Johnson & Johnson (JNJ) Ends Mid-Stage Eczema Study After Missing Efficacy Bar

Johnson & Johnson (NYSE:JNJ) is included among the 14 Best Pharma Dividend Stocks to Buy in 2026.

Johnson & Johnson (JNJ) Ends Mid-Stage Eczema Study After Missing Efficacy Bar

On December 26, Johnson & Johnson (NYSE:JNJ) said it ended a mid-stage study of an experimental drug for patients with moderate to severe atopic dermatitis. The decision followed an interim analysis showing the treatment did not meet its efficacy targets.

The drug, JNJ-5939, was tested in patients with atopic dermatitis, or eczema. The condition causes inflammation, redness, and intense itching. The company said the drug was well-tolerated, but it failed to meet the “high-bar” efficacy required to continue development. That result, while disappointing, is not uncommon in mid-stage trials.

Johnson & Johnson (NYSE:JNJ) said it remains committed to developing new treatments for atopic dermatitis, a chronic condition that affects more than 100 million people worldwide. The pipeline is still moving. The company is advancing other experimental therapies, including bispecific antibodies NM26, PX128, and PX130, as well as an oral STAT6 inhibitor, KP-723.

There are broader pressures in the background. Drug price negotiations in the US remain a major challenge, and several of the company’s medicines have already been selected for pricing reviews. Over time, that is expected to weigh on revenue from those products.

Even so, Johnson & Johnson (NYSE:JNJ) continues to stand out for income-focused investors. The company has increased its dividend for 63 consecutive years. That kind of consistency is rare and places it among the most reliable dividend programs in the market. For investors who value stability, those payouts still matter.

Johnson & Johnson (NYSE:JNJ) and its subsidiaries operate across the healthcare sector, spanning research and development, manufacturing, and the sale of a broad range of medical products.

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Disclosure: None.