Group 1 - Starboard Value has acquired a $1 billion stake in Pfizer and is now also involved with Kenvue, aiming to improve shareholder returns after a 10.5% loss since its spinoff from Johnson & Johnson in 2023 [1][2] - Kenvue owns several well-known healthcare brands, including Neutrogena, Tylenol, and Listerine, making it a significant player in the consumer healthcare market [3] - Kenvue's annual net sales growth from 2019 to 2022 was only 3.4%, compared to a market growth rate of 4.8%, and its organic growth rate in 2023 was just 5%, lower than management's guidance [4][5] Group 2 - Starboard plans to enhance Kenvue's marketing capabilities, particularly in its underperforming skin and beauty segment, to improve growth and market share [6][7] - If management adopts Starboard's suggestions, Kenvue's growth could align with competitors, potentially improving stock valuation and enabling capital returns to shareholders [7] - The market has responded positively to Starboard's involvement, but there is a risk of public clashes with management, similar to their situation with Pfizer [8][9] Group 3 - There is skepticism about whether Starboard can significantly boost Kenvue's growth, given the nature of its business, and while changes may help reduce losses, substantial earnings growth seems unlikely without major initiatives [11] - The situation remains fluid, and the potential for a stronger investment thesis exists if Starboard's proposals are effectively implemented [12]

Business: Kenvue is a consumer health company. The company operates through three segments: Self Care, Skin Health and Beauty, and Essential Health. Self Care product categories include pain care; cough cold allergy; and "other self care." The Skin Health and Beauty segment's product categories include face and body care and hair, sun and others. The Essential Health segment's product categories include oral care, baby care and other essential health. Its differentiated portfolio of brands includes Tylenol, ...

The growth rate of the consumer healthcare business could accelerate now that an activist investor is involved.Shares of Kenvue (KVUE 0.92%) got a nice bounce on Monday, Oct. 21, thanks to Starboard Value. The activist investor recently pushed the stock up by announcing a stake in the consumer goods giant that's behind popular brands such as Tylenol and Listerine.Despite the recent bump, Kenvue stock has fallen by about 15% since it was spun off from Johnson & Johnson last May. The loss is extra upsetting b ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The ...

Key TakeawaysActivist investor Starboard Value reportedly has taken a large stake in consumer health care products maker Kenvue.The Wall Street Journal and Reuters say it's unclear how big the investment is, although the Journal says it's a "sizable stake."Starboard founder and CEO Jeff Smith is expected to discuss the hedge fund's plans for Kenvue at an investor conference tomorrow. Shares of Kenvue (KVUE) took off Monday morning on indications activist investor Starboard Value has taken a large stake in t ...

Group 1 - Kenvue, which spun out of Johnson & Johnson in mid-2023, has attracted the attention of activist investor Starboard Value, which holds a significant stake in the company [1][2] - Starboard Value is seeking to improve Kenvue's share price, with plans to discuss its strategy at an upcoming investor summit [1] - Following the news of Starboard's involvement, Kenvue's shares surged approximately 8% in pre-market trading [1] Group 2 - Starboard Value recently acquired a stake of around $1 billion in Pfizer, indicating its aggressive investment strategy [2] - Johnson & Johnson completed its separation from Kenvue in August 2022, marking a significant restructuring in the company's nearly 140-year history [2] - The split was part of J&J's strategy to streamline operations and focus on its pharmaceutical and medical device divisions [2]

Target, PepsiCo, and Kenvue have high yields and inexpensive valuations. The stock market can be an excellent way to compound wealth over time. But the way an investor goes about growing their hard-earned savings can vary based on investment objectives, risk tolerance, interests, and myriad other factors. Generating passive income from dividend stocks is a way to supplement income in retirement or simply help with financial planning. Dividends can also be useful because they provide income without having to ...

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Kenvue (KVUE) , which belongs to the Zacks Consumer Products - Staples industry, could be a great candidate to consider. When looking at the last two reports, this consumer health company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 13.14%, on average, in the last two quarters. For the most recent q ...

Group 1 - The article emphasizes a dividend-focused value investment strategy that prioritizes capital preservation and steady income growth [1] - The author shares insights from a diversified dividend stock portfolio, highlighting high-quality value stocks that provide meaningful growth and long-term safety [1] Group 2 - The author has disclosed a beneficial long position in shares of KVUE and JNJ, indicating personal investment interests [2] - The content is presented for informational purposes only and does not constitute investment or tax advice, reflecting the author's personal opinions [3]

Vertigo3d/E+ via Getty Images Introduction Kenvue (NYSE:KVUE) recently reported its Q2 earnings on August 6th and continued successfully moving towards becoming a great, long-term stock for dividend investors. Breaking off from its parent company Johnson & Johnson (JNJ) last year, some investors may remain skeptical on what KVUE can become in the distant future. As a result of their strong portfolio of products, I think long-term investors could be catching the beginning of a successful road for the busines ...