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SUMMIT, N.J. - Kenvue Inc. (NYSE:KVUE), the $42.5 billion consumer health giant, announced Wednesday that its Board of Directors has approved a 1.2 percent increase to its quarterly dividend, raising it to $0.2075 per share on its common stock. The dividend yield now stands at 3.7%, making it an attractive income stock, though InvestingPro analysis suggests the stock is slightly overvalued at its current price of $22.17.
The consumer health company’s dividend will be payable on August 27, 2025, to shareholders of record at the close of business on August 13, 2025.
Kenvue, which owns brands such as Aveeno, BAND-AID, Johnson’s, Listerine, Neutrogena and Tylenol, made the announcement in a press release statement.
The company describes itself as the world’s largest pure-play consumer health company by revenue, with a portfolio of brands that have been established over more than a century. According to InvestingPro, analysts have revised their earnings expectations upward for the upcoming period, with net income expected to grow this year.
In other recent news, Kenvue Inc. has announced the departure of its CEO, Thibaut Mongon, with board member Kirk Perry stepping in as Interim CEO. This leadership change coincides with the release of preliminary second-quarter results, which revealed a 4.2% decline in organic sales, significantly below the anticipated 0.5% decrease. Adjusted earnings per share are projected to be between $0.28 and $0.29, aligning with analyst forecasts. In response to these developments, the company’s board has initiated a strategic review to explore various alternatives for enhancing shareholder value.
S&P Global Ratings revised its outlook on Kenvue to negative from stable, maintaining the company’s ’A’ rating. This change follows the strategic review announcement, which includes potential brand portfolio optimization. Analysts have weighed in on the situation, with Citi lowering its price target for Kenvue to $22 due to concerns over the CEO transition and potential withdrawal of 2025 guidance. UBS has maintained a Neutral rating and a $25 price target, despite acknowledging the company’s ongoing fundamental challenges. Goldman Sachs also retained a Neutral rating amid these developments.
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