Jim Cramer Notes Johnson & Johnson Talc Lawsuits “Puts a Damper on the Stock”

Johnson & Johnson (NYSE:JNJ) is one of the stocks that Jim Cramer shared insights on. Cramer discussed the company stock in light of its talc lawsuit. He said:

“Johnson & Johnson kicks off pharma earnings season on Wednesday, and I think once again, the company will not be rewarded for its consistency or its originality because there’s still the sort of the talc lawsuits hanging over it. I don’t mind JNJ fighting the plaintiff’s part, but it sure puts a damper on the stock.”

Jim Cramer Notes Johnson & Johnson Talc Lawsuits "Puts a Damper on the Stock"

A smiling baby with an array of baby care products in the foreground.

Johnson & Johnson (NYSE:JNJ) develops and sells a wide range of healthcare products, including prescription medicines for various diseases and medical devices for surgical, cardiovascular, orthopedic, and vision care, and more. Cramer discussed the company’s lawsuit in a May episode as well, as he commented:

“Or let’s consider Johnson & Johnson, triple A balance sheet, many drugs in the pipeline, one of the best-run companies in America, if not the world, with perhaps the most billion-dollar franchises of any pharmaceutical company I know, but JNJ only yields 3.55%, and it’s got this terrible legal overhang related to allegations that its talcum powder, no longer in the market, caused ovarian cancer. We don’t know how open-ended the claims are. Can you tolerate that risk? I’d love to say just go buy JNJ, but where? What price? That yield is no longer enough to compensate you for the risk, especially if you don’t know if RFK Jr dislikes some of their drug delivery mechanisms and formulas, so people are staying away from that, too, not just because of the bonds. JNJ… 3.3%.”

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Disclosure: None. This article is originally published at Insider Monkey.