Organon & Co. (NYSE:OGN) Shares Gap Up – Should You Buy?

Organon & Co. (NYSE:OGN) shares gapped up before the market opened on Friday . The stock had previously closed at $8.60, but opened at $10.75. Organon & Co. shares last traded at $10.3770, with a volume of 7,262,680 shares trading hands.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the stock. Zacks Research upgraded shares of Organon & Co. from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 14th. Wall Street Zen downgraded shares of Organon & Co. from a “buy” rating to a “hold” rating in a report on Saturday, January 31st. Finally, Barclays raised their price objective on shares of Organon & Co. from $7.50 to $8.00 and gave the stock an “underweight” rating in a report on Tuesday, February 24th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $8.50.

Organon & Co. Stock Performance

The company has a quick ratio of 1.23, a current ratio of 1.82 and a debt-to-equity ratio of 11.47. The company has a market cap of $2.87 billion, a PE ratio of 15.77, a P/E/G ratio of 0.84 and a beta of 0.67. The business’s fifty day moving average is $7.14 and its 200-day moving average is $7.67.

Organon & Co. (NYSE:OGN) last posted its quarterly earnings data on Thursday, February 12th. The company reported $0.63 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.73 by ($0.10). The business had revenue of $1.51 billion during the quarter, compared to analysts’ expectations of $1.52 billion. Organon & Co. had a return on equity of 122.01% and a net margin of 3.01%.The business’s quarterly revenue was down 5.3% compared to the same quarter last year. During the same period in the previous year, the business posted $0.90 EPS. As a group, research analysts predict that Organon & Co. will post 3.24 EPS for the current fiscal year.

Organon & Co. Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, March 12th. Investors of record on Monday, February 23rd were issued a $0.02 dividend. The ex-dividend date of this dividend was Monday, February 23rd. This represents a $0.08 dividend on an annualized basis and a dividend yield of 0.7%. Organon & Co.’s dividend payout ratio (DPR) is presently 11.27%.

Institutional Investors Weigh In On Organon & Co.

A number of institutional investors and hedge funds have recently added to or reduced their stakes in OGN. Royal Bank of Canada raised its stake in Organon & Co. by 53.4% during the 1st quarter. Royal Bank of Canada now owns 360,862 shares of the company’s stock worth $5,374,000 after acquiring an additional 125,648 shares during the period. Goldman Sachs Group Inc. raised its stake in Organon & Co. by 126.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,435,198 shares of the company’s stock worth $21,370,000 after acquiring an additional 801,307 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Organon & Co. by 2.6% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,042,991 shares of the company’s stock worth $15,530,000 after acquiring an additional 26,640 shares during the period. Focus Partners Wealth raised its stake in Organon & Co. by 33.2% during the 1st quarter. Focus Partners Wealth now owns 55,875 shares of the company’s stock worth $832,000 after acquiring an additional 13,925 shares during the period. Finally, XTX Topco Ltd bought a new stake in Organon & Co. during the 2nd quarter worth approximately $107,000. Institutional investors own 77.43% of the company’s stock.

Organon & Co. Company Profile

Organon & Co is a global healthcare company that was established as an independent, publicly traded entity following its spin-off from Merck & Co in June 2021. Headquartered in Jersey City, New Jersey, Organon focuses on delivering therapeutic solutions across women’s health, biosimilars, and established brands. The company’s creation reflected a strategic effort to concentrate on specialty pharmaceuticals and legacy products with proven patient impact.

In women’s health, Organon provides a broad portfolio of products addressing reproductive and gynecological conditions, including fertility treatments, contraception, and hormone replacement therapies.