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Organon & Co
XMUN:7XP

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Organon & Co
XMUN:7XP
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Price: 7.91 EUR 9.03%
Market Cap: €2B

EV/OCF

15.1
Current
9%
More Expensive
vs 3-y median of 13.8

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
15.1
=
Enterprise Value
€9.6B
/
Operating Cash Flow
$700m

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
15.1
=
Enterprise Value
€9.6B
/
Operating Cash Flow
$700m

Valuation Scenarios

Organon & Co is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (13.8), the stock would be worth €7.24 (8% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-8%
Maximum Upside
+11%
Average Downside
2%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 15.1 €7.91
0%
3-Year Average 13.8 €7.24
-8%
5-Year Average 14 €7.34
-7%
Industry Average 14.4 €7.57
-4%
Country Average 16.7 €8.76
+11%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
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Market Distribution

In line with most companies in the United States of America
Percentile
35th
Based on 9 518 companies
35th percentile
12.7
Low
0 — 11.7
Typical Range
11.7 — 23.6
High
23.6 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 11.7
Median 16.7
70th Percentile 23.6
Max 3 178 983.5

Organon & Co
Glance View

In the corporate realm of healthcare, Organon & Co. emerged as a dedicated player with a mission to address vital needs in women's health. Born from a spin-off of Merck & Co.'s women's health, biosimilars, and established brands business in 2021, Organon positions itself at the heart of a neglected niche ripe with opportunity. The company's vision is clear: to enhance the health and well-being of women at every stage of life. Organon leverages its legacy of trusted brands while simultaneously developing new and innovative solutions that cater to female-specific health concerns. Through its robust portfolio of medicines and products, Organon focuses on conditions that resonate deeply with women's health issues, from contraception and fertility to postpartum recovery. As a biopharmaceutical company, it prides itself on combining a blend of established and emerging solutions to create sustainable value. Organon’s business model capitalizes on its diverse range of offerings, employing a three-pronged strategy. The women's health segment is a significant focus, providing products that are central in addressing previously unmet needs. Meanwhile, the biosimilars segment expands the company's reach, offering affordable alternatives to more costly biologic treatments, which is increasingly crucial in today's price-sensitive healthcare environment. Lastly, the established brands division comprises a portfolio of mature pharmaceutical products that continue to generate stable revenue, thanks partly to their enduring trust among healthcare professionals. This multifaceted approach ensures Organon isn't merely reliant on new product development but can also maximize value from existing assets. The synergy across these divisions allows Organon to not only meet current market demands but also anticipate future health trends, making it a dynamic entity in the global healthcare landscape.

7XP Intrinsic Value
44.22 EUR
Undervaluation 82%
Intrinsic Value
Price €7.91
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