Starboard Value Targets Kenvue for Revitalization Following $1B Stake in Pfizer

Starboard Value's Stake:
Activist investor Starboard Value has acquired a significant stake in Kenvue, Johnson & Johnson's consumer health spinoff.

Kenvue Performance:
Starboard believes Kenvue, despite being the largest dedicated consumer health company by revenue, is underperforming its rivals, particularly with strong brands like Tylenol and Listerine.

Recent History:
Kenvue was spun out of J&J in August 2023 to help J&J focus on pharmaceuticals and medical technology. Kenvue generated nearly $15.5 billion in 2023 with 5% year-over-year growth and estimates net sales growth from 1% to 3% this year.

Pfizer Connection:
This move follows Starboard's $1 billion stake in Pfizer, aimed at turning Pfizer's business around by addressing spending and investment strategies.

Future Plans:
Starboard CEO Jeff Smith is expected to provide more details on the company's plans for Kenvue at an upcoming investor event.