy Tournament, Johnson & Johnson squares off against CalAmp in a battle to determine which stock is the better buy now. The 64-company tournament pits two Motley Fool analysts against each other as they make the case for their stocks, with the winner determined by you, the readers.
Johnson & Johnson (NYSE:JNJ) is the big diversified player of the pharma space, but that doesn't make it a sleepy conglomerate, argues Motley Fool analyst David Williamson. Its pharmaceutical division is cranking out consistent double-digit growth rates thanks to strong products like Zytiga in prostate cancer and megablockbuster Remicade, and the success continues with recent approval for Imbruvica, a blood cancer drug with expected peak sales in the $6 billion to $7 billion range. Its medical-device business is set for growth following the massive Synthes acquisition, and J&J is wisely selling off lower-margin diagnostics. This is a steady stock with a strong dividend, with a pharma division firing on all cylinders and strong medical devices and consumer units.
Motley Fool tech analyst Jamal Carnette argues that CalAmp (NASDAQ:CAMP) should to move to the next round because it provides a key role in the next big thing: the Internet of Things. Simply put, the Internet of Things is connected devices -- everywhere. A recent report from Cisco projects 50 billion connected devices by 2018. If you want to profit from the next big thing, Jamal says CalAmp is your choice to advance.
Watch these analysts square off in the following video, and then vote for a winner. Then check out the other companies in The Motley Fool's Better-Buy Bracket.
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Cast your vote in the poll below the video!
David Williamson owns shares of Cisco Systems and Johnson & Johnson. Jamal Carnette owns shares of CalAmp. The Motley Fool recommends Cisco Systems and Johnson & Johnson and owns shares of Johnson & Johnson. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.