Johnson & Johnson plans to spin off its orthopedics division, marking its second major spinoff in two years. The company expects revenue growth of over 5% in 2026, with adjusted earnings potentially exceeding Wall Street estimates. The new company, DePuy Synthes, will be led by industry veteran Namal Nawana.

In 2023, J&J launched a two-year restructuring plan for its orthopedics unit, including market exits and product discontinuations. Despite these transformations, the company maintains its strong dividend tradition, with a quarterly dividend of $1.30 per share and a 2.74% dividend yield as of October 14.

Johnson & Johnson remains committed to its dividend payouts, having raised them for 63 consecutive years. The company’s orthopedics business, generating about $9.2 billion in revenue last year, will become a separate entity called DePuy Synthes. The new company will be led by industry veteran Namal Nawana.

Read more at Yahoo Finance: J&J Announces Second Major Spinoff, Plans to Separate Orthopedics Division