UPDATE: Credit Suisse Downgrades Johnson & Johnson to Underperform on Valuation

Credit Suisse downgraded Johnson & Johnson

from Neutral to Underperform and raised the price target from $71.00 to $73.00. Credit Suisse commented, "Concurrent with Credit Suisse rating methodology requiring that ratings now reflect an expectation of relative out/(under) performance versus an analyst's coverage universe, we downgrade JNJ to Underperform from Neutral. While we advocate overweight positions in pharma stocks and acknowledge the stock's "index importance", JNJ offers the lowest total return in our coverage universe (dividend plus equity), hence this change. Along with adjustments to target price to other stocks in our sector, we raise JNJ's target to $73 from $71, below its current level of $75." Johnson & Johnson closed at $75.39 on Wednesday.