Kenvue (KVUE): Assessing Valuation as Schafer Cullen Exits and Category Headwinds Persist

Kenvue (KVUE) shares have been in focus after Schafer Cullen Capital Management exited its position, citing concerns over valuation in light of ongoing company challenges and operational headwinds. Investors are now watching how new product efforts compare with these pressures.

See our latest analysis for Kenvue.

After an upbeat 1-day share price return of just over 3%, Kenvue’s latest moves come amid a volatile stretch for the stock. Momentum faded earlier this year, with a 30-day share price return of nearly 11%, but a sharp year-to-date decline of almost 22%. Over the last twelve months, total shareholder return stands at around -28%, reflecting persistent category headwinds even as the company promotes fresh product innovation and invests heavily in growth.

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With shares trading well below analyst price targets but weighed down by ongoing challenges, the big question is whether Kenvue represents a bargain for patient investors or if the market is accurately reflecting slower growth ahead.

Most Popular Narrative: 14.3% Undervalued

Kenvue’s most widely held narrative points to a fair value well above the latest close, suggesting the current market may be overlooking future growth catalysts. Consensus supports this notable upside, based on a range of financial and strategic assumptions outlined by analysts.

Enhanced digital capabilities and operational streamlining are expected to boost market share, cost efficiency, and margins while supporting continued revenue growth. Focus on innovation and emerging markets positions the company for sustained demand, premium pricing, and long-term expansion beyond mature regions.

Read the complete narrative.

What is the secret behind this bullish outlook? The narrative hinges on ambitious analyst models that forecast accelerating margins, innovative brand strategies, and robust emerging market expansion. Curious which financial levers are driving this price target? Dive into the details to uncover how analysts justify the gap between the fair value and the current price.

Result: Fair Value of $19.42 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, lingering legal challenges and slower progress on digital innovation could still threaten Kenvue’s outlook. These factors may also undermine current bullish assumptions.

Find out about the key risks to this Kenvue narrative.

Build Your Own Kenvue Narrative

If you have a different take or want to dig into the numbers yourself, it's easy to craft your own narrative in just a few minutes, so why not Do it your way

A great starting point for your Kenvue research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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