1Anno·

Let's ask a question about $JNJ (-1,21%) ...

Shouldn't the share price move upwards after the spin-off of $KVUE (-1,24%) would it not be highly probable that the share price would move upwards because a large number of freely tradable shares would "disappear" in one fell swoop, thus reducing the supply?

Am I making a mistake in my thinking or do you see it similarly?

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immagine del profilo
Yes and no. First of all, you are right that the shareholder offering can become smaller with a split off. However, there are an incredible number of factors that come into play, especially with the company. First of all, there is the shift in sales that J&J now has to share with Kenvue and vice versa. A major issue are the lawsuits wodruch now also not ne micro economy can happen, that is of course nen risk. In addition, the price can rise or fall of J&J, because of the spin-off of the main group is now diversified differently. Means shareholders can jump off or come in. And couple more things that would make this too long. Overall, the answer is if most would accept the offer, there would be no tragic macro and micro events in the time then you would be right. At least that is my understanding.
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