In the latest trading session, Organon (OGN) closed at $8.20, marking a -3.98% move from the previous day. This change lagged the S&P 500's daily gain of 0.54%. On the other hand, the Dow registered a gain of 1.05%, and the technology-centric Nasdaq increased by 0.56%.
Prior to today's trading, shares of the pharmaceutical company had gained 17.96% outpaced the Medical sector's loss of 1.89% and the S&P 500's gain of 0.74%.
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 February 12, 2026. The company is predicted to post an EPS of $0.74, indicating a 17.78% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.53 billion, showing a 3.84% drop compared to the year-ago quarter.
OGN's full-year Zacks Consensus Estimates are calling for earnings of $3.76 per share and revenue of $6.24 billion. These results would represent year-over-year changes of -8.52% and 0%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Organon. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.88% lower. Organon presently features a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, Organon is holding a Forward P/E ratio of 2.23. This denotes a discount relative to the industry average Forward P/E of 15.89.
Investors should also note that OGN has a PEG ratio of 1.73 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. OGN's industry had an average PEG ratio of 1.76 as of yesterday's close.
The Medical Services industry is part of the Medical sector. With its current Zacks Industry Rank of 181, this industry ranks in the bottom 27% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming 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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