Perrigo (NYSE:PRGO – Get Free Report) issued its earnings results on Wednesday. The company reported $0.60 EPS for the quarter, topping analysts’ consensus estimates of $0.51 by $0.09, FiscalAI reports. The business had revenue of $988.60 million for the quarter, compared to analyst estimates of $984.80 million. Perrigo had a negative net margin of 41.85% and a positive return on equity of 11.25%. The company’s quarterly revenue was down 5.2% compared to the same quarter last year. During the same period last year, the company posted $0.80 earnings per share.
Here are the key takeaways from Perrigo’s conference call:
- Sequential operating trends improved: Core sales declined 1.7% year over year, a narrower drop than in the first half, while core adjusted operating margin rose to 14.3% from 13.4% in Q2. Perrigo also gained 30 basis points of U.S. store-brand OTC share and 80 basis points across key European brands.
- Retailer inventory caution and European softness weighed on results and outlook. Management said retailers built less cough-and-cold inventory than expected and European demand remained weak; it lowered its 2026 sales outlook, while noting seasonal replenishment could fall in Q4 or Q1.
- Core adjusted operating margin fell 210 basis points year over year to 14.3%, and core adjusted EPS declined $0.06 to $0.61. Lower sales and unfavorable mix hurt results; a 3.5% adjusted tax rate, including a year-to-date catch-up, added about $0.10 to quarterly core EPS.
- The infant formula divestiture is expected to simplify the business, improve its margin profile, and reduce future capital needs. Perrigo expects to use proceeds in line with its capital priorities, including debt reduction, while continuing its review of oral care; its cost program delivered $42 million of savings year to date.
Perrigo Stock Up 4.9%
Shares of NYSE:PRGO traded up $0.78 during trading on Wednesday, reaching $16.48. The stock had a trading volume of 3,079,502 shares, compared to its average volume of 3,032,065. The firm’s 50-day simple moving average is $14.89 and its 200 day simple moving average is $12.49. The company has a current ratio of 2.32, a quick ratio of 1.32 and a debt-to-equity ratio of 1.31. Perrigo has a one year low of $9.23 and a one year high of $17.48. The company has a market capitalization of $2.29 billion, a P/E ratio of -1.31, a PEG ratio of 1.81 and a beta of 0.71.
Perrigo Dividend Announcement
The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Friday, November 27th will be given a dividend of $0.29 per share. This represents a $1.16 annualized dividend and a dividend yield of 7.0%. The ex-dividend date of this dividend is Friday, November 27th. Perrigo’s dividend payout ratio is presently -9.27%.
Analyst Ratings Changes
Several research firms have commented on PRGO. Weiss Ratings upgraded Perrigo from a “sell (d-)” rating to a “sell (d)” rating in a report on Thursday, August 6th. Zacks Research downgraded Perrigo from a “hold” rating to a “strong sell” rating in a research report on Thursday, October 29th. Canaccord Genuity Group raised their price target on Perrigo from $17.00 to $19.00 and gave the company a “buy” rating in a research note on Friday, October 30th. Finally, Wall Street Zen lowered shares of Perrigo from a “buy” rating to a “hold” rating in a research note on Saturday. One analyst has rated the stock with a Buy rating, three have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $18.50.
Get Our Latest Analysis on PRGO
Trending Headlines about Perrigo
Here are the key news stories impacting Perrigo this week:
- Positive Sentiment: Adjusted EPS was $0.60, above the $0.51 FactSet estimate, and revenue of $988.6 million modestly exceeded the $984.8 million estimate. The company also cited sequential operating improvement and market-share gains in U.S. store-brand OTC products and key European brands. Perrigo third-quarter results
- Neutral Sentiment: Perrigo said its planned Infant Formula divestiture should simplify its portfolio and focus investment on higher-return consumer self-care categories. A strategic review of its Oral Care business is ongoing. Perrigo third-quarter results
- Negative Sentiment: The company slipped to a reported loss. Revenue fell 5.2% year over year, and adjusted EPS was below the $0.80 earned in the year-ago quarter. Perrigo updated its 2026 outlook to account for the divestiture, more measured retailer inventory positioning, and continued weakness in Europe. Perrigo slips to loss in Q3
Perrigo Company Profile
Perrigo Company plc is a global consumer self-care company that develops, manufactures and markets over-the-counter health products, wellness products and personal care items. Its portfolio includes products for allergy, pain relief, digestive health, skin care, smoking cessation, women’s health and other everyday health needs, along with vitamins, nutritional supplements and infant nutrition products.
Perrigo supplies products under its own brands, acquired brands and retailer-owned private-label labels.
Read More
- Five stocks we like better than Perrigo
- Why ExxonMobil and Chevron Reminded Investors to Keep it Simple
- Amazon Has Erased Its Earnings Sell-Off, But Is the Biggest Opportunity Still Ahead?
- onsemi’s AI Sales Surge 175%: Is a Stock Recovery Next?
- Energy Transfer’s Earnings Miss May Be Hiding Its Strongest Advantage
Receive News & Ratings for Perrigo Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Perrigo and related companies with MarketBeat.com's FREE daily email newsletter.
