JPMorgan Downgrades Honest Company Due to Intensifying Diaper Competition

JPMorgan downgraded The Honest Company to "Underweight" citing intensified diaper competition and the need for more aggressive pricing. This shift highlights a growing divide in expectations for Honest's path forward. JPMorgan's downgrade directly touches the risk of diaper category weakness and pricing pressure, but does not fundamentally alter the debate around Honest's ability to grow beyond diapers into adjacent categories. Investors should be aware of rising promotional intensity in diapers that could impact Honest's growth.