Perrigo (NYSE:PRGO) Sets New 12-Month Low After Earnings Miss

Key Points

• Perrigo Company plc shares reached a new 52-week low of $21.03 following a disappointing earnings report, closing at $22.27.
• The company's earnings per share for the quarter was $0.57, missing the consensus estimate of $0.59, with revenue down by .9% year-over-year.
• Perrigo recently announced a quarterly dividend of $0.29 per share, translating to an annualized yield of 5.1%, despite a high dividend payout ratio of -88.55%.

Perrigo Company plc (NYSE:PRGO - Get Free Report) shares hit a new 52-week low during mid-day trading on Wednesday following a dissappointing earnings announcement. The stock traded as low as $21.03 and last traded at $22.27, with a volume of 1840427 shares. The stock had previously closed at $26.62.

The company reported $0.57 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.59 by ($0.02). The company had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.08 billion. Perrigo had a negative net margin of 1.86% and a positive return on equity of 9.09%. The business's quarterly revenue was down .9% compared to the same quarter last year. During the same period last year, the firm earned $0.53 EPS.

Perrigo Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 16th. Investors of record on Friday, August 29th will be issued a $0.29 dividend. The ex-dividend date of this dividend is Friday, August 29th. This represents a $1.16 dividend on an annualized basis and a yield of 5.1%. Perrigo's dividend payout ratio is presently -200.00%.

Wall Street Analyst Weigh In

PRGO has been the subject of a number of analyst reports. Wall Street Zen cut Perrigo from a "buy" rating to a "hold" rating in a report on Saturday, July 26th. Canaccord Genuity Group reduced their price target on Perrigo from $42.00 to $40.00 and set a "buy" rating for the company in a report on Thursday. Finally, JPMorgan Chase & Co. reduced their price target on Perrigo from $38.00 to $35.00 and set an "overweight" rating for the company in a report on Thursday. Four equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company's stock. According to MarketBeat.com, Perrigo currently has a consensus rating of "Hold" and an average target price of $33.00.

Hedge Funds Weigh In On Perrigo

Hedge funds have recently made changes to their positions in the company. Principal Financial Group Inc. raised its holdings in shares of Perrigo by 0.3% during the first quarter. Principal Financial Group Inc. now owns 313,849 shares of the company's stock valued at $8,800,000 after acquiring an additional 914 shares during the last quarter. Diamond Hill Capital Management Inc. grew its position in shares of Perrigo by 0.6% in the first quarter. Diamond Hill Capital Management Inc. now owns 1,894,739 shares of the company's stock valued at $53,128,000 after purchasing an additional 11,256 shares in the last quarter. D.A. Davidson & CO. purchased a new stake in shares of Perrigo in the first quarter valued at approximately $1,619,000. GAMMA Investing LLC grew its position in shares of Perrigo by 91.9% in the first quarter. GAMMA Investing LLC now owns 3,685 shares of the company's stock valued at $103,000 after purchasing an additional 1,765 shares in the last quarter. Finally, Beach Investment Counsel Inc. PA purchased a new stake in shares of Perrigo in the first quarter valued at approximately $1,526,000. Institutional investors and hedge funds own 95.91% of the company's stock.

Perrigo Stock Down 0.9%

The company has a quick ratio of 1.28, a current ratio of 2.32 and a debt-to-equity ratio of 0.81. The business has a 50-day moving average price of $26.76 and a 200-day moving average price of $26.34. The firm has a market capitalization of $3.11 billion, a PE ratio of -39.00 and a beta of 0.47.

Perrigo Company Profile

Perrigo Company plc provides over-the-counter health and wellness solutions to enhance individual well-being in the United States, Europe, and internationally. It operates through Consumer Self-Care Americas and Consumer Self-Care International segments. The company develops, manufactures, markets, and distributes self-care consumer products, such as upper respiratory products, including cough suppressants, expectorants, and sinus and allergy relief; nutrition products consisting of infant formulas and nutritional beverages; digestive health products, including antacids, anti-diarrheal, and anti-heartburn; pain and sleep-aids products comprising pain relievers and fever reducers; and oral care products, which include toothbrushes, toothbrush replacement heads, floss, flossers, whitening products, and toothbrush covers.