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Organon (OGN)
NYSE:OGN
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Organon (OGN) AI Stock Analysis

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OGN

Organon

(NYSE:OGN)

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Neutral 58 (OpenAI - 5.2)
Rating:58Neutral
Price Target:
$14.00
â–²(3.55% Upside)
Action:Reiterated
Date:07/31/26
The score is held back primarily by weakened financial performance (sharp revenue decline, thinner net margins) and significant balance-sheet leverage risk, despite continued positive cash generation. Offsetting factors include a constructive price trend versus moving averages, supportive valuation metrics (mid-teens P/E and very high dividend yield), and positive corporate-event momentum from shareholder approval of the Sun Pharma merger.
Positive Factors
Diversified pharma franchise
Organon’s business spans women’s health, biosimilars and established off‑patent brands, providing multiple revenue engines. This diversification reduces single‑product concentration risk, helps stabilize cash flows across market cycles and supports resilience during therapeutic or regional headwinds.
Negative Factors
Very high financial leverage
Extremely high debt relative to equity and historically negative book equity materially amplify financial risk. Leverage increases interest burden and reduces buffer for operational shocks, constrains strategic flexibility and makes results more sensitive to modest revenue or margin deterioration.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified pharma franchise
Organon’s business spans women’s health, biosimilars and established off‑patent brands, providing multiple revenue engines. This diversification reduces single‑product concentration risk, helps stabilize cash flows across market cycles and supports resilience during therapeutic or regional headwinds.
Read all positive factors

Organon (OGN) vs. SPDR S&P 500 ETF (SPY)

Organon Business Overview & Revenue Model

Company Description
Organon & Co., a global pharmaceutical enterprise, is dedicated to developing and delivering a wide array of prescription therapies. Its women's health division features reproductive care products, encompassing birth control and fertility treatmen...
How the Company Makes Money
Organon makes money primarily by selling prescription pharmaceutical products to wholesalers, distributors, pharmacies, hospitals, and other healthcare providers globally. Its revenue model is largely product-sales driven and can be grouped into t...

Organon Financial Statement Overview

Summary
Results are pressured by a sharp TTM revenue decline (-25.8%) and much weaker net profitability (~4% net margin). Cash flow remains positive with historically supportive earnings quality, but TTM free cash flow fell materially (-60.1%). The biggest risk is the highly levered balance sheet (very high debt-to-equity and prior negative equity), which reduces resilience if operational weakness persists.
Income Statement
43
Neutral
Balance Sheet
25
Negative
Cash Flow
54
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue4.57B6.22B6.40B6.26B6.17B6.30B
Gross Profit2.40B3.36B3.71B3.75B3.88B3.92B
EBITDA934.32M1.28B1.60B1.44B1.76B1.98B
Net Income101.11M187.00M864.00M1.02B917.00M1.35B
Balance Sheet
Total Assets13.18M12.87B13.10B12.06B10.96B10.68B
Cash, Cash Equivalents and Short-Term Investments1.13M574.00M675.00M693.00M706.00M737.00M
Total Debt8.55M8.80B9.04B8.93B9.11B9.36B
Total Liabilities12.17M12.12B12.63B12.13B11.85B12.19B
Stockholders Equity1.01M752.00M472.00M-70.00M-892.00M-1.51B
Cash Flow
Free Cash Flow245.25M538.00M588.00M538.00M431.00M1.97B
Operating Cash Flow405.33M700.00M939.00M799.00M858.00M2.46B
Investing Cash Flow-179.69M-390.00M-513.00M-260.00M-420.00M-481.00M
Financing Cash Flow-263.05M-561.00M-368.00M-569.00M-433.00M-1.33B

Organon Technical Analysis

Technical Analysis Sentiment
Positive
Last Price13.52
Price Trends
50DMA
13.47
Positive
100DMA
11.37
Positive
200DMA
9.53
Positive
Market Momentum
MACD
0.05
Positive
RSI
62.43
Neutral
STOCH
59.79
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OGN, the sentiment is Positive. The current price of 13.52 is above the 20-day moving average (MA) of 13.52, above the 50-day MA of 13.47, and above the 200-day MA of 9.53, indicating a bullish trend. The MACD of 0.05 indicates Positive momentum. The RSI at 62.43 is Neutral, neither overbought nor oversold. The STOCH value of 59.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OGN.

Organon Risk Analysis

Organon disclosed 47 risk factors in its most recent earnings report. Organon reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Organon Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$133.41B14.3946.75%4.33%3.13%83.17%
72
Outperform
$104.29B16.1028.35%3.50%8.82%48.32%
72
Outperform
$321.57B36.5817.93%2.56%2.70%-48.28%
69
Neutral
$103.78B22.775.52%5.58%23.68%-30.90%
63
Neutral
$6.84B14.877.88%3.72%6.84%61.67%
58
Neutral
$3.56B16.9415.79%0.59%-2.45%-70.52%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
OGN
Organon
13.55
3.97
41.37%
BMY
Bristol-Myers Squibb
65.47
22.15
51.13%
GSK
GlaxoSmithKline
51.51
15.18
41.78%
GRFS
Grifols SA
7.86
-2.60
-24.86%
MRK
Merck & Company
130.20
52.92
68.49%
SNY
Sanofi
43.08
-3.13
-6.77%

Organon Corporate Events

Business Operations and StrategyFinancial DisclosuresM&A TransactionsRegulatory Filings and Compliance
Organon Reports Q2 Results Amid Pending Sun Pharma Merger
Neutral
Jul 31, 2026
On July 31, 2026, Organon Co. filed its Form 10-Q with the SEC, releasing financial results for the quarter ended June 30, 2026 while maintaining its suspension of traditional earnings press releases and conference calls because of its pending me...
Business Operations and StrategyM&A TransactionsShareholder Meetings
Organon Shareholders Approve Merger with Sun Pharma
Positive
Jul 23, 2026
On July 23, 2026, Organon held a virtual special meeting of stockholders to vote on a proposed merger under an agreement dated April 26, 2026 with Sun Pharmaceutical Holdings USA, Inc. and its subsidiary. The plan calls for Organon to be merged wi...
Legal ProceedingsM&A TransactionsRegulatory Filings and ComplianceShareholder Meetings
Organon Issues Supplemental Disclosures on Sun Pharma Merger
Neutral
Jul 17, 2026
On April 26, 2026, Organon agreed to be acquired through a merger in which it will become a wholly owned subsidiary of Sun Pharmaceutical Holdings USA, Inc., and subsequently filed a definitive proxy statement on June 17, 2026, ahead of a July 23,...
Executive/Board ChangesShareholder Meetings
Organon Shareholders Approve Board, Pay and Incentive Plan
Positive
Jun 11, 2026
At its 2026 annual meeting held on June 9, 2026, Organon stockholders elected ten board nominees to serve until the 2027 meeting, with each director receiving strong majority support despite some variation in opposing votes. Shareholders also appr...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 31, 2026