NEW YORK (Reuters) - Shares of Johnson & Johnson may come under pressure in the short term following the recent recall of its pediatric Tylenol and other products, but the company’s long-term prospects remain “sound,” Barron’s said in its May 10 edition.
Johnson & Johnson, which has had four recalls in the past year of over-the-counter medicines, most recently on April 30, has a diversified set of businesses, a strong balance sheet and a promising product pipeline, the financial newspaper said.
Citing Scott Glasser, co-portfolio manager of the large-cap-blend Legg Mason ClearBridge Appreciation Fund Barron’s wrote that the products affected by the most recent recall make up less than 1 percent of Johnson & Johnson’s expected 2010 revenue.
Johnson & Johnson were down 9 cents, or 0.1 percent, to close at $63.31 on Friday on the New York Stock Exchange.
Reporting by Phil Wahba