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Procter & Gamble (PG) Gains As Market Dips: What You Should Know

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In the latest trading session, Procter & Gamble (PG - Free Report) closed at $144.60, marking a +0.76% move from the previous day. This change outpaced the S&P 500's 0.13% loss on the day.

Coming into today, shares of the world's largest consumer products maker had gained 0.87% in the past month. In that same time, the Consumer Staples sector lost 0.04%, while the S&P 500 gained 2.07%.

Wall Street will be looking for positivity from PG as it approaches its next earnings report date. In that report, analysts expect PG to post earnings of $1.58 per share. This would mark a year-over-year decline of 3.07%. Our most recent consensus estimate is calling for quarterly revenue of $19.79 billion, up 2.47% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $5.94 per share and revenue of $78.92 billion, which would represent changes of +4.95% and +3.69%, respectively, from the prior 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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 has moved 0.07% higher within the past month. PG is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, PG is holding a Forward P/E ratio of 24.18. This valuation marks a premium compared to its industry's average Forward P/E of 23.83.

Also, we should mention that PG has a PEG ratio of 3.45. 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. Soap and Cleaning Materials stocks are, on average, holding a PEG ratio of 3.97 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 251, which puts it in the bottom 2% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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