JNJ Preview: Medical Devices Should Be the Highlight By Gary Dvorchak About this article: For some reason, they like Johnson & Johnson this month. After going nowhere since mid-July, the stock went vertical last week ahead of Tuesday morning's earnings report. The Street is looking for $1.13 of EPS on $15.2 billion of sales. The numbers may confuse a bit, due to foreign-exchange impacts and the dilutive effects of recent acquisitions and/or equity investments. Foreign exchange is creating a nice tailwind, increasing revenue growth by 200 basis points or more. Meanwhile, dilution from the Elan deal, Cougar Biotech and the recently closed Crucell deal will each shave several pennies from EPS near term. Medical devices will be the highlight group this quarter, even though business is mixed. (J&J management highlights a different business unit each quarter; the most recent was pharma.) The St. Jude preannouncement is casting a cloud of concern over the market, as investors... Or, call us at 1-866-321-TSCM (8726) Monday-Friday, 8 a.m.-6 p.m. ET. Outside the U.S. and in Canada, call 1-212-321-5200. More Stories From RealMoney Durable Goods Up Move Down the Tech Food Chain Jobless Claims Still High Bulls' Tenacity Is the Big Question Mark Should You Buy It? Pharmaceutical Product Development Bad News Trumps All Support for Banks Holds, For Now Bummer, Yields Are on the Rise Money on the Line Makes a Big Difference Structured Products: Unsafe at Any Price MORE STORIES FROM REALMONEY

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