Citi analysts resumed the research coverage of Johnson & Johnson (NYSE:JNJ) with a Buy rating and a $185 per share.

JNJ’s healthcare business Kenvue made its trading debut earlier in May after the former sold 172.8 million shares at $22 apiece.

“What remains is world-leading medical technology and pharmaceutical franchises, which can focus R&D (and management energy) on respective pipelines while creating a more cohesive drug/device potential,” the analysts said in the client note.

They see several positive catalysts that could help shares to re-rate higher, including recovering patient volumes, a robust new product pipeline, talc litigation settlement progress, as well as the completion of the strategic transformation.

“In other words, there is momentum at the new, streamlined JNJ,” the analysts said.

The price target offers a 20% upside potential.