Perrigo Valuation

Is PRGO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PRGO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PRGO ($26.81) is trading below our estimate of fair value ($78.62)

Significantly Below Fair Value: PRGO is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for PRGO?

Key metric: As PRGO is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PRGO. This is calculated by dividing PRGO's market cap by their current revenue.
What is PRGO's PS Ratio?
PS Ratio0.8x
SalesUS$4.39b
Market CapUS$3.66b

Price to Sales Ratio vs Peers

How does PRGO's PS Ratio compare to its peers?

The above table shows the PS ratio for PRGO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.4x
PBH Prestige Consumer Healthcare
3.7x2.4%US$4.1b
OGN Organon
0.6x-0.06%US$3.9b
BHC Bausch Health Companies
0.3x1.5%US$3.1b
AMRX Amneal Pharmaceuticals
1x5.6%US$2.6b
PRGO Perrigo
0.8x3.4%US$3.7b

Price-To-Sales vs Peers: PRGO is good value based on its Price-To-Sales Ratio (0.8x) compared to the peer average (1.4x).


Price to Sales Ratio vs Industry

How does PRGO's PS Ratio compare vs other companies in the US Pharmaceuticals Industry?

69 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.2.4x10.1%
PRGO Perrigo
0.8x3.4%US$3.66b
OGN Organon
0.6x-0.06%US$3.87b
BHC Bausch Health Companies
0.3x1.5%US$3.12b
PRGO 0.8xIndustry Avg. 2.4xNo. of Companies69PS03.67.210.814.418+
69 CompaniesEstimated GrowthMarket Cap
Industry Avg.2.4x23.8%
PRGO Perrigo
0.8x63.8%US$3.66b
No more companies

Price-To-Sales vs Industry: PRGO is good value based on its Price-To-Sales Ratio (0.8x) compared to the US Pharmaceuticals industry average (2.4x).


Price to Sales Ratio vs Fair Ratio

What is PRGO's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PRGO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.8x
Fair PS Ratio2.8x

Price-To-Sales vs Fair Ratio: PRGO is good value based on its Price-To-Sales Ratio (0.8x) compared to the estimated Fair Price-To-Sales Ratio (2.8x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PRGO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$26.81
US$35.80
+33.5%
11.2%US$42.00US$30.00n/a5
Nov ’25US$26.09
US$36.00
+38.0%
11.0%US$42.00US$30.00n/a5
Oct ’25US$25.46
US$36.60
+43.8%
12.0%US$42.00US$30.00n/a5
Sep ’25US$29.10
US$38.25
+31.4%
8.5%US$42.00US$35.00n/a4
Aug ’25US$28.18
US$38.50
+36.6%
7.9%US$42.00US$35.00n/a4
Jul ’25US$26.25
US$38.75
+47.6%
7.2%US$42.00US$36.00n/a4
Jun ’25US$27.53
US$39.50
+43.5%
5.8%US$42.00US$36.00n/a4
May ’25US$32.90
US$39.72
+20.7%
4.3%US$42.00US$37.00n/a5
Apr ’25US$32.11
US$38.75
+20.7%
7.4%US$42.00US$35.00n/a4
Mar ’25US$26.33
US$38.75
+47.2%
7.4%US$42.00US$35.00n/a4
Feb ’25US$32.28
US$44.75
+38.6%
8.6%US$49.00US$40.00n/a4
Jan ’25US$32.18
US$43.50
+35.2%
11.8%US$49.00US$37.00n/a4
Dec ’24US$30.90
US$43.50
+40.8%
11.8%US$49.00US$37.00n/a4
Nov ’24US$28.04
US$45.67
+62.9%
8.8%US$49.00US$40.00US$26.093
Oct ’24US$31.95
US$45.67
+42.9%
8.8%US$49.00US$40.00US$25.463
Sep ’24US$36.15
US$48.50
+34.2%
1.0%US$49.00US$48.00US$29.102
Aug ’24US$36.35
US$47.00
+29.3%
4.3%US$49.00US$45.00US$28.182
Jul ’24US$33.95
US$47.00
+38.4%
4.3%US$49.00US$45.00US$26.252
Jun ’24US$32.06
US$47.00
+46.6%
4.3%US$49.00US$45.00US$27.532
May ’24US$37.54
US$49.50
+31.9%
6.5%US$54.00US$45.00US$32.904
Apr ’24US$35.87
US$48.20
+34.4%
8.0%US$54.00US$43.00US$32.115
Mar ’24US$37.93
US$47.75
+25.9%
9.6%US$54.00US$42.00US$26.334
Feb ’24US$37.72
US$47.75
+26.6%
9.6%US$54.00US$42.00US$32.284
Jan ’24US$34.09
US$47.75
+40.1%
9.6%US$54.00US$42.00US$32.184
Dec ’23US$32.14
US$49.25
+53.2%
9.0%US$54.00US$42.00US$30.904
Nov ’23US$40.11
US$51.50
+28.4%
5.0%US$54.00US$48.00US$28.044

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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