Procter & Gamble (PG) Increases Despite Market Slip: Here's What You Need to Know
Procter & Gamble (PG) closed at $161.55 in the latest trading session, marking a +0.75% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.11%. Meanwhile, the Dow experienced a rise of 0.12%, and the technology-dominated Nasdaq saw a decrease of 0.41%.
Heading into today, shares of the world's largest consumer products maker had gained 1.86% over the past month, outpacing the Consumer Staples sector's gain of 0.25% and lagging the S&P 500's gain of 2.7% in that time.
Investors will be eagerly watching for the performance of Procter & Gamble in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.42, marking a 3.65% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $20.53 billion, reflecting a 2.3% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $6.45 per share and revenue of $84.89 billion, which would represent changes of +9.32% and +3.52%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Procter & Gamble. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Procter & Gamble is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Procter & Gamble's current valuation metrics, including its Forward P/E ratio of 24.85. Its industry sports an average Forward P/E of 24.85, so one might conclude that Procter & Gamble is trading at no noticeable deviation comparatively.
One should further note that PG currently holds a PEG ratio of 3.27. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. PG's industry had an average PEG ratio of 3.47 as of yesterday's close.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. Currently, this industry holds a Zacks Industry Rank of 28, positioning it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Procter & Gamble Company (The) (PG) : Free Stock Analysis Report
