Perrigo (NYSE:PRGO) Reaches New 1-Year High – Still a Buy?

Perrigo Company plc (NYSE:PRGO) hit a new 52-week high during mid-day trading on Monday. The company traded as high as $16.83 and last traded at $16.83, with a volume of 1,452,848 shares trading hands. The stock had previously closed at $15.85.

Analyst Upgrades and Downgrades

PRGO has been the topic of a number of recent research reports. Wall Street Zen cut shares of Perrigo from a “buy” rating to a “hold” rating in a report on Saturday, October 31st. Canaccord Genuity Group upped their price target on Perrigo from $17.00 to $19.00 and gave the stock a “buy” rating in a research note on Friday, October 30th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Perrigo in a research report on Tuesday, November 3rd. Finally, Zacks Research cut Perrigo from a “hold” rating to a “strong sell” rating in a research note on Thursday, October 29th. One equities research analyst has rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Reduce” and an average target price of $18.50.

Perrigo Price Performance

The company has a market capitalization of $2.33 billion, a P/E ratio of -1.32, a price-to-earnings-growth ratio of 1.70 and a beta of 0.71. The company has a debt-to-equity ratio of 1.35, a current ratio of 2.35 and a quick ratio of 1.36. The firm’s 50-day moving average is $14.96 and its 200-day moving average is $12.50.

Perrigo (NYSE:PRGO) last released its quarterly earnings results on Wednesday, November 4th. The company reported $0.60 earnings per share for the quarter, topping the consensus estimate of $0.51 by $0.09. Perrigo had a negative net margin of 43.27% and a positive return on equity of 12.39%. The business had revenue of $988.60 million for the quarter, compared to the consensus estimate of $984.80 million. During the same period last year, the firm earned $0.80 earnings per share. The company’s quarterly revenue was down 5.2% on a year-over-year basis. Analysts predict that Perrigo Company plc will post 2.33 EPS for the current fiscal year.

Perrigo Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Investors of record on Friday, November 27th will be paid a dividend of $0.29 per share. This represents a $1.16 annualized dividend and a yield of 6.9%. The ex-dividend date of this dividend is Friday, November 27th. Perrigo’s dividend payout ratio (DPR) is -9.09%.

Hedge Funds Weigh In On Perrigo

Institutional investors have recently added to or reduced their stakes in the company. Sound Income Strategies LLC lifted its stake in shares of Perrigo by 3.9% in the 3rd quarter. Sound Income Strategies LLC now owns 1,615,467 shares of the company’s stock valued at $23,424,000 after purchasing an additional 60,838 shares during the last quarter. Bank of America Corp DE increased its position in shares of Perrigo by 25.5% during the 1st quarter. Bank of America Corp DE now owns 1,568,598 shares of the company’s stock valued at $16,847,000 after purchasing an additional 318,248 shares during the last quarter. First Trust Advisors LP raised its holdings in Perrigo by 125.5% during the 1st quarter. First Trust Advisors LP now owns 1,496,244 shares of the company’s stock valued at $16,070,000 after buying an additional 832,686 shares during the period. Gamco Investors INC. ET AL lifted its position in Perrigo by 29.7% in the first quarter. Gamco Investors INC. ET AL now owns 1,397,866 shares of the company’s stock worth $15,013,000 after buying an additional 320,081 shares during the last quarter. Finally, ProShare Advisors LLC lifted its position in Perrigo by 51.7% in the third quarter. ProShare Advisors LLC now owns 959,053 shares of the company’s stock worth $14,156,000 after buying an additional 326,797 shares during the last quarter. Hedge funds and other institutional investors own 95.91% of the company’s stock.

About Perrigo

Perrigo is a global consumer healthcare company that develops, manufactures and markets over-the-counter medicines and other self-care products. Its offerings include treatments for allergies, coughs and colds, pain and digestive health, as well as skin care, oral care and infant nutrition products.

The company supplies both its own consumer brands and store-brand products, which retailers sell under their own labels. Perrigo serves customers primarily in North America and Europe through retail and other healthcare channels.

Perrigo traces its roots to a general store opened in Allegan, Michigan, in 1887, where it began supplying medicines.