In the latest trading session, Procter & Gamble (PG) closed at $111.72, marking a -0.54% move from the previous day. This change was narrower than the S&P 500's daily loss of 0.95%. Meanwhile, the Dow lost 0.67%, and the Nasdaq, a tech-heavy index, lost 1.51%.
Prior to today's trading, shares of the world's largest consumer products maker had gained 5.29% over the past month. This has outpaced the Consumer Staples sector's gain of 2.08% and the S&P 500's gain of 4.32% in that time.
PG will be looking to display strength as it nears its next earnings release. On that day, PG is projected to report earnings of $1.06 per share, which would represent year-over-year growth of 12.77%. Meanwhile, our latest consensus estimate is calling for revenue of $16.86 billion, up 2.14% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.48 per share and revenue of $67.45 billion. These totals would mark changes of +6.16% and +0.92%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for PG. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. PG is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, PG is holding a Forward P/E ratio of 25.08. Its industry sports an average Forward P/E of 23.29, so we one might conclude that PG is trading at a premium comparatively.
We can also see that PG currently has a PEG ratio of 3.62. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Soap and Cleaning Materials stocks are, on average, holding a PEG ratio of 4.07 based on yesterday's closing prices.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 55, which puts it in the top 22% 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.
Add a Comment
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.