Consumer-health company's stock suffers record selloff on news RFK Jr. will release report linking use of over-the-counter painkiller during pregnancy to autism
Kenvue, the maker of Tylenol, saw its shares fall more than 9% Friday.
Shares of Tylenol maker Kenvue Inc. took a record dive Friday, as investors expressed concern about an expected report from U.S. Health and Human Services Secretary Robert F. Kennedy Jr. linking autism to use of over-the-counter painkillers during pregnancy.
The stock (KVUE) also hit its lowest price ever in intraday trading, but pared losses to close at a 13-month low, after Kenvue responded by saying multiple studies over the years have found no evidence that the use of acetaminophen - the active ingredient of Tylenol - during pregnancy can cause harm.
Kenvue shares sank 9.4% on Friday to $18.62, their lowest close since Aug. 5, 2024. The previous record one-day decline was 6.2% on Sept. 7, 2023. The stock began trading in May 2023 following the consumer-health company's separation from Johnson & Johnson (JNJ).
The selloff came after the Wall Street Journal reported that the Department of Health and Human Services, led by Kennedy, is expected to release a report in September that indicates using acetaminophen when pregnant can cause autism in the child.
"We have continuously evaluated the science and continue to believe there is no causal link between acetaminophen use during pregnancy and autism," Kenvue said in a statement to MarketWatch.
The company said its belief comes after more than a decade of analysis and regulatory review by the U.S. Food and Drug Administration, as well as multiple studies conducted by numerous leading medical organizations.
Kenvue added that expecting mothers should speak to their doctors before taking any over-the-counter medicines, including acetaminophen.
Meanwhile, the WSJ report keeps the spotlight on Kennedy, a day after he was grilled by the Senate Finance Committee on actions including his firing in June of all the members of a panel that advises the Centers for Disease Control and Prevention on vaccine policy.
The report also comes a month after Kennedy said the government would cancel some contracts and stop funding mRNA drug development - the science behind PModerna Inc.'s (MRNA) COVID-19 vaccine.
Kenvue's stock has shed 12.8% in 2025, while the S&P 500 index SPX has gained 10.2%.
-Tomi Kilgore
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