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Here's Why Procter & Gamble (PG) Fell More Than Broader Market
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Procter & Gamble (PG - Free Report) closed the latest trading day at $149.79, indicating a -0.54% change from the previous session's end. The stock's performance was behind the S&P 500's daily loss of 0.37%. Meanwhile, the Dow experienced a drop of 0.62%, and the technology-dominated Nasdaq saw a decrease of 0.19%.
Heading into today, shares of the world's largest consumer products maker had gained 3.03% over the past month, lagging the Consumer Staples sector's gain of 6.39% and outpacing the S&P 500's gain of 1.56% in that time.
Market participants will be closely following the financial results of Procter & Gamble in its upcoming release. The company plans to announce its earnings on January 23, 2024. The company is predicted to post an EPS of $1.71, indicating a 7.55% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $21.68 billion, showing a 4.38% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $6.42 per share and revenue of $85.09 billion, indicating changes of +8.81% and +3.77%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Procter & Gamble should also be noted by investors. These revisions help to show the ever-changing nature of 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Procter & Gamble is currently sporting a Zacks Rank of #2 (Buy).
In the context of valuation, Procter & Gamble is at present trading with a Forward P/E ratio of 23.44. This signifies a premium in comparison to the average Forward P/E of 23.38 for its industry.
Also, we should mention that PG has a PEG ratio of 3.11. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Soap and Cleaning Materials stocks are, on average, holding a PEG ratio of 3.13 based on yesterday's closing prices.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 107, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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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Here's Why Procter & Gamble (PG) Fell More Than Broader Market
Procter & Gamble (PG - Free Report) closed the latest trading day at $149.79, indicating a -0.54% change from the previous session's end. The stock's performance was behind the S&P 500's daily loss of 0.37%. Meanwhile, the Dow experienced a drop of 0.62%, and the technology-dominated Nasdaq saw a decrease of 0.19%.
Heading into today, shares of the world's largest consumer products maker had gained 3.03% over the past month, lagging the Consumer Staples sector's gain of 6.39% and outpacing the S&P 500's gain of 1.56% in that time.
Market participants will be closely following the financial results of Procter & Gamble in its upcoming release. The company plans to announce its earnings on January 23, 2024. The company is predicted to post an EPS of $1.71, indicating a 7.55% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $21.68 billion, showing a 4.38% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $6.42 per share and revenue of $85.09 billion, indicating changes of +8.81% and +3.77%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Procter & Gamble should also be noted by investors. These revisions help to show the ever-changing nature of 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Procter & Gamble is currently sporting a Zacks Rank of #2 (Buy).
In the context of valuation, Procter & Gamble is at present trading with a Forward P/E ratio of 23.44. This signifies a premium in comparison to the average Forward P/E of 23.38 for its industry.
Also, we should mention that PG has a PEG ratio of 3.11. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Soap and Cleaning Materials stocks are, on average, holding a PEG ratio of 3.13 based on yesterday's closing prices.
The Soap and Cleaning Materials industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 107, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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.