Perrigo: This 11% Yielder Should Cut The Dividend

Impact · against what's priced in

Perrigo faces significant downside risk due to an unsustainable dividend and a distressed balance sheet. The lack of free cash flow to cover the 10.9% yield makes a dividend cut likely, which typically triggers immediate selling pressure.

PRGO−0.70

No priced-in read yet

In context

The company's 10.9% dividend yield is not covered by free cash flow, creating a high risk of a cut alongside a distressed balance sheet and high leverage.

Read from the article alone

• divestiture▲300%
• cash flow▲7%
• pharmaceuticals
• PRGO
• balance sheet
• dividend cut
• dividend yield
• leverage