In the latest trading session, Procter & Gamble (PG) closed at $121.27, marking a +1.16% move from the previous day. This move outpaced the S&P 500's daily gain of 0.72%. Elsewhere, the Dow gained 0.85%, while the tech-heavy Nasdaq added 1.06%.
Coming into today, shares of the world's largest consumer products maker had gained 2.24% in the past month. In that same time, the Consumer Staples sector gained 1.08%, while the S&P 500 gained 2.25%.
Investors will be hoping for strength from PG as it approaches its next earnings release. On that day, PG is projected to report earnings of $1.24 per share, which would represent year-over-year growth of 10.71%. Our most recent consensus estimate is calling for quarterly revenue of $17.49 billion, up 4.82% from the year-ago period.
PG's full-year Zacks Consensus Estimates are calling for earnings of $4.84 per share and revenue of $70.36 billion. These results would represent year-over-year changes of +7.08% and +3.96%, respectively.
Investors should also note any recent changes to analyst estimates for PG. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. PG is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, PG is holding a Forward P/E ratio of 24.75. For comparison, its industry has an average Forward P/E of 23.38, which means PG is trading at a premium to the group.
Meanwhile, PG's PEG ratio is currently 3.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PG's industry had an average PEG ratio of 4.06 as of yesterday's close.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 217, putting it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Procter & Gamble Company (The) (PG) : Free Stock Analysis Report
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