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Why Organon (OGN) Dipped More Than Broader Market Today
OGNOrganon & (OGN) ZACKS·2025-02-07 23:50

Company Performance - Organon (OGN) closed at 14.62,reflectinga1.8114.62, reflecting a -1.81% change from the previous day, underperforming compared to the S&P 500's daily loss of 0.95% [1] - The stock has decreased by 6.94% over the past month, contrasting with the Medical sector's gain of 5.16% and the S&P 500's gain of 1.86% [1] Earnings Forecast - Organon is expected to release its earnings on February 13, 2025, with projected earnings per share (EPS) of 0.86, indicating a 2.27% decrease from the same quarter last year [2] - The consensus estimate for quarterly revenue is $1.57 billion, down 2.03% from the previous year [2] Analyst Estimates - Recent changes to analyst estimates for Organon are crucial as they reflect short-term business trends and analysts' confidence in the company's performance [3] - A 2.27% decline in the Zacks Consensus EPS estimate has been noted over the past month, with Organon currently holding a Zacks Rank of 3 (Hold) [5] Valuation Metrics - Organon has a Forward P/E ratio of 3.7, significantly lower than the industry's average Forward P/E of 17.62, indicating a valuation discount [6] - The company has a PEG ratio of 0.78, compared to the Medical Services industry's average PEG ratio of 1.6 [6] Industry Context - The Medical Services industry, part of the Medical sector, holds a Zacks Industry Rank of 181, placing it in the bottom 28% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]