With a market cap of $43.6 billion, Kenvue Inc. (KVUE) operates as a consumer health company in the United States and internationally. The Skillman, New Jersey-based company operates through three segments: Self Care, Skin Health and Beauty, and Essential Health.
Companies valued at more than $10 billion or more are generally considered “large-cap stocks”, and KVUE fits this criterion perfectly. The company benefits from a large portfolio of consumer health offerings under reputable brands including Tylenol, Motrin, Benadryl, Nicorette, Listerine, Band-Aid, and Stayfree.
KVUE stock has faced some struggles over the past year and has fallen 4.3% from its 52-week high of $24.46, recorded on Nov. 26. 2024. KVUE stock has surged 6.2% over the past three months, compared to the broader S&P 500 Index ($SPX), which declined 6.2% during the same period.
Over the past six months, shares of KVUE and SPX both surged marginally. However, KVUE has surged 15.1% over the past 52 weeks outperforming SPX's 10.9% return.
KVUE has been trading above its 200-day moving average and its 50-day moving average since mid-February.
Shares of KVUE declined 4.5% following a disappointing Q4 earnings release on Feb. 6. The company reported a marginal decrease in its net sales, coming in at $3.7 billion, mostly caused due to a decline in Essential Health and a significant decline in the pediatric pain franchise. Moreover, its EPS came in at $0.26, successfully meeting the Wall Street EPS estimates.
Looking ahead, the company expects a 2% to 4% increase in its organic sales growth and an upwards of 2% increase in its adjusted EPS.
The company’s rival, Beiersdorf Aktiengesellschaft (BDRFY), has lagged behind KVUE, with its stock surging 5% over the past six months and marginally over the past 52 weeks.
Analysts are moderately optimistic about the stock's prospects. The stock has a consensus rating of “Moderate Buy” from the 14 analysts covering it, and the mean price target of $23.61 represents a marginal upside from the current market prices.
