Kenvue, the company that makes Tylenol, is fighting on both the political and scientific fronts.

The latest blow came from the U.S. Health Secretary, placing even more pressure on Kenvue stock, which has already lost 40% of its value in the last six months.

Robert F. Kennedy Jr. recently made comments that although there is no proof that taking Tylenol while pregnant causes autism, the possibility can’t be ignored. This has led to a growing disagreement and a possible big business opportunity for Haleon, Unilever, Procter & Gamble, Reckitt Benckiser, and Johnson & Johnson.

Kennedy said to reporters in Washington:

The causative association between Tylenol given in pregnancy and the perinatal period is not sufficient to say it definitely causes autism. But it’s very suggestive.

The timing of these statements is quite important, since they come just after President Donald Trump’s politically heated admonition in September that pregnant women should stay away from Tylenol.

Not long after President Trump made his statement, Kenvue and Johnson & Johnson got into another complicated legal mess when the Republican state of Texas sued them. The complaint says that the companies didn’t tell people about the possible risks of taking acetaminophen while pregnant.

As investors react, officials speak out, and Kenvue’s stock drops, one big question remains: Will rumors, lawsuits, and the president’s actions ruin decades of consumer trust?

Kenvue, the maker of Tylenol, is facing pressure from lawsuits, regulators, and investors.

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A warning from the president, a lawsuit from Texas, and a firm on edge

In September, President Trump explicitly warned against taking Tylenol while pregnant.

Kenvue’s stock price dropped immediately after President Trump spoke.

The Republican-led state of Texas filed a lawsuit against Kenvue and its former parent firm, Johnson & Johnson, last week. The complaint claims that the companies knew or should have known about possible neurological concerns, but didn’t tell consumers.

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The case made the FDA’s need for stricter labeling for acetaminophen, the primary component in Tylenol, more urgent. Kenvue countered, stating that there is no definitive causative association between taking acetaminophen and autism. It warned that giving women misleading information might jeopardize their health.

But the headlines don’t tell the whole story. There’s a clash between science, politics, and public trust.

Kennedy’s comment seeks to find a middle ground between absolutely agreeing with the alarm about Trump and completely rejecting concerns. But it doesn’t help the company calm the escalating tempest.

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Kenvue couldn’t have chosen a worse moment. Investors are already putting considerable pressure on the corporation as they review its strategy, with activist shareholders also involved.

Tylenol used to signify that a brand was safe, but today it’s becoming one of the more riskier investments.

The FDA and Wall Street are monitoring the fallout

Kenvue’s net sales fell by 4.0% and its organic revenue fell by 4.2% in the second quarter of 2025. Adjusted EPS was $0.29, which is a touch less than it was last year. The company thinks that its EPS for the whole year will be between $1.00 and $1.05 per share.

Other issues include a late allergy season hurt sales of self-care products, consumer sensitivity to price hikes, tariffs forcing merchants to cut their stock, and lingering inflation.

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Moody’s also changed Kenvue’s credit outlook to Negative in October. S&P gave a similar downgrade in the summer.

Summary of recent hits to Kenvue:

  • Sales fell 4.0% in the second quarter, and organic revenue fell 4.2%.
  • Adjusted EPS: $0.29; FY 2025 forecast: $1.00-$1.05
  • Moody’s and S&P changed their credit outlook to “negative.”
  • Lawsuit in Texas claims Kenvue didn’t warn about the risks of autism.
  • The FDA is under pressure to change the labels on Tylenol.
  • In the second quarter of 2025, Starboard Value started a proxy fight.
  • CEO Thibaut Mongon left in July 2025.

What is next for Kenvue and Tylenol?

Kenvue’s troubles aren’t simply legal or regulatory anymore; they’re life-threatening. Tylenol has been a well-known brand in American medicine for decades. People would think differently about the entire over-the-counter market if that trust is shattered.

Robert F. Kennedy Jr.’s carefully worded speech may have been meant to calm political tensions, but it also makes people want to look into it further. President Trump’s threat has already affected how people think and how investors behave, even if there is no evidence.

The FDA hasn’t made any formal decisions yet, but any choice on labeling could transform the company’s main brand overnight. Kenvue’s risk profile seems to be worsening as states such as Texas start to sue it.

The next six months might be highly critical, since activist investors are watching, the CEO has already departed, and the company’s strategy is being reviewed.

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