Perrigo (NYSE:PRGO) Shares Gap Up Following Better-Than-Expected Earnings

Perrigo Company plc (NYSE:PRGO) shares gapped up before the market opened on Friday following a stronger than expected earnings report. The stock had previously closed at $24.13, but opened at $27.65. Perrigo shares last traded at $28.44, with a volume of 921,628 shares changing hands.

The company reported $0.93 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.92 by $0.01. Perrigo had a negative net margin of 3.64% and a positive return on equity of 7.38%. The company had revenue of $1.14 billion during the quarter, compared to analysts’ expectations of $1.20 billion.

Perrigo Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 25th. Stockholders of record on Friday, March 7th will be given a $0.29 dividend. This is an increase from Perrigo’s previous quarterly dividend of $0.28. The ex-dividend date of this dividend is Friday, March 7th. This represents a $1.16 annualized dividend and a dividend yield of 4.09%. Perrigo’s dividend payout ratio is presently -99.15%.

Analyst Ratings Changes

Several analysts recently issued reports on PRGO shares. Argus downgraded Perrigo from a “buy” rating to a “hold” rating in a research note on Tuesday, January 14th. StockNews.com cut shares of Perrigo from a “buy” rating to a “hold” rating in a research report on Wednesday, February 19th. Finally, Piper Sandler lowered shares of Perrigo from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $34.00 to $27.00 in a research report on Monday, January 6th. Four equities research analysts have rated the stock with a hold rating and two have given a buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $35.00.

Insider Buying and Selling at Perrigo

In other Perrigo news, Director Jeffrey B. Kindler sold 17,598 shares of the firm’s stock in a transaction dated Monday, December 9th. The shares were sold at an average price of $28.27, for a total value of $497,495.46. Following the transaction, the director now directly owns 5,409 shares of the company’s stock, valued at $152,912.43. This trade represents a 76.49 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.40% of the company’s stock.

Institutional Investors Weigh In On Perrigo

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Headlands Technologies LLC lifted its position in shares of Perrigo by 1,942.0% during the 4th quarter. Headlands Technologies LLC now owns 1,409 shares of the company’s stock worth $36,000 after buying an additional 1,340 shares during the last quarter. Versant Capital Management Inc acquired a new position in Perrigo during the fourth quarter worth about $45,000. GAMMA Investing LLC raised its stake in Perrigo by 93.7% during the fourth quarter. GAMMA Investing LLC now owns 1,920 shares of the company’s stock worth $49,000 after acquiring an additional 929 shares in the last quarter. Central Pacific Bank Trust Division lifted its holdings in shares of Perrigo by 33.3% in the fourth quarter. Central Pacific Bank Trust Division now owns 2,000 shares of the company’s stock worth $51,000 after acquiring an additional 500 shares during the last quarter. Finally, Venturi Wealth Management LLC acquired a new stake in shares of Perrigo in the 3rd quarter valued at approximately $56,000. 95.91% of the stock is currently owned by institutional investors.

Perrigo Stock Up 17.4 %

The firm’s fifty day moving average is $24.87 and its 200-day moving average is $26.18. The company has a market capitalization of $3.87 billion, a P/E ratio of -24.20 and a beta of 0.54. The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.77 and a current ratio of 2.56.

About Perrigo

Perrigo Company plc provides over-the-counter health and wellness solutions to enhance individual well-being in the United States, Europe, and internationally. It operates through Consumer Self-Care Americas and Consumer Self-Care International segments. The company develops, manufactures, markets, and distributes self-care consumer products, such as upper respiratory products, including cough suppressants, expectorants, and sinus and allergy relief; nutrition products consisting of infant formulas and nutritional beverages; digestive health products, including antacids, anti-diarrheal, and anti-heartburn; pain and sleep-aids products comprising pain relievers and fever reducers; and oral care products, which include toothbrushes, toothbrush replacement heads, floss, flossers, whitening products, and toothbrush covers.