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Research Alert: CFRA Keeps Buy Opinion On Shares Of Perrigo Company Plc

05/11/2021 07:33

11:25 AM EDT, 05/11/2021 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our target by $5 at $53, 17.6x our '22 EPS estimate, a slight premium to PRGO's 10-yr historical forward P/E average of 16.6x. We continue to think that PRGO is in the midst of a healthy transformation following the sale of its Generic Rx business, expected to close in Q3, enabling it to be a more valuable play as a pure consumer self-care company. We cut our '21 EPS estimate by $0.07 to $2.63 to reflect the lower than expected Q1 EPS and our higher EPS forecasts for the second half of the year. We keep our '22 EPS estimate at $3.01. Q1 EPS of $0.50 vs. $0.67 was $0.07 below the consensus and $0.18 below our estimate. PRGO reported Q1 net sales of $1B, down 6.8% Y/Y, $47M below our expectations and $15M below consensus. Consumer Self-Care Americas (63% of total, -8.6% Y/Y) and International (37% of total, -3.4% Y/Y) both recorded sales declines this quarter as PRGO was negatively impacted by the absence of the Covid-19 stockpiling a year ago ahead of lockdowns, and a mild cold/flu season this year.