Organon & Co. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Apellis Pharmaceuticals, Inc.

Exelixis, Inc.

Jazz Pharmaceuticals Plc

Intra-Cellular Therapies, Inc.

Repligen Corp.

Catalent, Inc.

Organon & Co.

Ionis Pharmaceuticals, Inc.

Alkermes Plc

Roivant Sciences Ltd.

Karuna Therapeutics, Inc.

Why is Organon & Co. ?

Company has a low Debt to Equity ratio (avg) at times

Healthy long term growth as Net Sales has grown by an annual rate of 13.72% and Operating profit at -3.44%

Negative results in Jun 25

INVENTORY TURNOVER RATIO(HY) Lowest at 2 times
NET PROFIT(Q) At USD 142.47 MM has Fallen at -35.56%
RAW MATERIAL COST(Y) Grown by 6.27% (YoY)

With ROE of 163.16%, it has a very attractive valuation with a 4.59 Price to Book Value

Over the past year, while the stock has generated a return of -53.06%, its profits have fallen by -22.3%

Below par performance in long term as well as near term

Along with generating -53.06% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Organon & Co. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Organon & Co. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Organon & Co.

37.3%

-1.05

61.51%

S&P 500

22.99%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.15%

EBIT Growth (5y)

-14.88%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

3.73

Net Debt to Equity (avg)

15.51

Sales to Capital Employed (avg)

0.69

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

47.41%

Pledged Shares

Institutional Holding

94.92%

ROCE (avg)

25.39%

ROE (avg)

858.56%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.02

EV to EBIT

7.74

EV to EBITDA

6.03

EV to Capital Employed

1.09

EV to Sales

1.55

PEG Ratio

Dividend Yield

1.02%

ROCE (Latest)

14.04%

ROE (Latest)

69.90%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 825.36 %

CASH AND EQV(HY)

Highest at USD 1,690 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.32 times

-7What is not working for the Company

NET PROFIT(9M)

At USD 379.88 MM has Grown at -43.88%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 3.6%

DIVIDEND PER SHARE(HY)

Lowest at USD 4.32

NET SALES(Q)

Lowest at USD 1,460 MM

Here's what is working for Organon & Co.

Debt-Equity Ratio

Lowest at 825.36 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Cash and Eqv

Highest at USD 1,690 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 4.32 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Organon & Co.

Net Profit

At USD 379.88 MM has Grown at -43.88%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Net Sales

Lowest at USD 1,460 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Dividend per share

Lowest at USD 4.32

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)

Dividend Payout Ratio

Lowest at 3.6%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)