Haleon PLC ADR HLN

Morningstar Rating
$10.54 −0.15 (1.40%)
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Company Report

Haleon Fends Off Headwinds and Reaps Benefits From New Launches and Marketing Campaigns

Haleon is one of the largest consumer healthcare companies in the world. Over the last few years, Haleon has achieved a more rationalized operation by divesting multiple non-strategic brands, slimming down its manufacturing footprint, and dialing back the number of warehouses and distribution centers. We appreciate the company’s efforts to optimize its business and believe it is well established to enjoy long-term industry trends, including an aging population, premiumization of consumer healthcare products, and growing emerging markets, that should fuel its top line.

Price vs Fair Value

HLN is trading at a 524% premium.
Price
$10.54
Fair Value
$3.70
Uncertainty
Medium
1-Star Price
$86.35
5-Star Price
$1.97
Economic Moat
Nzrkb
Capital Allocation
Nxqlzyyt

Bulls Say, Bears Say

Bulls

We expect Haleon, with financial and operational independence, to bolster its portfolio through product innovation and tuck-in acquisitions and expand the strong foothold it has in the consumer self-care industry.

Bears

Personalization of health paves way for smaller niche players to carve out their shares of the market with bespoke offerings and Haleon will have a tough time fighting for these areas given the difficulty to cater to these consumers with their megabrands.

News

Trading Information

Previous Close Price
$10.69
Day Range
$10.4910.58
52-Week Range
$7.7010.80
Bid/Ask
$10.38 / $10.73
Market Cap
$47.98 Bil
Volume/Avg
7.9 Mil / 4.5 Mil

Key Statistics

Price/Earnings (Normalized)
21.62
Price/Sales
3.43
Dividend Yield (Trailing)
1.50%
Dividend Yield (Forward)
1.50%
Total Yield
1.50%

Company Profile

Haleon is one of the largest consumer health companies in the world. Formed by a combination of consumer health divisions of GSK, Pfizer, and Novartis, Haleon separated from GSK and went public in July 2022. The firm generates 60% of sales from global power brands including Sensodyne, Advil, Centrum, and Poligrip, that play in many geographies and are often leaders in their respective categories. It also has a number of local brands, including Emergen-C, Eno, Tums, and Caltrate, that are more tailored to regional needs and have strong local brand equity. Overall, Haleon’s brands tackle a variety of silos within consumer health including oral care, digestive health, pain relief, and nutrition.
Sector
Healthcare
Industry
Drug Manufacturers - Specialty & Generic
Stock Style Box
Large Core
Total Number of Employees
25,408

Competitors

Valuation

Metric
HLN
PG
KVUE
Price/Earnings (Normalized)
21.6226.3618.55
Price/Book Value
2.298.074.26
Price/Sales
3.435.062.81
Price/Cash Flow
21.4820.9519.07
Price/Earnings
HLN
PG
KVUE

Financial Strength

Metric
HLN
PG
KVUE
Quick Ratio
0.490.460.64
Current Ratio
0.840.730.99
Interest Coverage
5.2420.773.70
Quick Ratio
HLN
PG
KVUE

Profitability

Metric
HLN
PG
KVUE
Return on Assets (Normalized)
4.85%13.43%6.78%
Return on Equity (Normalized)
9.92%33.48%17.13%
Return on Invested Capital (Normalized)
7.27%20.04%11.11%
Return on Assets
HLN
PG
KVUE

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