Johnson & Johnson, one of the world’s largest healthcare corporations, continues to expand its pharmaceutical division while managing reputational and legal challenges. In recent Johnson & Johnson news, the company is set to make its orthopedics division into an independent company.
This article outlines a potential acquisition, updates on ongoing litigation related to talc products, and how these developments may affect the company’s broader strategy.
Johnson & Johnson to Spin Off Orthopedics Unit, Raises Growth Outlook
Johnson & Johnson announced on October 14 that it will separate its orthopedics division into an independent company within the next 18 to 24 months. This marks the healthcare giant’s second major spinoff.
The company also raised its near-term growth forecast, citing momentum from upcoming drug launches and a more robust medical devices lineup.
J&J now expects revenue to grow by more than 5% in 2026, outpacing current analyst projections of 4.6%.
Adjusted earnings per share are projected to exceed Wall Street’s estimate of $11.39 by as much as $0.05.
The orthopedics unit, which includes joint implants, surgical tools, and other related products, brought in approximately $9.2 billion last year. It accounts for about 10% of Johnson & Johnson’s overall revenue.
Once the spinoff is complete, the new company will operate under the name DePuy Synthes. Additionally, it will be led by industry veteran Namal Nawana, according to the company.
Johnson & Johnson Reportedly in Negotiations to Buy Protagonist Therapeutics
Johnson & Johnson is in talks to acquire Protagonist Therapeutics, according to Reuters. The deal would give J&J greater control over its immunology pipeline..
Protagonist’s stock jumped more than 30% on October 11, pushing its market value to $4.2 billion by the end of the trading day.
The two companies already work together on Icotrokinra. Icotrokinra is an oral treatment in development for conditions like ulcerative colitis and plaque psoriasis. J&J holds exclusive rights to commercialize the drug.
Analysts at Leerink Partners estimate icotrokinra could generate up to $9.5 billion in peak global sales. This would mark a significant asset as J&J looks to offset declines elsewhere in its portfolio.
Neither company has issued a public statement on the possible acquisition. The Wall Street Journal was first to report the story.
Johnson & Johnson Liable for $966 Million in Talc Cancer Verdict
A jury in Los Angeles has ordered Johnson & Johnson to pay $966 million to the family of Mae Moore, a California woman who died from mesothelioma in 2021. Jurors found that asbestos in the company’s talc-based baby powder contributed to her illness.
A Los Angeles jury just ordered Johnson & Johnson to pay $966 million to the family of a woman who died from cancer linked to its talc baby powder.
It’s one of the biggest verdicts yet — and a huge victory for truth and accountability.
Mae Moore used J&J’s baby powder for years… pic.twitter.com/aKHmjkJ2Hi
— MAHA Action (@MAHA_Action) October 7, 2025
The award includes $16 million in compensatory damages and $950 million in punitive damages, according to court filings.
Moore’s family filed the lawsuit the same year she died at age 88, claiming her decades-long use of the product caused her cancer. The case is one of several accusing the company of failing to warn consumers about possible asbestos contamination in its talc.
The final amount may be reduced on appeal. U.S. Supreme Court guidance typically limits punitive damages to no more than nine times the compensatory figure.
J&J’s head of litigation, Erik Haas, called the verdict “egregious and unconstitutional” and said the company plans to appeal.
J&J has consistently stated that its talc products are asbestos-free, safe to use, and not linked to cancer.
The company pulled its talc-based baby powder from U.S. shelves in 2020 and now sells a cornstarch version instead.
This October 8 verdict ranks among the largest the company has faced in recent years.
Johnson & Johnson Appoints Former Sherwin-Williams CEO John Morikis to Board
In other Johnson & Johnson news, on September 8, the company announced the appointment of John Morikis, former CEO and Executive Chairman of Sherwin-Williams, to its Board of Directors.
Morikis brings more than four decades of leadership experience, having spent his entire career at Sherwin-Williams.
During his time as CEO, he focused on strengthening operations, growing the company’s global presence, and investing in talent and innovation.
His track record leading complex business shifts aligns with Johnson & Johnson’s current push to streamline operations and build leadership across its divisions.
Conclusion
Johnson & Johnson is entering a period that will test its ability to manage litigation risk, preserve margins, and deliver on product pipeline expectations.
Investors should monitor legal outcomes, pipeline performance, and how the company allocates capital in the coming quarters. These factors will determine how well it maintains earnings stability amid ongoing shifts.
To get the latest Johnson & Johnson news and other corporate finance updates in different industries, subscribe to Financial Daily Update today.
Latest News
-
JPMorgan News: National Security Push, Bournemouth Project, & Coinbase Deal
-
Alliance Laundry Systems: NYSE Debut, Acquisition, & Growth Outlook
-
SoftBank News: ABB Robotics Deal & Stargate Expansion
-
IKEA News: Locus Robotics Deal & New Zealand Store Launch
-
Fifth Third Bank News: Comerica Deal, Prime Rate Cut & Market Outlook
-
General Dynamics News: Army Contract, IT Modernization Deal, & Outlook
-
Allstate News: Executive Shakeup, Financials, and More
-
Einride: Funding Round, Historic Border Pass & Industry Outlook
Updated October 14, 2025
