Organon & Co Stock Forum

OGN's PDUFA Date: A Potential Catalyst for a Cataclysmic Spike?
Tomorrow is a pivotal day for Organogenesis Holdings Inc. (OGN), a regenerative medicine company focused on wound care, surgical and sports medicine. The company is awaiting a decision from the U.S. Food and Drug Administration (FDA) on its Biologics License Application (BLA) for FortaFlex, a novel treatment for partial-thickness rotator cuff tears. This crucial juncture, known as the PDUFA date (Prescription Drug User Fee Act), cou...

Organon's low P/E ratio is due to its predicted growth being less than the broader market. Shareholders accept this as they anticipate future earnings won't bring any pleasant surprises. The share price is unlikely to rise significantly soon under these conditions.

Analysts show increased negativity towards the business following recent results, reflected in a minor decrease in next year's EPS estimates. Despite predicted earnings decline, Organon's valuation is not expected to be significantly affected, but growth is anticipated to lag behind the industry.

Seeking Alpha analysts are growing more bullish on the Merck spinoff, despite Wall Street's neutral stance. Analysts Leo Nelissen and Gen Alpha highlight OGN's attractive yield as a reason for their Buy ratings.

Despite the company's payout ratio not posing an immediate concern, the significant decline in earnings per share raises concerns about Organon from a dividend perspective. Therefore, caution is advised for potential investors considering Organon for its upcoming dividend.