Johnson & Johnson's (JNJ) shareholders ought to be looking toward 2021 with optimism and investors looking to open a position in the ~$400bn market cap pharmaceutical could do worse than to open a position at the current share price of $153, in my view.

Analyst consensus 12-month target price for JNJ is $174, and while I think that might be somewhat high for a stock whose all-time peak trading price - achieved in April this year - is $155, based on the DCF analysis I will present in this article, I would broadly concur.

I also will analyze the company's performance through 2020 so far and explore some of the key catalysts, tailwinds and headwinds I expect JNJ to encounter over the next 12 months and longer term, including the company's COVID-19 vaccine - which may provide a key interim data readout before the end of this year, and, if approved, may be able to provide 1bn doses in 2021, and ~100m doses to the US government - the shape of the company's post pandemic recovery, and its Medical Devices sector in particular, its issues with drug pricing and litigation, flat growth trajectory, and its partnered (via subsidiary Janssen) and proprietary drug-development pipeline.

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