Core Insights - Maverick Capital Ltd. established long positions in Google C, Applied Materials, Boston Scientific, Visa, and Camden Property during the fourth quarter [1] - The firm increased its holdings in TSMC, NVIDIA, GFL Environment, and Carvana [1] - Maverick Capital completely exited positions in Kenvue, US Bancorp, AMD, Danaher, and Insmed [1] - The company reduced its stakes in Nubank, Disney, Merit Medical, Acadia Health, and Sherwin-Williams [1] - The firm maintains significant positions in NVIDIA, Microsoft, Amazon, TSMC, and Google C [1]

Core Viewpoint - Kenvue Inc. has been downgraded by Jefferies from Buy to Hold, with a reduced price target of $18, reflecting concerns over limited upside potential and litigation risks following the approval of its merger with Kimberly-Clark [1][7]. Group 1: Merger Approval - Shareholders of both Kimberly-Clark and Kenvue have overwhelmingly approved the merger, with approximately 96% of Kimberly-Clark shares and about 99% of Kenvue's voting shares in favor [2]. - The merger is expected to create a global leader in health and wellness by combining well-known brands such as Huggies, Kleenex, Tylenol, and Neutrogena, with the transaction anticipated to close in the second half of 2026, pending regulatory approvals [3]. Group 2: Company Overview - Kenvue Inc. operates as a consumer health company across various regions, including the US, Europe, the Middle East, Africa, Asia-Pacific, and Latin America, and is structured into three segments: Self Care, Skin Health and Beauty, and Essential Health [4].

Group 1 - Kenvue Inc. will announce its fourth quarter and full year 2025 financial results on February 17, 2026, after market close [1] - Kenvue will not host a quarterly conference call due to a pending transaction with Kimberly-Clark [1] - The press release regarding the financial results will be available on the company's investor website [1] Group 2 - Kenvue Inc. is the world's largest pure-play consumer health company by revenue [2] - The company has a heritage of over a century and features iconic brands such as Aveeno®, BAND-AID® Brand, Johnson's®, Listerine®, Neutrogena®, and Tylenol® [2] - Kenvue emphasizes the importance of everyday care and aims to empower consumers through its products [2]

Core Viewpoint - Kimberly-Clark is positioned as a deep value stock for income investors in 2026, especially with its strong dividend yield of 5% and a history of consistent dividend increases [3][9][19] Company Overview - Kimberly-Clark specializes in paper products, including brands like Kleenex, Huggies, and Scott, holding leading market shares in 70 countries [4] - Approximately two-thirds of its sales are generated in North America, with the remainder coming from international markets [4] Financial Performance - In 2025, Kimberly-Clark achieved 1.7% organic sales growth, driven by a 2.5% increase in volume, despite a 0.9% decrease in price [6] - The company reported gross margins of 36%, flat adjusted operating profit, and a 3.2% increase in adjusted earnings per share (EPS) [6] - For 2026, Kimberly-Clark is guiding for 2% organic sales growth and flat adjusted EPS, with a mid-to-high single-digit increase in adjusted operating profit [6] Dividend and Cash Flow - Kimberly-Clark raised its dividend for the 54th consecutive year, indicating a commitment to returning value to shareholders [3][10] - The company's earnings and free cash flow exceed its dividend expense, suggesting that the dividend is sustainable without relying on debt [10] Acquisition Strategy - The acquisition of Kenvue, a consumer health company, is expected to generate $2.1 billion in annual synergies, primarily from cost reductions [12][15] - This acquisition aligns with Kimberly-Clark's strategy to expand its product offerings and cover a broader range of consumer needs [13][15] Market Position and Valuation - Kimberly-Clark's stock is currently trading at 13 times forward earnings, making it an attractive option for value investors [18] - The stock has experienced a sell-off, leading to a higher dividend yield, which is appealing for income-focused investors [9][19]

Upgrades - BMO Capital upgraded Southwest (LUV) to Outperform from Market Perform with a price target of $57.50, up from $43, citing significant momentum and earnings upside to at least $4.00 per share in 2026 from 93 cents in 2025 [2] - Barclays upgraded Quest Diagnostics (DGX) to Overweight from Equal Weight with a price target of $210, up from $195, noting sustainable organic growth of 4% from fiscal 2024 to 2025 [3] - Guggenheim upgraded GE Vernova (GEV) to Buy from Neutral with a price target of $910, believing the market may underestimate cash generation potential and margin improvement in the electrification segment [4] - Wolfe Research upgraded Broadcom (AVGO) to Outperform from Peer Perform with a price target of $400, based on channel checks indicating the company will ship 7 million tensor processing units by 2028 [5] - Citi upgraded Spotify (SPOT) to Buy from Neutral with an unchanged price target of $650, stating the stock's valuation is now attractive and consensus estimates are beatable [5] Downgrades - HSBC downgraded Pinterest (PINS) to Hold from Buy with a price target of $24.90, down from $34.50, due to an abrupt jobs cut announcement indicating a softer near-term outlook [6] - Jefferies downgraded Kenvue (KVUE) to Hold from Buy with a price target of $18, down from $23, following shareholder approval for a merger with Kimberly-Clark [6] - Citizens downgraded SAP (SAP) to Market Perform from Outperform without a price target, citing disappointing Q4 sales results and a current cloud backlog growth of 25% versus the expected 26% [6] - D. Boral Capital downgraded Quince Therapeutics (QNCX) to Hold from Buy without a price target after negative results from a pivotal Phase 3 clinical trial [6] - Stifel downgraded Codere Online (CDRO) to Hold from Buy with a price target of $8.50, down from $9, believing the company's estimates need to reset due to a recently announced tax hike in Mexico [6]

Core Viewpoint - Kenvue Inc. (NYSE: KVUE) is positioned in the consumer health industry with a competitive landscape, and recent analyst ratings reflect mixed sentiments regarding its stock performance [1][2][3]. Group 1: Analyst Ratings and Price Targets - Jefferies has set a price target of $18 for KVUE, indicating a potential upside of about 4.65% from its current trading price of $17.20 [1][6]. - The consensus rating among eighteen brokerages is a "Hold," with an average 1-year target price of $20.23, suggesting a more optimistic outlook compared to Jefferies' target [2][6]. - Recent reports show varied opinions, with Johnson Rice maintaining a "neutral" rating, Citigroup lowering its target from $20.00 to $17.00, and Canaccord Genuity reducing its target from $26.00 to $15.00 [3]. Group 2: Stock Performance and Market Presence - KVUE's current stock price is $17.20, reflecting a slight decrease of 0.81% or $0.14, with fluctuations between $17.18 and $17.44 on the trading day [4]. - Over the past year, KVUE's stock has experienced significant volatility, with a high of $25.17 and a low of $14.02 [4]. - The company's market capitalization is approximately $32.96 billion, with a trading volume of 42.63 million shares, indicating a strong market presence despite mixed analyst ratings [5].

Core Viewpoint - Kenvue Inc. has received a downgrade from Jefferies, reflecting a cautious outlook on the stock amidst a competitive consumer health market [1][5]. Stock Performance and Analyst Ratings - Kenvue's current stock price is $17.20, with a consensus rating of Hold from eighteen brokerages [2]. - Among the analysts, twelve recommend holding, five suggest buying, and one strongly advises buying, with an average 1-year target price of approximately $20.23 [2]. - Johnson Rice maintains a "neutral" rating, while Citigroup has lowered its price target from $20.00 to $17.00, also keeping a "neutral" stance [3]. - Canaccord Genuity Group revised their price objective from $26.00 to $15.00, reaffirming a "hold" rating [3]. Recent Stock Fluctuations - Kenvue's stock has recently decreased by 0.81%, or $0.14, trading between $17.175 and $17.44 [4]. - Over the past year, the stock reached a high of $25.17 and a low of $14.02 [4]. - The company's market capitalization is approximately $32.96 billion, with a trading volume of 42.63 million shares today [4].

Financial Data and Key Metrics Changes - Kenvue's special meeting of stockholders was convened with a quorum of 1,499,451,317 shares, representing 78.2% by proxy [3] - The merger proposal was approved by a majority of voting power of capital stock present [6] Business Line Data and Key Metrics Changes - The meeting included discussions on the Merger Agreement with Kimberly-Clark, which was deemed fair and in the best interest of Kenvue and its stockholders [4] Market Data and Key Metrics Changes - No specific market data or key metrics were provided in the meeting records Company Strategy and Development Direction - The Kenvue Board of Directors unanimously recommended approval of the Merger Proposal, indicating a strategic move towards consolidation with Kimberly-Clark [4][5] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the merger's benefits for Kenvue and its stockholders, highlighting the importance of the transaction [4] Other Important Information - The Advisory Compensation Proposal related to the merger was also approved by stockholders [7] Q&A Session Summary - No specific questions or answers were recorded during the meeting, as it primarily focused on the proposals and their approvals [7]

Financial Data and Key Metrics Changes - The special meeting confirmed the approval of the Merger Proposal, which is deemed fair and in the best interest of Kenvue and its stockholders [4][6] - The Advisory Compensation Proposal was also approved by Kenvue stockholders, indicating positive reception towards the compensation structure related to the merger [7] Business Line Data and Key Metrics Changes - Specific financial data and metrics for individual business lines were not disclosed in the meeting [1][2] Market Data and Key Metrics Changes - No specific market data or metrics were provided during the meeting [1][2] Company Strategy and Development Direction - The company is moving forward with a merger agreement with Kimberly-Clark, which is a significant strategic decision aimed at enhancing shareholder value [4][5] - The board unanimously recommends the adoption of the merger, indicating a strong alignment on strategic direction [5] Management Comments on Operating Environment and Future Outlook - Management did not provide detailed comments on the operating environment or future outlook during this meeting [1][2] Other Important Information - The meeting was conducted with a quorum of 78.2% of shares represented, ensuring that decisions made were valid and representative of stockholder interests [3] Summary of Q&A Session - There were no questions or answers recorded during this special meeting [1][2]

Financial Data and Key Metrics Changes - Kenvue's special meeting confirmed the approval of the Merger Proposal, indicating a significant strategic move for the company [4][6] - The Advisory Compensation Proposal was also approved, reflecting shareholder support for management's compensation related to the merger [6] Business Line Data and Key Metrics Changes - No specific data on individual business lines was provided in the meeting [1][2] Market Data and Key Metrics Changes - The meeting did not present detailed market data or metrics [1][2] Company Strategy and Development Direction - The company is pursuing a merger with Kimberly-Clark, which is seen as beneficial for Kenvue and its shareholders [4][5] - The board unanimously recommended the merger, indicating a strong strategic alignment with Kimberly-Clark [5] Management Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during this meeting [1][2] Other Important Information - The meeting was conducted with a quorum of 78.2% of shares represented, ensuring that decisions made were valid [3] - The final vote results will be reported in a current report on Form 8-K filed with the SEC [6] Q&A Session Summary - There were no questions or answers recorded during this special meeting [1][2]