Procter & Gamble (PG) Stock Declines While Market Improves: Some Information for Investors
Procter & Gamble (PG) closed the most recent trading day at $161.21, moving -0.11% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.63%. Elsewhere, the Dow gained 0.2%, while the tech-heavy Nasdaq added 0.82%.
Prior to today's trading, shares of the world's largest consumer products maker had gained 2.46% over the past month. This has outpaced the Consumer Staples sector's gain of 1.73% and the S&P 500's gain of 1.76% in that time.
Market participants will be closely following the financial results of Procter & Gamble in its upcoming release. 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. Meanwhile, our latest consensus estimate is calling for revenue of $20.53 billion, up 2.3% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.45 per share and a revenue of $84.89 billion, indicating changes of +9.32% and +3.52%, respectively, from the former 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 a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, Procter & Gamble is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Procter & Gamble is presently being traded at a Forward P/E ratio of 25.01. For comparison, its industry has an average Forward P/E of 25.01, which means Procter & Gamble is trading at no noticeable deviation to the group.
Meanwhile, PG's PEG ratio is currently 3.29. 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. Soap and Cleaning Materials stocks are, on average, holding a PEG ratio of 3.33 based on yesterday's closing prices.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. Currently, this industry holds a Zacks Industry Rank of 21, positioning it in the top 9% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Procter & Gamble Company (The) (PG) : Free Stock Analysis Report
