Here’s Why SCCM Enhanced Equity Portfolio Exited Its Position in Kenvue (KVUE)

2 days ago 9

Soumya Eswaran

Mon, March 2, 2026 astatine 8:57 AM CST 3 min read

Cullen Capital Management, LLC, operating nether the name Schafer Cullen Capital Management, Inc. (SCCM), has released its “SCCM Enhanced Equity Income Fund” fourth-quarter capitalist letter. A transcript of the missive tin beryllium downloaded here. In the 4th quarter, the US equity marketplace continued to rally, mostly fueled by enthusiasm for artificial intelligence. The Enhanced Equity Income Strategy returned 2.0% (net) for the 4th fourth and 7.5% (net) for the year, compared to 6.5% and 8.9% from its superior benchmark, the S&P 500 Buy/Write Index, and 1.4% and 8.7% for its secondary benchmark, the SPDR Barclays High Yield Bond ETF (JNK), respectively. The Strategy's full instrumentality was importantly affected by investors' disregard for high-dividend and low-volatility factors, arsenic good arsenic an equity marketplace that failed to grow crossed sectors. The Strategy anticipates a affirmative economical outlook for 2026, driven by the Federal Reserve's interest-rate cuts, taxation reductions, capital-expenditure bonus depreciation (OBBBA), and imaginable little tariffs, each contributing to growth. In addition, delight cheque the Strategy’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, SCCM Enhanced Equity Income Fund highlighted Kenvue Inc. (NYSE:KVUE). Kenvue Inc. (NYSE:KVUE) is simply a starring user wellness institution spun disconnected from Johnson & Johnson. On February 27, 2026, Kenvue Inc. (NYSE:KVUE) banal closed astatine $19.12 per share. One-month instrumentality of Kenvue Inc. (NYSE:KVUE) was 10.01%, and its shares mislaid 19.63% implicit the past 52 weeks. Kenvue Inc. (NYSE:KVUE) has a marketplace capitalization of $36.634 billion.

SCCM Enhanced Equity Income Fund stated the pursuing regarding Kenvue Inc. (NYSE:KVUE) successful its 4th fourth 2025 capitalist letter:

"Kenvue Inc. (NYSE:KVUE) was sold from the strategy during the quarter. The company, a planetary user wellness concern spun disconnected from Johnson & Johnson successful 2023, has seen measurement trends stabilize pursuing important concern successful its R&D and selling crossed its wellness and quality brands. However, it continues to look aggregate challenges, including pressures connected US user spending, a prolonged wintertime play that apt delayed allergy and prima attraction season, and persistent headwinds from China destocking and organisation issues. Additionally, increasing contention from challenger brands and shrinking support abstraction person eroded marketplace share, portion categories including cold/flu and allergy stay taxable to volatile inventory trends. At 19x 2025 EPS, the stock’s valuation is little compelling than erstwhile it was initially added to the portfolio successful 2023."

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