Organon carries an attractive valuation with a forward P/E of 3.7x and a PEG of 0.06, supported by strong free cash flow generation at 215% of net income, though revenue is declining 4% and the risk/reward is currently unfavorable with the price already above its resistance-based take-profit target.
Thesis pillars
- Geographic Product Concentration→Stable
- Deep Value Low Pe→Stable
- Fcf Conversion Strength→Stable
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Feb 24, 2026
Organon & Co. (OGN) Stock Analysis
Healthcare · Drug Manufacturers - General
Sell if holding. At $13.78, A.R:R is negative (-2.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: outside United States (74.0%); Concentration risk — Product: Established Brands (59.0%).
Organon & Co. sells a portfolio of over 70 prescription products across women's health, biosimilars, and established brands in over 140 countries. The company recorded $6.2 billion in revenues in 2025, with 74% generated outside the United States, through wholesalers, hospitals,... Read more
Sell if holding. At $13.78, A.R:R is negative (-2.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: outside United States (74.0%); Concentration risk — Product: Established Brands (59.0%). Chart setup: No clear chart pattern; technical signals are mixed. Score 5.1/10, moderate confidence.
Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
About Organon & Co.
About Organon & Co.
Organon & Co. generated $6.2 billion in revenues in 2025, with approximately 74% ($4.6 billion) from markets outside the United States across more than 140 countries. Established brands — a portfolio of off-patent cardiovascular, respiratory, dermatology, and pain-management products — contributed roughly $3.7 billion (59% of total revenues). Women's health products, including Nexplanon and NuvaRing, added $1.8 billion (28%), while biosimilars accounted for $691 million (11%). In April 2026, the company entered a merger agreement with Sun Pharmaceutical Holdings USA at $14.00 per share.
Organon earns revenue through a portfolio of prescription products sold via drug wholesalers, retailers, hospitals, government agencies, and managed healthcare providers. The established brands segment, while mature, generates 91% of its revenues outside the United States, providing geographic breadth despite generic competition across most brands. Women's health centers on Nexplanon, a long-acting reversible contraceptive implant granted a five-year duration label by the FDA in January 2026, and on Follistim AQ in fertility. Biosimilars are commercialized through agreements with Samsung Bioepis and Henlius, on which Organon depends for ongoing development and supply. Six manufacturing facilities across Belgium, Brazil, Indonesia, Mexico, the Netherlands, and the United Kingdom support production. In 2025, the Audit Committee oversaw an independent internal investigation into Nexplanon sales practices to wholesalers in the United States, identifying material weaknesses in internal controls; in October 2025, the company made a voluntary self-disclosure to the SEC, which subsequently opened an investigation.
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Organon faces a regulatory transition with Nexplanon's five-year label extension approved by the FDA in January 2026, which could provide up to three additional years of clinical investigation exclusivity in the United States, though similar applications in the EU and UK remain pending as of 2025. The pending merger with Sun Pharmaceutical Holdings USA, announced April 26, 2026 via Form 8-K at $14.00 per share, represents the most material near-term event for Organon's stakeholders; the company's ongoing SEC investigation and material internal control weaknesses could weigh on integration timelines and regulatory clearance.
See also: Healthcare · Drug Manufacturers - General
From Organon & Co.'s most recent 10-K filing, extracted June 11, 2026.
Recent developments
updated 2026-10-29Recent Developments — Organon & Co.
Latest news
- NEWS Orogen Royalties Announces Drilling Results from Maggie Creek Gold Project — fiscal.ai Oct 28, 2026 neutral
- NEWS Organon R&D Head Juan Camilo Arjona Ferreira Appointed to Entera Bio Board — fiscal.ai Oct 27, 2026 neutral
- NEWS World Copper Ltd. Announces Letter of Intent to Acquire Hot Tip Property from Orogen Royalties Inc. — fiscal.ai Oct 20, 2026 neutral
- NEWS Organon to Report Third Quarter 2026 Results — fiscal.ai Oct 19, 2026
- NEWS Organon To Present Data From Its Current Phase 3 Trial Of MIUDELLA Intrauterine Device At 2026 Society Of Family Plannin — benzinga Oct 16, 2026 neutral
Generated 2026-10-29T11:08:51Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHGeographicoutside United States74%10-K Item 1: 'approximately 74% of our 2025 revenues, or $4.6 billion, generated outside the United States'
- HIGHProductEstablished Brands59%10-K Item 1: 'Established Brands... this portfolio contributed approximately $3.7 billion, or approximately 59% of our total revenues'
- LOWSupplierSamsung Bioepis and Henlius10-K Item 1A: 'We rely on our commercialization agreements with Samsung Bioepis, Henlius and Biothera for the successful development and manufacture of our biosimilars products'
Material Events(8-K, last 90d)
- 2026-04-27Item 1.01HIGHOn April 26, 2026, Organon entered an Agreement and Plan of Merger with Sun Pharmaceutical Holdings USA. Each outstanding share converts to $14.00 cash. Company will become a wholly owned subsidiary of Parent at closing.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
3 floor-breakers
Revenue shrinking — -2.3% YoY. Growth thesis broken unless recovery story develops.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $13.78, A.R:R is negative (-2.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: outside United States (74.0%); Concentration risk — Product: Established Brands (59.0%). Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $13.70. Score 5.1/10, moderate confidence.
Analyst target $8.78 reached (−36.3% from $13.78); no take-profit level is published. Prior stop was $13.70. Stop-loss: $13.70.
Concentration risk — Geographic: outside United States (74.0%); Concentration risk — Product: Established Brands (59.0%); Analyst target reached - limited upside remaining.
Organon & Co. trades at a P/E of 17.7 (forward 3.8). TrendMatrix value score: 7.9/10. Verdict: Sell.
13 analysts cover OGN with a consensus score of 2.5/5. Average price target: $10.
What does Organon & Co. do?Organon & Co. sells a portfolio of over 70 prescription products across women's health, biosimilars, and established...
Organon & Co. sells a portfolio of over 70 prescription products across women's health, biosimilars, and established brands in over 140 countries. The company recorded $6.2 billion in revenues in 2025, with 74% generated outside the United States, through wholesalers, hospitals, and managed healthcare providers operating six manufacturing facilities.