PRGO

Perrigo Company plc

Consumer


Presented:10/13/2023
Price:$29.37
Cap:$3.98B
Current Price:$24.30
Cap:$3.31B

Presented

Date10/13/2023
Price$29.37
Market Cap$3.98B
Ent Value$8.39B
P/E RatioN/A
Book Value$35.81
Div Yield3.67%
Shares O/S135.40M
Ave Daily Vol1,392,905
Short Int3.44%

Current

Price$24.30
Market Cap$3.31B
Perrigo Co. Plc engages in the provision of self-care products and over-the-counter (OTC) health and wellness solutions. It enhances individual well-being by empowering consumers to proactively prevent or treat conditions that can be self-managed. It operates through the following segments: Consumer Self-Care Americas (CSCA) and Consumer Self-Care International (CSCI). The CSCA segment offers OTC solutions, infant formula, oral care, and contract manufacturing in the U.S, Mexico, and Canada. The CSCI segment includes the self-care business branded in Europe, Australia, the United Kingdom, and parts of Europe and Asia. The company was founded by Luther Perrigo in 1887 and is headquartered in Dublin, Ireland.

Publicly traded companies mentioned herein: Amazon Inc (AMZN), CVS Health Corp (CVS), Costco Wholesale Corporation (COST), Perrigo Company PLC (PRGO), Walgreens Boots Alliance Inc (WBA)

Highlights

The presenter is long shares of Perrigo Company (PRGO), due to its strong market position, growth potential, and favorable legal outlook related to the lawsuit against Kenvue. The investment thesis is anchored on three key factors: an anticipated earnings rebound driven by a the unwinding of external headwinds; the potential for enhanced performance through recent leadership changes and a focus on pricing and cost optimization; and the introduction of Opill, an over-the-counter contraceptive, as a catalyst for substantial growth. Accounting for changes the presenter views Perrigo's stock as undervalued at 10x consensus 2024 earnings of $3 per share, and sees the potential for EPS to reach $5 in 2025 and potentially $7 by 2027.

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Idea Discussion

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