Organon & Co. (OGN) versus Its Competitors Critical Survey

Organon & Co. (NYSE:OGN) is one of 897 publicly-traded companies in the “Pharmaceuticals” industry, but how does it weigh in compared to its rivals? We will compare Organon & Co. to similar companies based on the strength of its analyst recommendations, risk, earnings, profitability, institutional ownership, valuation and dividends.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Organon & Co. and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Organon & Co.	2	5	0	0	1.71
Organon & Co. Competitors	7764	13847	25695	1031	2.41

Organon & Co. presently has a consensus target price of $11.40, indicating a potential downside of 17.54%. As a group, “Pharmaceuticals” companies have a potential upside of 24.01%. Given Organon & Co.’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Organon & Co. has less favorable growth aspects than its rivals.

Dividends

Organon & Co. pays an annual dividend of $0.08 per share and has a dividend yield of 0.6%. Organon & Co. pays out 10.4% of its earnings in the form of a dividend. As a group, “Pharmaceuticals” companies pay a dividend yield of 3.3% and pay out 49.5% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares Organon & Co. and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Organon & Co.	$6.13 billion	$187.00 million	17.95
Organon & Co. Competitors	$4.64 billion	$3.23 billion	545.42

Organon & Co. has higher revenue, but lower earnings than its rivals. Organon & Co. is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

Organon & Co. has a beta of 1.55, suggesting that its share price is 55% more volatile than the S&P 500. Comparatively, Organon & Co.’s rivals have a beta of -4.21, suggesting that their average share price is 521% less volatile than the S&P 500.

Profitability

This table compares Organon & Co. and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Organon & Co.	3.41%	88.97%	6.03%
Organon & Co. Competitors	-2,380.91%	-221.73%	-15.99%

Institutional & Insider Ownership

77.4% of Organon & Co. shares are owned by institutional investors. Comparatively, 32.4% of shares of all “Pharmaceuticals” companies are owned by institutional investors. 1.6% of Organon & Co. shares are owned by insiders. Comparatively, 14.2% of shares of all “Pharmaceuticals” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Organon & Co. rivals beat Organon & Co. on 8 of the 15 factors compared.

Organon & Co. Company Profile

Organon & Co. is a science based global pharmaceutical company, which develops and delivers innovative health solutions through a portfolio of prescription therapies within women’s health, biosimilars and established brands. The company was founded on March 11, 2020, and is headquartered in Jersey City, NJ.