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Procter & Gamble (PG) Rises Higher Than Market: Key Facts

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Procter & Gamble (PG - Free Report) closed the latest trading day at $166.95, indicating a +1.44% change from the previous session's end. This change outpaced the S&P 500's 0.64% gain on the day. Meanwhile, the Dow experienced a rise of 1.85%, and the technology-dominated Nasdaq saw an increase of 0.2%.

Shares of the world's largest consumer products maker witnessed a loss of 1.74% over the previous month, trailing the performance of the Consumer Staples sector with its gain of 0.85% and the S&P 500's gain of 3.82%.

Analysts and investors alike will be keeping a close eye on the performance of Procter & Gamble in its upcoming earnings disclosure. The company's earnings report is set to go public on July 30, 2024. The company is predicted to post an EPS of $1.37, indicating constancy compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $20.79 billion, up 1.17% from the prior-year quarter.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Procter & Gamble. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.03% lower within the past month. Procter & Gamble is currently a Zacks Rank #4 (Sell).

From a valuation perspective, Procter & Gamble is currently exchanging hands at a Forward P/E ratio of 23.63. This expresses a premium compared to the average Forward P/E of 21.01 of its industry.

One should further note that PG currently holds a PEG ratio of 3.16. 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 79, putting it in the top 32% 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.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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