#4 - Kenvue (NYSE:KVUE)
Consumer staples stocks have started to benefit from sector rotation. Kenvue Inc. (NYSE: KVUE) is a good example. The stock is about at the breakeven point for the year, but it’s had a strong rally in the month ending August 14, 2024.
The Johnson & Johnson (NYSE: JNJ) spinoff houses JNJ’s legacy consumer health products. That generally gives the company defensive characteristics, but it has been a double-edged sword as consumers opt for house brands to stave off inflation.
If an interest rate cut happens in September, the consumer won’t feel it for several quarters. But the market always looks ahead, and that’s why Kenvue and its stable of well-respected brands is generating interest.
The stock is trading in the middle of its 52-week range and has a consensus Hold from analysts. However, recent price targets are moving higher. And even though Kenvue is a “new company,” it inherits the dividend history of JNJ. That means it’s a dividend king that just increased its dividend.
About Kenvue
Kenvue Inc operates as a consumer health company worldwide. The company operates through three segments: Self Care, Skin Health and Beauty, and Essential Health. The Self Care segment offers cough, cold and allergy, pain care, digestive health, smoking cessation, eye care, and other products under the Tylenol, Motrin, Benadryl, Nicorette, Zarbee's, ORSLTM, Rhinocort, Calpol, and Zyrtec brands.
Read More - Current Price
- $24.25
- Consensus Rating
- Hold
- Ratings Breakdown
- 4 Buy Ratings, 7 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $22.64 (6.7% Downside)
