Organogenesis Holdings (ORGO) AI Stock Analysis

• Market Cap: $621.60M
• Dividend Yield: N/A
• Average Volume (3M): 751.99K
• Price to Earnings (P/E): 928.6
• Beta (1Y): 1.53
• Revenue Growth: -4.21%
• EPS Growth: 7.78%
• Country: US
• Employees: 869
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.06
• Shares Outstanding: 126,857,710
• 10 Day Avg. Volume: 732,492
• 30 Day Avg. Volume: 751,987
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 1.30
• Enterprise Value/Gross Profit: 1.78
• Enterprise Value/Ebitda: -40.00
• 1Y Price Target: $7.00
• Price Target Upside: 49.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 54 Neutral
• Price Target: $5.00 ▲(6.84% Upside)

Organogenesis Holdings' overall stock score is primarily influenced by its financial performance challenges, including declining revenue and profitability. The technical analysis suggests a neutral trend with potential for upward movement. Valuation is negatively impacted by unprofitability and lack of dividends. The earnings call highlights both strategic opportunities and significant challenges.

Positive Factors

Strong Balance Sheet

A low debt-to-equity ratio indicates a conservative leverage position, providing financial stability and flexibility for future growth initiatives.

Surgical & Sports Medicine Growth

Growth in the Surgical & Sports Medicine segment highlights the company's ability to expand in high-demand areas, supporting long-term revenue diversification.

Proposed CMS Payment Reform

The proposed CMS payment reform could stabilize pricing and encourage innovation, benefiting Organogenesis by enhancing market conditions for its products.

Negative Factors

Declining Revenue

A significant decline in revenue indicates challenges in market demand or competitive positioning, which could impact long-term financial health if not addressed.

Advanced Wound Care Revenue Decline

The decline in Advanced Wound Care revenue suggests competitive pressures and market challenges, potentially affecting the company's core revenue stream.

Reduced Financial Guidance

Lowered financial guidance reflects management's cautious outlook, possibly due to ongoing operational challenges and market uncertainties.

Organogenesis Holdings Business Overview & Revenue Model

Company Description

Organogenesis Holdings Inc., a regenerative medicine company develops, manufactures, and commercializes solutions for the advanced wound care, and surgical and sports medicine markets in the United States. The company's advanced wound care products include Affinity, an amniotic membrane wound covering in which viable cells growth factors/cytokines, and ECM proteins in the native tissue are preserved; Apligraf, a bioengineered living cell therapy that produce spectrum of cytokines and growth factors; Dermagraft, a bioengineered product that produces human collagen, ECM, proteins, and cytokines; NuShield, a wound covering tissue includes both amnion and chorion membranes for spongy/intermediate layer intact; PuraPly , a antimicrobial barrier that enables conformability and fluid drainage; and Novachor, an amniotic membrane wound covering in which viable cells, growth factors/cytokines, and ECM proteins are preserved. Its surgical and sports medicine products comprise NuCel, a dehydrated placental tissue surgically applied to the target tissue to support native healing; ReNu, a cryopreserved suspension used to support healing of soft tissues; and FiberOS and OCMP used as a bone void filler primarily in orthopedic and neurosurgical applications. The company's pipeline products include PuraPly XT and PuraPly MZ to treat chronic, acute, and open wounds; PuraForce, a bioengineered porcine collagen surgical matrix for use in soft tissue reinforcement applications; and TransCyte, a bioengineered tissue for the treatment of partial thickness burns. It serves hospitals, wound care centers, government facilities, ambulatory service centers, and physician office through direct sales force and independent agencies. The company was founded in 1985 and is headquartered in Canton, Massachusetts.

How the Company Makes Money

Organogenesis generates revenue primarily through the sale of its advanced wound care and surgical biologics products. The company has established a diverse revenue model that includes direct sales to hospitals, outpatient clinics, and other healthcare providers. Key revenue streams come from product sales in the United States and internationally, supported by a strong sales force and distribution network. Additionally, Organogenesis benefits from collaborations and partnerships with healthcare institutions and payers, which enhance its market presence and facilitate access to its products. The company also invests in research and development to innovate and expand its product portfolio, contributing to long-term revenue growth through new offerings in the regenerative medicine space.

Organogenesis Holdings Financial Statement Overview

Summary

Organogenesis Holdings faces significant challenges with declining revenue, profitability, and cash flow generation in recent periods. The company's strong gross profit margin and low leverage are positive aspects, yet the negative net profit margins and declining equity raise concerns about its financial health. Management must address operational inefficiencies and enhance cash flow management to stabilize and improve the financial outlook.

Income Statement

Organogenesis Holdings experienced a decline in revenue with a negative growth rate of around -4.82% from 2024 to TTM (Trailing-Twelve-Months), alongside a consistent downward trajectory since 2021. The company shows negative net profit margins and EBIT margins in the TTM, indicating operational challenges. However, gross profit margins remain strong at 74.89% in TTM, suggesting efficient cost management. Despite strong historical performance, recent declines highlight potential risks.

Balance Sheet

The balance sheet reflects moderate stability with a debt-to-equity ratio of 0.18 in TTM, showcasing low leverage and prudent financial management. The equity ratio stands at 51.96%, indicating a healthy proportion of equity within the asset structure. However, declining stockholders' equity and rising liabilities over the periods pose risks to financial stability. The return on equity is negative in TTM, further pointing to profitability issues.

Cash Flow

The cash flow analysis reveals challenges with negative free cash flow in TTM, deteriorating from previous periods, indicating liquidity issues. The operating cash flow to net income ratio is 0.24, highlighting operational inefficiencies. While past periods showed positive free cash flow, recent figures suggest potential cash constraints, necessitating careful liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	429.53M	482.04M	433.14M	450.89M	468.06M	338.30M
Gross Profit	313.68M	366.30M	326.66M	345.87M	353.86M	250.98M
EBITDA	-13.98M	15.76M	36.03M	40.32M	87.00M	37.23M
Net Income	-10.98M	861.00K	4.95M	15.53M	94.20M	17.23M
Balance Sheet
Total Assets	461.13M	497.89M	460.02M	449.36M	443.26M	294.49M
Cash, Cash Equivalents and Short-Term Investments	73.08M	135.57M	104.34M	102.48M	113.93M	84.39M
Total Debt	40.82M	43.31M	119.35M	123.79M	132.30M	84.77M
Total Liabilities	99.91M	112.57M	181.36M	183.69M	201.22M	148.41M
Stockholders Equity	361.22M	385.32M	278.66M	265.67M	242.03M	141.81M
Cash Flow
Free Cash Flow	-46.37M	4.18M	6.55M	-9.04M	30.76M	-14.34M
Operating Cash Flow	-33.18M	14.21M	30.92M	24.86M	61.98M	6.80M
Investing Cash Flow	-13.19M	-10.03M	-24.36M	-33.90M	-31.22M	-24.83M
Financing Cash Flow	29.63M	27.64M	-5.50M	-2.20M	-1.04M	42.47M

Organogenesis Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.68
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ORGO, the sentiment is Neutral. The current price of 4.68 is below the 20-day moving average (MA) of 4.87, below the 50-day MA of 4.76, and above the 200-day MA of 4.08, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.20 is Neutral, neither overbought nor oversold. The STOCH value of 48.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ORGO.

Organogenesis Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AVDL	70 Outperform	1.51B	-464.55	-3.22%	―	132.35%	97.34%
PAHC	66 Neutral	1.55B	32.24	16.89%	1.26%	27.37%	1898.99%
COLL	65 Neutral	1.11B	33.45	15.62%	―	22.61%	-63.00%
ORGO	54 Neutral	$621.60M	928.57	-2.64%	―	-4.21%	7.78%
HROW	53 Neutral	1.77B	-155.54	-20.60%	―	47.69%	69.57%
EOLS	43 Neutral	393.93M	-6.15	-913.07%	―	17.15%	-7.23%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Organogenesis Holdings Corporate Events

Organogenesis Amends Credit Agreement Amid Revenue Decline

On August 5, 2025, Organogenesis Holdings Inc. amended its Credit Agreement to adjust financial covenants and accommodate its fiscal needs. The company reported a decrease in net product revenue to $100.8 million for the second quarter of 2025, compared to $130.2 million in the same period of 2024, with a net loss of $9.4 million, indicating a challenging financial period.

Organogenesis Holdings Approves Key Proposals at Annual Meeting

On June 23, 2025, Organogenesis Holdings held its Annual Meeting of Stockholders where several key proposals were voted on and approved. The meeting included the re-election of Garrett Lustig to the board of directors and the election of other directors to serve until the next annual meeting. Additionally, stockholders approved the compensation for named executive officers and the issuance of over 20% of Class A common stock upon conversion of Series A Convertible Preferred Stock, which may be deemed a change of control under Nasdaq rules. The appointment of RSM US LLP as the independent registered public accounting firm for 2025 was also ratified.