Organon &
Financial ratios & Valuation

Forward Multiples (2025 – 2028)

2025202620272028
Price/Earnings ratio
2.472.242.152.26
Price/Sales ratio
0.360.350.370.38
Earnings per Share (EPS)
$3.75$4.13$4.31$4.1

Historical Multiples (2017 – 2023)

2017 2018 2019 2020 2021 2022 2023 TTM Median
Valuation Ratios
Price/Earnings ratio
4.673.902.613.905.717.733.592.984.80
Price/Sales ratio
0.800.861.081.041.221.140.580.601.13
Price/Book Value ratio
N/A1.321.19-10.27-5.11-7.95-52.577.86-4.54
Price/Cash Flow ratio
2.462.283.043.853.148.274.604.093.44
Price/Free Cash Flow ratio
2.522.343.144.413.9116.466.845.573.78
Price/Earnings Growth ratio
N/A0.190.05-0.11-0.15-0.230.320.14-0.03
Dividend Yield
N/AN/AN/AN/A1.87%4.08%7.98%7.43%3.71%
Profitability Indicator Ratios
Gross Profit Margin
56.30%51.99%70.75%58.65%62.21%62.84%59.84%58.26%60.43%
Operating Profit Margin
31.16%27.67%49.46%35.19%25.68%23.93%21.18%23.43%30.43%
Pretax Profit Margin
29.51%27.91%47.52%33.10%24.25%18.17%10.74%12.20%28.67%
Net Profit Margin
17.15%22.02%41.37%26.67%21.43%14.85%16.33%20.29%24.05%
Effective Tax Rate
41.88%21.10%10.55%19.40%11.64%18.27%-52.00%-66.36%15.52%
Return on Assets
N/A20.51%30.50%20.70%12.64%8.37%8.48%10.20%16.67%
Return On Equity
N/A33.91%45.74%-263.41%-89.58%-102.80%-1461.42%846.17%-108.83%
Return on Capital Employed
N/A30.23%41.78%30.85%20.02%17.50%14.51%15.07%25.44%
Liquidity Ratios
Current Ratio
N/AN/AN/AN/AN/AN/AN/A1.70N/A
Quick Ratio
N/A1.762.152.091.091.161.091.201.65
Cash ratio
N/A0.150.230.410.280.280.230.270.35
Days of Sales Outstanding
N/A59.4773.2149.1480.0187.20101.6398.4661.17
Days of Inventory outstanding
N/A77.30171.9099.56140.20159.58190.84188.70135.73
Operating Cycle
N/A136.77245.12148.70220.22246.78292.48287.17196.91
Days of Payables Outstanding
N/A22.4741.4128.24211.76180.11190.69149.0034.82
Cash Conversion Cycle
N/A114.30203.71120.468.4566.67101.78138.17162.08
Debt Ratios
Debt Ratio
N/A0.010.000.000.850.810.720.680.00
Debt Equity Ratio
N/A0.020.01-0.03-6.05-9.99-125.1417.74-0.01
Long-term Debt to Capitalization
N/A0.000.00-0.021.191.111.000.94-0.00
Total Debt to Capitalization
N/A0.020.01-0.031.191.111.000.94-0.01
Interest Coverage Ratio
N/AN/AN/AN/AN/AN/AN/A2.90N/A
Cash Flow to Debt Ratio
N/A24.7426.6070.540.260.090.090.1035.40
Company Equity Multiplier
N/A1.651.49-12.72-7.08-12.28-172.2525.86-5.61
Cash Flow Ratios
Operating Cash Flow / Sales Ratio
0.320.370.350.270.380.130.120.140.33
Free Cash Flow / Operating Cash Flow Ratio
0.970.970.960.870.800.500.670.730.83
Cash Flow Coverage Ratio
N/A24.7426.6070.540.260.090.090.1035.40
Short Term Coverage Ratio
N/A32.0681.38273.37273.11107.2588.7794.6273.24
Dividend Payout Ratio
N/AN/AN/AN/A10.73%31.62%28.73%22.75%5.36%