By Patrick Wingrove, October 14, 2025
J&J’s orthopedics unit, which makes hip, knee, and shoulder implants, surgical instruments, and other products, generated around $9.2 billion last year, or about 10% of total revenue.
Post spinoff, the business, to be named DePuy Synthes, will be led by industry veteran Namal Nawana, the company said.
Shares of the New Jersey-based healthcare company were down 1.8%. They are up 32% so far this year, compared with a 3% rise in the broader S&P Healthcare Index (.SPXHC), opens new tab.
Guggenheim analysts said the stock’s recent rally could limit any further upside.
Brian Mulberry, portfolio manager at Zacks Investment Management, which owns J&J shares, said there are some valid concerns around spinning off the orthopedics division.
“It’s roughly 10% of revenue generation and it is a fairly large strategic pivot to make,” he said, adding that J&J stock might also be down on revived worries around trade and tariffs with China impacting the market broadly.
