{"id":465566,"date":"2021-05-04T15:00:00","date_gmt":"2021-05-04T19:00:00","guid":{"rendered":"https:\/\/financhill.com\/blog\/?p=465566"},"modified":"2021-05-04T22:22:00","modified_gmt":"2021-05-05T02:22:00","slug":"jessica-alba-honest-ipo","status":"publish","type":"post","link":"https:\/\/financhill.com\/blog\/investing\/jessica-alba-honest-ipo","title":{"rendered":"Jessica Alba Honest IPO: Hollywood To Wall Street"},"content":{"rendered":"

Jessica Alba Honest IPO<\/em>: Jessica Alba is best known as an actor with appearances on television shows and movies, including <\/span>Dark Angel<\/em>, <\/span>Sin City<\/em>, and <\/span>Fantastic Four<\/em>. Alba does more than appear on screens, though. She started <\/strong><\/span>The Honest Company<\/strong><\/a> with her business partner, Christopher Gavigan.<\/strong> The company is preparing to file documents to go public, trading under the ticker HNST.<\/span><\/p>\n

Given the upcoming IPO, how do analysts believe Alba’s Honest Company will perform once it starts trading on the NASDAQ? One thing that they’re looking at is new regulations that could act as a tailwind.<\/span><\/p>\n

A few members of California\u2019s state government have written a bill that would ban forever chemicals from children\u2019s products. Research shows that forever chemicals<\/strong>\u2014also known as PFAS\u2014can <\/span>increase risks of cancer<\/a>, reduce the <\/span>effectiveness of vaccines, and <\/span>harm fetal development. Many public health experts and scientists believe that the chemicals should not be used in any products since they pose significant threats to human and environmental health.<\/span><\/p>\n

If more companies like Honest can thrive, they could at least reduce the presence of harmful chemicals that come into contact with people and pollute the environment in ways that can last decades or centuries. Alba and the other current shareholders of the Honest Company believe that they can generate profits by attracting health-minded consumers, offering safer products, and retaining public trust.<\/span><\/p>\n

Why Jessica Alba Started Honest<\/span><\/h2>\n

Jessica Alba says that she started the Honest Company because she wanted alternatives to the chemical-filled baby products that she found in stores. In 2011, after having her second of three children, she recognized that parents needed access to healthier products.<\/span><\/p>\n

Alba has good reasons for concern. The Environmental Working Group (EWG) reports that most states do not have bans that prevent companies from including \u201cforever chemicals\u201d in products intended for children.<\/strong><\/span><\/p>\n

The Honest Company quickly expanded to include more products, including diapers, shampoo, and home cleaners.<\/span><\/p>\n

Alba has used her position with the Honest Company to encourage ethical consumerism. She has petitioned Congress to mandate product testing and restrict the types of companies use in consumer goods.<\/span><\/p>\n

In 2016, a lawsuit accused the Honest Company<\/a> of using 11 synthetic ingredients in a baby formula labeled as organic. The court dismissed the case against the Honest Company because the USDA had certified the formula as organic.<\/span><\/p>\n

Jessica Alba Honest IPO Underwriters<\/span><\/h2>\n

Honest announced in April that it would soon have an IPO in the near future. Jefferies, JPMorgan (JPM<\/a>)<\/strong>, and Morgan Stanley (MS<\/a>)<\/strong> are underwriting the IPO. <\/span><\/p>\n

It will take some time for the company to complete and file paperwork seeking approval.<\/span><\/p>\n