Current Analysis: Orion Oyj
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Orion Oyj (ORINY) is a globally operating Finnish pharmaceutical company that develops, manufactures, and markets human and veterinary pharmaceuticals and active pharmaceutical ingredients.
The company primarily focuses on treatments for central nervous system disorders, oncology, and respiratory diseases.
Orion's customers include specialists and general practitioners, veterinarians, pharmacies, hospitals, and laboratories.
Orion mainly serves Finland but also has a presence in other European countries and North America.
Further, it has a partnership with Propeller Health to connect the Easyhaler(R) product portfolio; and a research collaboration and license agreement with Amneal Pharmaceuticals, Inc. to commercialize Amneal’s generic products.
The company was founded in 1917 and is headquartered in Espoo, Finland.
Three key data points gauge Orion Oyj or any dividend-paying firm.
The key three are:
(1) Price
(2) Dividends
(3) Returns
Those three basic keys best tell whether any company has made, is making, and will make money.
ORINY Price
Over the past year, Orion’s share price dropped about 5.5% from $20.11 to $19.00 as of Tuesday’s market close.
If ORINY stock trades in the range of $15.00 to $25.00 this next year, its recent $19.00 share price might rise to $20.00 by next year. Of course, ORINY’s price could drop about the same $1.00 estimated amount, or more.
My upside estimate of $1.00, however, is about $0.20 above the average annual share price gin over the past five years
ORINY Dividend
Orion has paid variable Annual dividends since April 14, 2016. ORINY’s most recent A dividend, paid April 17th to shareholders of record March 23rd, was $0.87. That annual return casts a forward yield of 4.58% per Tuesday’s closing price.
ORINY Returns
Add the $0.87 anticipated annual dividend to Orion’s estimated $1.00 possible price upside, revealing a $1.87 potential gross gain per share for the coming year.
At Monday’s $19.00 closing price, a little over $1000 would buy 53 shares.
A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.19 per share.
Subtracting that likely $0.19 brokerage cost from my estimated $1.87 gross gain per share makes a net gain of $1.68 X 53 shares = $89.04 or about an 8.8% net gain.
This could be time to pounce on ORINY shares. But beware, ORINY is a Finish Pharmaceutical Company paying Annual dividends for eight years. However, the estimated $45.80 annual dividend from $1000 invested comes in at 2.4 times more than the recent $19.00 single share price. The choice is yours.
Remember the true value of any stock is best realized by your personal ownership of shares.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
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