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Organon & Co (OGN)



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Upturn Advisory Summary
04/01/2025: OGN (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit -2.27% | Avg. Invested days 46 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 3.74B USD | Price to earnings Ratio 4.36 | 1Y Target Price 20 |
Price to earnings Ratio 4.36 | 1Y Target Price 20 | ||
Volume (30-day avg) 3789631 | Beta 0.72 | 52 Weeks Range 13.62 - 22.29 | Updated Date 03/30/2025 |
52 Weeks Range 13.62 - 22.29 | Updated Date 03/30/2025 | ||
Dividends yield (FY) 7.72% | Basic EPS (TTM) 3.33 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 13.49% | Operating Margin (TTM) 18.72% |
Management Effectiveness
Return on Assets (TTM) 7.39% | Return on Equity (TTM) 42.99% |
Valuation
Trailing PE 4.36 | Forward PE 5.03 | Enterprise Value 12045877718 | Price to Sales(TTM) 0.6 |
Enterprise Value 12045877718 | Price to Sales(TTM) 0.6 | ||
Enterprise Value to Revenue 1.88 | Enterprise Value to EBITDA 7.51 | Shares Outstanding 257950000 | Shares Floating 256993154 |
Shares Outstanding 257950000 | Shares Floating 256993154 | ||
Percent Insiders 0.21 | Percent Institutions 83.95 |
Analyst Ratings
Rating 3.33 | Target Price 22.25 | Buy 3 | Strong Buy 1 |
Buy 3 | Strong Buy 1 | ||
Hold 3 | Sell 2 | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Organon & Co
Company Overview
History and Background
Organon & Co. was formed in June 2021 as a spin-off from Merck & Co. It inherited Merck's women's health, biosimilars, and established brands portfolios. Organon focuses on addressing unmet medical needs, particularly in women's health.
Core Business Areas
- Women's Health: Focuses on contraception, fertility, and hormone replacement therapy.
- Biosimilars: Develops and commercializes biosimilar versions of established biologics, primarily in immunology and oncology.
- Established Brands: A portfolio of well-known, off-patent medications across various therapeutic areas.
Leadership and Structure
Organon is led by Kevin Ali as CEO. The company operates with a global organizational structure, focusing on regional commercial operations and centralized research and development.
Top Products and Market Share
Key Offerings
- Nexplanon: A long-acting reversible contraceptive implant. Competitors include IUDs (e.g., Mirena from Bayer), birth control pills (various manufacturers). Market share and revenue data not available in the prompt. Estimated revenue is about $500 million.
- Follistim AQ: A fertility treatment. Competitors include Gonal-f (Merck), Bravelle (Ferring). Market share and revenue data not available in the prompt. Revenue estimated around $200 million.
- Renflexis: A biosimilar of Remicade (infliximab). Competitors include Inflectra (Pfizer). Revenue is dependent on market dynamics, but the biosimilar market is highly competitive. Revenue estiamted at $150 million.
Market Dynamics
Industry Overview
The pharmaceutical industry is characterized by intense competition, high R&D costs, and stringent regulatory requirements. The biosimilars market is growing rapidly. Women's health is a growing area of focus.
Positioning
Organon is positioned as a global healthcare company focused on women's health, biosimilars, and established brands. Its competitive advantage lies in its established brand portfolio, biosimilar development capabilities, and focus on women's health. It is trying to build a pipeline of new and innovated products through internal and external channels
Total Addressable Market (TAM)
The total addressable market is significant, encompassing women's health, biosimilars, and established pharmaceutical products globally. It's estimated to be in the hundreds of billions. Organon is attempting to capture a good share of the TAM and is positioned to maintain its mature product portfolio in a profitable position.
Upturn SWOT Analysis
Strengths
- Established brand portfolio
- Global commercial infrastructure
- Expertise in women's health
- Biosimilar development capabilities
- Strong Cash Flow
Weaknesses
- Reliance on established brands with declining revenue
- Limited pipeline of innovative products
- Competition from larger pharmaceutical companies
- High debt level from spin-off
Opportunities
- Expanding biosimilar portfolio
- Acquiring innovative products or companies
- Growth in emerging markets
- Focusing on unmet needs in women's health
Threats
- Generic competition
- Pricing pressure
- Regulatory changes
- Economic downturns
Competitors and Market Share
Key Competitors
- Bayer (BAYRY)
- Pfizer (PFE)
- Merck (MRK)
- Viatris (VTRS)
Competitive Landscape
Organon faces competition from larger, more diversified pharmaceutical companies. Its competitive advantage lies in its focus on women's health and biosimilars.
Major Acquisitions
Alydia Health
- Year: 2021
- Acquisition Price (USD millions): 240
- Strategic Rationale: Expands Organon's women's health portfolio with a focus on postpartum hemorrhage.
Growth Trajectory and Initiatives
Historical Growth: Historical growth has been moderate, reflecting the nature of the established brands portfolio. Biosimilars represent future growth.
Future Projections: Future growth is projected to come from biosimilar sales, expansion into emerging markets, and potential acquisitions or partnerships.
Recent Initiatives: Organon is actively pursuing acquisitions and partnerships to expand its product pipeline and presence in key therapeutic areas. Focus is on women's health.
Summary
Organon is a relatively new company spun off from Merck with a focus on women's health, biosimilars, and established brands. While its established brands generate stable cash flow, the company faces challenges in pipeline development and competition. Expansion into biosimilars and strategic acquisitions are key to its future growth. Investors need to consider its debt load and the mature nature of a large portion of its portfolio.
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VTRS

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Sources and Disclaimers
Data Sources:
- Company filings
- Analyst reports
- Industry publications
- Company Press Releases
Disclaimers:
This analysis is for informational purposes only and should not be considered investment advice. Market conditions can shift, impacting the accuracy and validity of forward-looking statements.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Organon & Co
Exchange NYSE | Headquaters Jersey City, NJ, United States | ||
IPO Launch date 2021-06-02 | CEO & Director Mr. Kevin Ali | ||
Sector Healthcare | Industry Drug Manufacturers - General | Full time employees 10000 | Website https://www.organon.com |
Full time employees 10000 | Website https://www.organon.com |
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.
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