Organon (OGN) ended the recent trading session at $10.21, demonstrating a +1.39% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.4% for the day. Elsewhere, the Dow gained 0.47%, while the tech-heavy Nasdaq added 0.24%.
Shares of the pharmaceutical company have appreciated by 0.9% over the course of the past month, underperforming the Medical sector's gain of 1.19%, and the S&P 500's gain of 4.61%.
Analysts and investors alike will be keeping a close eye on the performance of Organon in its upcoming earnings disclosure. The company's earnings report is set to go public on August 5, 2025. The company's earnings per share (EPS) are projected to be $0.94, reflecting a 16.07% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $1.55 billion, down 3.35% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.83 per share and revenue of $6.24 billion. These totals would mark changes of -6.81% and -2.48%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Organon. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.55% higher. Organon presently features a Zacks Rank of #2 (Buy).
In terms of valuation, Organon is currently trading at a Forward P/E ratio of 2.63. This signifies a discount in comparison to the average Forward P/E of 16.08 for its industry.
One should further note that OGN currently holds a PEG ratio of 1. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Medical Services industry had an average PEG ratio of 1.53.
The Medical Services industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 147, placing it within the bottom 41% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Organon & Co. (OGN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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