Kenvue is well positioned for accelerated growth following its separation from parent company Johnson & Johnson , in response to JPMorgan. Following its spinoff earlier in May, Kenvue is the most important pure-play consumer health company on the planet. The corporate holds commonly known names corresponding to Neutrogena, Tylenol, Aveeno and Zyrtec — amounting to 10 brands with sales greater than $400 million. Kenvue also has greater than 37 regional brands. Analyst Andrea Teixeira initiated coverage of the stock with an obese rating. Her price goal of $29 implies greater than 10% upside from the previous close. “As a stand-alone company, we consider Kenvue board and management might be more focused and accountable for the expansion and profitability of the business following the separation that began in 2019, with significant opportunities to scale in lots of adjacencies and markets world wide organically and thru tuck-in M & A,” Teixeira wrote in a Monday note. “We view KVUE as uniquely positioned to profit from consumer mega trends (self-care, aging).” Teixeira added that Kenvue still is “U.S.-centric,” giving it room to regain share and “lift and shift” a few of its brands in overseas markets. JPMorgan thinks Kenvue remains to be trading at a beautiful valuation despite jumping since its May 3 IPO, which was priced at $22 per share. The shares were at $26.30 through Friday’s close. “As KVUE builds its track record as a public company (if our estimates for solid quarters ahead materialize) and post-potential distribution of shares that JNJ owns to current JNJ shareholders, we consider KVUE should trade with the major-league high-quality multinationals which have defensive sales, compounding growth, and solid free money flow conversion,” said Teixeira. — CNBC’s Michael Bloom contributed to this report.
Pfizer restarts production at tornado damaged plant in North Carolina
On this aerial image, damage is seen at a Pfizer pharmaceutical factory after a tornado hit the ability two days...
