UBS Group AG Grows Stake in Perrigo Company Plc: A Closer Look at the SEC Filing
In a recent Form 13F filing with the Securities and Exchange Commission (SEC), UBS Group AG revealed that it has expanded its stake in Perrigo Company Plc by an impressive 1,504.7% during the fourth quarter. The Zurich-based company now owns 190,899 shares of Perrigo’s stock after buying an additional 179,003 shares during the said period. With this development, UBS Group AG now holds approximately 0.14% of Perrigo, and as of their recent SEC filing on March 31st, their stake is worth $6,508,000.
Analysts speculate that UBS Group AG took advantage of Perrigo’s dip in stock prices during the latter half of last year to increase their holdings. The market saw a price drop for PRGO when they announced that they were facing regulatory issues with regards to their drug Tysabri®—which is used to treat patients with Multiple Sclerosis—as well as certain financial problems relating to taxes.
However, despite these setbacks, the company recently declared a quarterly dividend which will be issued on Tuesday, June 20th. Shareholders of record on Friday June 2nd will receive a payout of $0.273 per share—totaling $1.09 annually—and leading to a dividend yield of 3.36%. As for its payout ratio, it currently stands at -113.54%.
Several brokerages have already given their two cents regarding PRGO stocks lately: StockNews.com began coverage on May 18th by giving PRGO a “buy” rating; Raymond James boosted its target price from $42 to $43 on March 5th and gave it an “outperform” rating; while Canaccord Genuity Group began PRGO coverage on March 7th, giving it a “buy” rating and a $49 target price.
There are currently five analysts looking at the PRGO stock and all have given it a “buy” rating on average. According to data from Bloomberg, the average target price for Perrigo is $48.00.” Based on all these analyses, this is a company with considerable potential for growth, which perfectly explains UBS Group AG’s investment in Perrigo Company Plc.
Perrigo’s Stocks Attract Large Investments Despite Insider Transactions, On Track for Growth
Perrigo’s stock has recently been subject to several modifications by large investors. Rockefeller Capital Management L.P increased its position in Perrigo by 70.9% during Q3 with 1,282 shares of the company’s stock. Ronald Blue Trust Inc also lifted their position by 1,364.4% during Q4 with 1,274 shares worth $45,000 and Eagle Bay Advisors LLC upped their position by 47.7% in the same quarter with 1,898 shares worth $65,000. Covestor Ltd went a step further and increased their position by a significant 5,903.6% in Q1 with 1,681 shares worth $65,000. Furthermore, insiders have also been involved in various transactions regarding the stocks; EVP Svend Andersen acquired 2,900 shares while EVP Thomas Farrington sold 3,723 shares.
Despite this news surrounding Perrigo’s stocks however, it seems that the company has still managed to maintain solid financial figures- as demonstrated by its recent declaration of quarterly dividends which will pay out $0.273 per share on June 20th. Although its payout ratio stands at -113.54%, Perrigo’s market capitalization currently sits at $4.40 billion while its PE ratio is at -33.85 and beta reading is at a steady rate of .79.
Analysts predict that this positive trend for Perrigo will likely continue throughout the year as they announced upbeat earnings results for Q1 where it showed a revenue increase up to $1.18 billion compared to analysts’ expectations of just $1.17 billion which led to an EPS increase of $0.03 than expected amounts at %0.Rising from strength-to-strength as people purchase an increasing amount of over-the-counter medications and personal care products can be attributed as reason behind Perrigo strengthening its shareholder bases significantly in such short time span. Overall, Perrigo has potential for growth and looks set to weather market changes confidently in the coming months.
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