OGNOrganon & Co. presents a mixed investment profile, with strong financial health and consistent dividend payouts, but faces headwinds in its stock performance and some technical indicators suggesting caution. The company's diversified portfolio in women's health and biosimilars provides a stable revenue base.
Organon operates in the healthcare sector, with a focus on women's health and biosimilars. While these are generally stable markets, significant disruptive thematic tailwinds are not immediately apparent compared to high-growth tech sectors. The company's positioning in established therapeutic areas offers resilience.
Organon demonstrates solid financial performance with a stable revenue base, healthy profitability, and a manageable debt level. The company consistently generates free cash flow, which supports its dividend payouts and financial flexibility.
Organon's stock is trading at $10.07, down from its 52-week high of $23.1. While technical indicators show a recent positive performance (5D: +6.56%), longer-term performance is negative (1Y: -52.2%). Oscillators like RSI are showing overbought conditions on shorter timeframes, suggesting potential for a short-term pause or pullback.
| Factor | Score |
|---|---|
| Women's Health Market Growth | 75 |
| Biosimilars Expansion | 70 |
| Healthcare Innovation & R&D | 60 |
| Regulatory Landscape | 55 |
| Global Healthcare Access | 65 |
| Factor | Score |
|---|---|
| Valuation | 85 |
| Profitability | 75 |
| Growth | 60 |
| Balance Sheet Health | 65 |
| Cash Flow | 80 |
| Factor | Score |
|---|---|
| Trend Analysis | 70 |
| Momentum | 60 |
| Support & Resistance | 65 |
| Volume | 55 |
| Short-term Oscillators | 40 |
Attractive P/E and PEG Ratios
Organon's trailing P/E ratio is 3.49, which is significantly lower than the healthcare sector average. The PEG ratio of 0.59 further suggests that the stock may be undervalued relative to its earnings growth potential.
Consistent Dividend Payout
Organon & Co. has a consistent quarterly dividend payment, with a current yield of 0.83%. The payout ratio of 39.73% indicates that the dividend is well-covered by earnings, suggesting sustainability.
High Debt-to-Equity Ratio
Organon's Debt-to-Equity ratio is notably high at 16.52, indicating significant financial leverage that could pose a risk if earnings decline.
Declining Operating Margins
Organon's operating margin has seen a decline, reaching 10.67% TTM, down from 20.72% at the end of 2024, suggesting potential pressure on profitability.
May 2025
12
Ex-Dividend Date
June 2025
12
Next Dividend Date
August 2025
5
Next Earnings Date
H: $0.97
A: $0.94
L: $0.90
H: 1.57B
A: 1.55B
L: 1.54B
Organon & Co. develops and delivers health solutions through prescription therapies and medical devices in the United States, Europe, Canada, Japan, rest of the Asia Pacific, Latin America, the Middle East, Russia, Africa, and internationally. The company's women's health portfolio comprises contraception and fertility brands, such as Nexplanon, a long-acting reversible contraceptive; NuvaRing, a monthly vaginal contraceptive ring; Cerazette, Marvelon, and Mercilon, which are daily pills used to prevent pregnancy; Follistim AQ, which is used to promote the development of multiple ovarian follicles in medically assisted reproduction procedures; Elonva, a follicle stimulant; Ganirelix acetate injection, an injectable antagonist; Jada for abnormal postpartum uterine bleeding or hemorrhage; and Xaciato for bacterial vaginosis. Its biosimilars portfolio consists of immunology products, such as Brenzys, Renflexis, and Hadlima; and two oncology products, including Ontruzant and Aybintio. The company also offers cholesterol-modifying medicines under the Zetia, Ezetrol, Vytorin, Inegy, Atozet, Rosuzet, and Zocor brands; Cozaar and Hyzaar for hypertension; respiratory products used to control and prevent asthma-induced symptoms under the Singulair, Dulera, Zenhale, and Asmanex brands, as well as seasonal allergic rhinitis under the Nasonex, Clarinex, and Aerius brands. In addition, it provides dermatology products under the Vtama, Diprosone, and Elocon brand; bone health products under the Fosamax brand; and non-opioid pain management products under the Arcoxia, Diprospan, and Celestone brands, as well as Proscar for symptomatic benign prostatic hyperplasia; and Propecia for male pattern hair loss. The company sells its products to drug wholesalers and retailers, hospitals, clinics, government agencies, health maintenance organizations, pharmacy benefit managers, and other institutions. Organon & Co. was founded in 1923 and is headquartered in Jersey City, New Jersey.
14.00 USD
The 39 analysts offering 1 year price forecasts for OGN have a max estimate of 18.00 and a min estimate of 10.00.