Kenvue

Methodology

Kenvue's consumer health products spanning skincare, pain relief, and oral care generate stable earnings from trusted brands like Neutrogena, Tylenol, and Listerine. The company's portfolio of category leaders provides pricing power. This calculation works well given the defensive characteristics of over-the-counter healthcare products, though increased competition and shifting consumer preferences create some growth challenges.

Methodology

Kenvue as a newly independent company shows moderate PEG ratios reflecting steady but modest growth in mature consumer health categories. The brand portfolio's strength justifies stability but limited growth prospects constrain multiples. Compare to other consumer health companies to assess whether Kenvue's brand equity and category positions justify valuations relative to faster-growing personal care peers.

Methodology

Kenvue pays a meaningful dividend as a mature consumer health company prioritizing steady income for shareholders. The company balances dividends with investments in brand building and innovation. PEGY is relevant for income investors seeking defensive consumer staples exposure, as the combination of yield and modest growth from brand extensions creates the appeal of this OTC healthcare spinoff.