Kenvue sinks as the Tylenol and Neutrogena parent warns of sluggish consumer demand
Kenvue shares fell 6% Tuesday, one of the worst-performing stocks in the S&P 500, after the consumer health giant said seasonal demand is off to a slow start.
Kenvue, which owns brands like Tylenol, Neutrogena, Band-Aid, and Listerine, was spun out of Johnson & Johnson in 2023. At a Deutsche Bank conference, CEO Thibaut Mongon flagged weaker-than-expected sales for allergy and sun care products, blaming an unusually long winter for delaying seasonal demand. He also pointed to retailer de-stocking tied to tariff uncertainty, which he said is causing shipments to fall behind actual sales.
The company narrowly topped earnings-per-share and sales estimates when it reported Q1 earnings last month, driven largely by its self-care and essential health brands. Still, Mongon said consumer pressure was showing up globally, even if the causes differed by market.
Even with Tuesday’s dip, Kenvue shares are still up about 14% over the past year.
