10 Best Spin Off Stocks to Buy According to Hedge Funds

3. Kenvue Inc. (NYSE:KVUE)

Number of Hedge Fund Holders: 46

Kenvue Inc. (NYSE:KVUE) is a global consumer health company that offers a wide variety of goods to improve daily health and well-being. Its product line ranges from over-the-counter pharmaceuticals, pain relievers, allergy treatments, as well as skin health and cosmetic items. Kenvue Inc. (NYSE:KVUE) became an independent company when Johnson & Johnson broke out its consumer health division in August 2023.

On February 7, Jefferies analyst Keith Devas reduced the price objective for Kenvue Inc. (NYSE:KVUE) shares to $26 from $27, while maintaining a Buy rating on the company. Devas emphasized that Kenvue is beginning 2025 with a solid plan targeted at enhancing its performance. Despite recording a less-than-stellar fourth quarter and a second-half-weighted forecast for 2025, the analyst stated the importance of the company’s ongoing transformation, which is now in its second year. To that end, Kenvue has excellent gross profit margins of 58% and an annual sales of $15.46 billion.