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    How Investors Are Reacting To Organon (OGN) As Barclays Joins Growing Analyst Skepticism

    Simply Wall St·12/13/2025 18:17:24
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    • Earlier this week, Barclays initiated coverage on Organon with an “Underweight” rating, adding to a series of cautious analyst views on the pharmaceutical company’s prospects.
    • This accumulation of more skeptical opinions highlights growing concern among Wall Street analysts about Organon’s near-term outlook and the resilience of its key products.
    • We’ll now examine how Barclays’ bearish initiation and the broader shift in analyst sentiment may reshape Organon’s investment narrative.

    Find companies with promising cash flow potential yet trading below their fair value.

    Organon Investment Narrative Recap

    To own Organon, you have to believe its women’s health, biosimilars and dermatology assets can offset pressure on aging brands and funding-dependent products like Nexplanon. Barclays’ new Underweight rating and US$7.50 target sharpen attention on that near term earnings risk, but do not fundamentally change the central catalyst, which is whether newer launches such as Vtama and biosimilars can scale fast enough to stabilize overall revenue.

    The most relevant recent development is Organon’s cut to full year 2025 revenue guidance to US$6.200 billion to US$6.250 billion, following earlier optimism in August. That downgrade aligns with the more cautious analyst stance and reinforces the key question for investors around how quickly newer products and international growth can offset pricing pressure, loss of exclusivity and policy related headwinds in the US contraception market.

    Yet investors should be aware that if Nexplanon’s US funding risks intensify, the pressure on Organon’s earnings profile could...

    Read the full narrative on Organon (it's free!)

    Organon's narrative projects $6.5 billion revenue and $990.3 million earnings by 2028. This requires 1.2% yearly revenue growth and a $290.3 million earnings increase from $700.0 million.

    Uncover how Organon's forecasts yield a $9.36 fair value, a 31% upside to its current price.

    Exploring Other Perspectives

    OGN 1-Year Stock Price Chart
    OGN 1-Year Stock Price Chart

    Eight fair value estimates from the Simply Wall St Community span roughly US$9 to US$66 per share, showing just how far apart individual views can be. Against that backdrop, the recent guidance cut and growing concern about pressure on mature products give you a clear reason to compare several of these perspectives before forming your own view on Organon’s prospects.

    Explore 8 other fair value estimates on Organon - why the stock might be worth just $9.00!

    Build Your Own Organon Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.