Last Updated on 07/13/2021 by GS Staff
Is Neutrogena Publicly Traded?
Neutrogena is not publicly traded. It is a subsidiary of Johnson & Johnson. While you cannot purchase Neutrogena stock, Johnson & Johnson is public, which means that its stock is available for purchase. However, do not invest in Johnson & Johnson simply because you think Neutrogena might be a good investment. As we will explain, Johnson & Johnson is much more than just Neutrogena.
How to Invest in Neutrogena?
You cannot purchase Neutrogena stock. However, its parent company, Johnson & Johnson trades on the New York Stock Exchange (NYSE). Its stock symbol is JNJ. Shares of JNJ are available through most online brokers in the United States and beyond.
When Did Johnson & Johnson Acquire Neutrogena?
Johnson & Johnson purchased Neutrogena in 1994. They paid approximately $924 million to acquire the company. Neutrogena was a publicly-traded company at the time and its shares were purchased for $35.25 per share. They had been public since 1973, however, the company was in operation since 1930 when it was known as Natone. Its name did not change to Neutrogena until 1962. It was originally based out of Los Angeles with its roots as being a supplier to beauty salons. Several of these salons were associated with the Hollywood film industry.
What Does Johnson & Johnson Own?
At the top of this article, we stated that Johnson & Johnson owns much more than just Neutrogena. The company is divided into three segments: Consumer Products, Medical Devices, and Pharmaceutical Products.
The Consumer Products segment is behind several popular brands in health products such as Tylenol, Motrin, Benadryl, Sudafed, Visine, and Pepcid.
The Medical Devices segment is involved in Orthopaedics, Surgery, Interventional Solutions, and Vision.
The Pharmaceutical Products segment is involved in the following eight areas: Cardiovascular & Metabolism, Immunology, Infectious Diseases & Vaccines, Neuroscience, Oncology, and Pulmonary Hypertension.
Unfortunately, you cannot purchase Neutrogena stock. Additionally, we have no reason to believe that Johnson & Johnson will bring Neutrogena public on its own through a transaction like a spinoff. You should assume that Neutrogena will remain a part of Johnson & Johnson for the foreseeable future unless you hear otherwise from the company.
While it is possible to get a piece of Neutrogena by buying JNJ stock, you should not invest in Johnson & Johnson simply because you like Neutrogena products. Johnson & Johnson is a complex business that is not in the circle of competence of most investors to adequately determine its true value. Neutrogena would certainly be much easier to value if it were its own publicly traded business. Complete your own due diligence before investing in Johnson & Johnson.
Image Credit – Mike Mozart/flickr
Olmos, D. R. (1994, August 23). Johnson & Johnson to Soak Up Neutrogena : Acquisitions: Health products company will pay a premium price to expand its line of skin and hair care products. Los Angeles Times. https://www.latimes.com/archives/la-xpm-1994-08-23-fi-30232-story.html.