Kenvue Inc. is an American based health company. It was formerly the Consumer Healthcare division of Johnson & Johnson, and it is currently the world’s largest pure-play consumer health company by revenue. It is responsible for popular brands such as Band-Aid, Listerine, Neutrogena, and Tylenol.

Yesterday on Monday, September 22nd, KVUE saw a plummet of 6% after President Donald Trump claimed that Tylenol is causing autism. Due to Tylenol being Kenvue’s most popular product and accounting for a large percentage of its revenue, the link made by Trump caused the stock to fall from consumer trust. This also showcases KVUE’s reliance on Tylenol, so in the future if the product were to be overtaken by any other acetaminophen competitors, the company may take a steep dip.

Regardless, the stock has seen a decrease in the past three years, about 0.9%. Additionally, its revenue has fallen 2.2% in the last 12 months, with quarterly revenues decreasing 4%. Compared to the S&P 500, the stock has been doing poorly in multiple categories with its D/E ratio being about 4% higher and its Cash/Assets ratio being around 4% lower. Its D/E score of 0.66 is high compared to the industry average of 0.21.

Overall, there isn’t really a rush to buy KVUE, so analysts advise to hold off, or some even advise to avoid it altogether. Due to the shakiness of the company, the stock is projected to fall around 12.32% in the next three months, so current shareholders should be cautious.

Kenvue (NYSE: KVUE)