Perrigo (NYSE:PRGO) Stock Bumped Down to Strong Sell by Zacks Research

Key Points

• Zacks Research downgraded Perrigo to “strong sell” from “hold,” while other analysts’ views remain mixed. The stock has a consensus “Reduce” rating and a $17.50 target price.
• Perrigo reported quarterly EPS of $0.50, beating estimates of $0.39, but revenue declined 3.1% year over year to $1.02 billion and the company posted a negative net margin.
• The shares opened at $15.78, with a market capitalization of about $2.19 billion; institutional investors collectively own 95.91% of Perrigo’s stock.

Perrigo (NYSE:PRGO - Get Free Report) was downgraded by stock analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued to clients and investors on Thursday, Zacks reports.

Other equities research analysts have also issued research reports about the stock. Weiss Ratings raised shares of Perrigo from a "sell (d-)" rating to a "sell (d)" rating in a research report on Thursday, August 6th. Wall Street Zen lowered shares of Perrigo from a "buy" rating to a "hold" rating in a research report on Saturday. One analyst has rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, Perrigo has a consensus rating of "Reduce" and a consensus target price of $17.50.

Perrigo Price Performance

NYSE PRGO opened at $15.78 on Thursday. The business's fifty day moving average price is $14.83 and its 200-day moving average price is $12.48. The stock has a market capitalization of $2.19 billion, a price-to-earnings ratio of -1.26, a PEG ratio of 1.83 and a beta of 0.69. The company has a debt-to-equity ratio of 1.31, a current ratio of 2.32 and a quick ratio of 1.32. Perrigo has a 1-year low of $9.23 and a 1-year high of $21.01.

Perrigo (NYSE:PRGO - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.50 EPS for the quarter, topping the consensus estimate of $0.39 by $0.11. Perrigo had a positive return on equity of 11.25% and a negative net margin of 41.85%. The company had revenue of $1.02 billion during the quarter, compared to analyst estimates of $1.02 billion. During the same quarter in the previous year, the company posted ($0.06) earnings per share. Perrigo's revenue was down 3.1% compared to the same quarter last year. Perrigo has set its FY 2026 guidance at 2.250-2.550 EPS. On average, equities analysts predict that Perrigo will post 2.17 earnings per share for the current year.

Institutional Investors Weigh In On Perrigo

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Salomon & Ludwin LLC purchased a new stake in shares of Perrigo during the third quarter worth about $25,000. KBC Group NV raised its stake in Perrigo by 61.3% during the 1st quarter. KBC Group NV now owns 6,283 shares of the company's stock valued at $67,000 after purchasing an additional 2,388 shares during the period. Parvin Asset Management LLC bought a new stake in Perrigo during the 2nd quarter valued at approximately $79,000. Covestor Ltd raised its stake in Perrigo by 13.1% during the 3rd quarter. Covestor Ltd now owns 7,748 shares of the company's stock valued at $114,000 after purchasing an additional 897 shares during the period. Finally, Allworth Financial LP lifted its holdings in Perrigo by 489.1% in the 2nd quarter. Allworth Financial LP now owns 9,390 shares of the company's stock worth $98,000 after purchasing an additional 7,796 shares in the last quarter. 95.91% of the stock is owned by hedge funds and other institutional investors.

Perrigo Company Profile

Perrigo Company plc is a global consumer self-care company that develops, manufactures and markets over-the-counter health products, wellness products and personal care items. Its portfolio includes products for allergy, pain relief, digestive health, skin care, smoking cessation, women's health and other everyday health needs, along with vitamins, nutritional supplements and infant nutrition products.

Perrigo supplies products under its own brands, acquired brands and retailer-owned private-label labels.

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