Rome: Kenvue Inc., the company behind the popular pain reliever Tylenol, witnessed a notable rebound in European markets Tuesday, as its shares in Frankfurt climbed 6% following a steep drop the previous day. The rally came in the wake of U.S. President Donald Trump’s controversial statements linking acetaminophen use during pregnancy to an increased risk of autism claims that have been widely disputed by medical experts.
Analysts at Citi noted that the market reaction was temporary, highlighting the lack of new scientific evidence supporting the alleged connection. “Overall, we see limited judicial risk following today’s announcement, but there could be some impact on Tylenol consumption due to negative headlines,” they said. The temporary spike in Kenvue’s stock reflected investor confidence that the company’s long-term prospects remain largely unaffected.
Kenvue itself quickly issued statements rejecting any established scientific link between acetaminophen the active ingredient in Tylenol and autism. Company officials cautioned that unverified claims could potentially endanger maternal health, emphasizing the importance of following established medical guidance. The Food and Drug Administration (FDA) also announced plans to update product labels on Tylenol and generic versions, noting that while there is some evidence suggesting a possible association with neurological conditions such as autism and ADHD, no causal relationship has been proven.
Despite the short-term rebound, Kenvue’s shares have faced a challenging year, with prices down 22.6% year-to-date in Frankfurt. Market watchers continue to monitor both regulatory responses and public perception, as headlines around prenatal health and neurological conditions could influence consumer behavior and stock performance.