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Procter & Gamble (PG) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Procter & Gamble (PG - Free Report) closed at $162.90, marking a -0.42% move from the previous day. This change lagged the S&P 500's 0.64% gain on the day. Elsewhere, the Dow gained 0.68%, while the tech-heavy Nasdaq added 0.46%.
Prior to today's trading, shares of the world's largest consumer products maker had gained 9.14% over the past month. This has lagged the Consumer Staples sector's gain of 9.74% and outpaced the S&P 500's gain of 4.56% in that time.
Procter & Gamble will be looking to display strength as it nears its next earnings release, which is expected to be January 19, 2022. On that day, Procter & Gamble is projected to report earnings of $1.59 per share, which would represent a year-over-year decline of 3.05%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $20.38 billion, up 3.23% from the year-ago period.
PG's full-year Zacks Consensus Estimates are calling for earnings of $5.93 per share and revenue of $79.41 billion. These results would represent year-over-year changes of +4.77% and +4.33%, respectively.
Any recent changes to analyst estimates for Procter & Gamble should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Procter & Gamble is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Procter & Gamble currently has a Forward P/E ratio of 27.61. Its industry sports an average Forward P/E of 26.55, so we one might conclude that Procter & Gamble is trading at a premium comparatively.
Investors should also note that PG has a PEG ratio of 4.13 right now. 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. The Soap and Cleaning Materials was holding an average PEG ratio of 4.56 at yesterday's closing price.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 232, putting it in the bottom 10% 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 (PG) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Procter & Gamble (PG - Free Report) closed at $162.90, marking a -0.42% move from the previous day. This change lagged the S&P 500's 0.64% gain on the day. Elsewhere, the Dow gained 0.68%, while the tech-heavy Nasdaq added 0.46%.
Prior to today's trading, shares of the world's largest consumer products maker had gained 9.14% over the past month. This has lagged the Consumer Staples sector's gain of 9.74% and outpaced the S&P 500's gain of 4.56% in that time.
Procter & Gamble will be looking to display strength as it nears its next earnings release, which is expected to be January 19, 2022. On that day, Procter & Gamble is projected to report earnings of $1.59 per share, which would represent a year-over-year decline of 3.05%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $20.38 billion, up 3.23% from the year-ago period.
PG's full-year Zacks Consensus Estimates are calling for earnings of $5.93 per share and revenue of $79.41 billion. These results would represent year-over-year changes of +4.77% and +4.33%, respectively.
Any recent changes to analyst estimates for Procter & Gamble should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Procter & Gamble is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Procter & Gamble currently has a Forward P/E ratio of 27.61. Its industry sports an average Forward P/E of 26.55, so we one might conclude that Procter & Gamble is trading at a premium comparatively.
Investors should also note that PG has a PEG ratio of 4.13 right now. 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. The Soap and Cleaning Materials was holding an average PEG ratio of 4.56 at yesterday's closing price.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 232, putting it in the bottom 10% 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.