Kenvue, Inc.: Hold Rating Maintained Amid Strategic Shifts and Tariff Challenges

Citi analyst Filippo Falorni maintained a Hold rating on Kenvue, Inc. (KVUE – Research Report) yesterday and set a price target of $24.50.

Filippo Falorni’s rating is based on a combination of factors, including Kenvue, Inc.’s recent financial performance and strategic changes. The company reported better-than-expected first-quarter results for 2025, with an operating sales growth (OSG) that exceeded expectations and earnings per share (EPS) that were slightly below consensus. Despite these positive results, Kenvue lowered its EPS guidance for 2025 due to anticipated tariff impacts, which could affect profitability.
Additionally, the announcement of a new Chief Financial Officer, Amit Banati, has been perceived positively by the market, suggesting potential strategic shifts. However, challenges remain, such as a softer outlook for the second quarter due to a delayed allergy season and ongoing destocking issues, particularly in Asia. These factors, combined with a heavy reliance on the second half of the year for growth, have led Falorni to maintain a Hold rating, while slightly raising the target price to reflect the current valuation.

Falorni covers the Consumer Defensive sector, focusing on stocks such as Monster Beverage, Boston Beer, and Keurig Dr Pepper. According to TipRanks, Falorni has an average return of -1.6% and a 54.81% success rate on recommended stocks.

In another report released yesterday, Barclays also maintained a Hold rating on the stock with a $22.00 price target.