New York, Feb 5, 2026, 19:10 EST — After-hours
- JNJ climbed roughly 1.4% Thursday and held steady in after-hours trading
- Company urges U.S. Supreme Court to reconsider investor class action linked to talc safety claims
- The FDA has issued a Class I recall for Cerepak detachable coil systems following reports of injuries and one death.
Johnson & Johnson shares jumped about 1.4% Thursday, then held steady after hours. The move came as the company asked the U.S. Supreme Court to weigh in on whether a shareholder lawsuit accusing it of misleading statements about talc safety can move forward as a class action. The petition seeks clarification on the court’s 2021 Goldman Sachs ruling, focusing on how “price impact” — whether alleged falsehoods affected stock prices — factors into certifying investor groups. JNJ last changed hands at $237.79, after trading between $233.33 and $240.00 during regular hours. Bloomberg Law
This move is significant as talc-related lawsuits have long weighed on the company, and securities class actions only add pressure, even if the core issues unfold in other courts. A Supreme Court review is rare, but it could change the legal landscape that investors and firms have battled over in these cases.
Johnson & Johnson edged higher despite a tough session on Wall Street, where the S&P 500 slid 1.23% and the Nasdaq dropped 1.59%. Investors shied away from AI-focused tech stocks, growing cautious about whether hefty spending will pay off. “We’re seeing this volatility about whether this investment will translate into results,” noted Tom Hainlin, an investment strategist at U.S. Bank Wealth Management. Reuters
The shareholder lawsuit alleges Johnson & Johnson misled investors on the safety of its talc products, including asbestos risks in baby powder. In 2023, a U.S. appeals court ruled the company has to face the proposed class action.
The U.S. Food and Drug Administration announced a Class I recall for Johnson & Johnson MedTech’s Cerepak Detachable Coil Systems, citing a risk that the devices might fail to detach. This is the FDA’s most severe recall classification. According to the agency, the malfunction “could result in hemorrhagic and ischemic stroke” along with other serious complications. Reports include four serious injuries and one death, the FDA noted in a warning highlighted by Cardiovascular Business.
For traders, these two headlines affect separate divisions but strike a common chord: concerns over legal risks and product safety continue to sway sentiment around a stock often seen as a steady source of cash flow and dividends.
But the outcome remains unclear. The Supreme Court frequently refuses to hear most petitions, and even if it agrees to review the case, the process can drag on. On the device front, investors will be tracking whether the recall expands and if it triggers further regulatory moves or lawsuits.
With the regular market closed, focus turns to upcoming developments: potential court actions on the Supreme Court petition and further FDA updates on the Cerepak recall ahead of Friday’s session.
Investors are also eyeing a closer date: Johnson & Johnson’s management will take part in a fireside chat at the TD Cowen 46th Annual Health Care Conference on March 3 at 11:10 a.m. ET.
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