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To: Madharry who wrote (77315)3/26/2025 8:39:03 PM
From: E_K_S1 Recommendation

Recommended By
Bob Rudd

  Respond to of 78787
 
Organon & Co. (OGN) is a global healthcare company that specializes in women's health, biosimilars, and established brands 1 6. The company was formed as a spin-off from Merck & Co. and launched as an independent, publicly traded entity on June 3, 2021 2 7.

Company OverviewOrganon's business is divided into three main segments:
  1. Women's Health: Focuses on contraception and fertility products, including Nexplanon and NuvaRing 1.

  2. Biosimilars: Develops and markets treatments for oncology and immunology 1.

  3. Established Brands: Offers over 60 medicines across various therapeutic areas 1.

Financial PositionDebt and Leverage:
  • Organon's debt is significant, with a debt-to-EBITDA ratio of 5.0 3.

  • The company aims to bring its net debt-to-EBITDA ratio below four by the end of 2024 5.

Assets:
  • As of 2023, Organon reported:

    • Total assets of $12.06 billion

    • Tangible assets of $1.18 billion

    • Intangible assets of $5.14 billion

    • Cash and equivalents of $693 million 4

Cash Flow:
  • The company generates strong cash flow, which supports its dividend and debt reduction efforts 5.

  • Exact free cash flow (FCF) figures were not provided in the search results.

  • Strategic Outlook Organon's CEO, Kevin Ali, expresses confidence in the company's ability to manage its debt and maintain its current dividend, citing strong cash flow generation and healthy EBITDA 5. The company's recent stock price momentum suggests that it may be moving past the challenging initial stage of the spin-off 5.

Despite its high debt levels, Organon expects lower interest expenses in 2024 due to reduced debt balances 5. The company offers an attractive dividend yield of over 5%, which is supported by its cash flow and represents a low 26% dividend payout ratio 5.



To: Madharry who wrote (77315)3/27/2025 10:53:48 AM
From: E_K_S  Read Replies (1) | Respond to of 78787
 
RE: Organon & Co. (OGN)

Probably still too much debt but I started accumulating SOLV on their spin off in 4/2024 and have a running CAGR of + 32.11% based on my avg cost of $56.77/share. Maybe you can do something similar w/ OGN but try to accumulated at 5%-10% lower prices and see if you can average in at/near $11.50/share.

Solventum Corporation (SOLV) 74.95 +0.71 (+0.96%) was a spin off from MMM

here's a breakdown of the Solventum (SOLV) spin-off from 3M (MMM):

  • Spin-off:
    • Solventum was spun off from 3M.

    • The spin-off became effective on April 1, 2024.

    • 3M shareholders received 1 share of SOLV for every 4 shares of MMM they owned.

  • Price:
    • According to the information found, the price per share used for cost basis calculations was $69.125. This was the average of SOLV's opening and closing prices on April 1, 2024.
  • Key Points:
    • The spin-off was structured to be a tax-free event for 3M shareholders.

    • 3M retains a 19.9% stake in Solventum.

    • Solventum began trading on the New York Stock Exchange (NYSE) under the ticker symbol SOLV.