Procter & Gamble (PG) closed the most recent trading day at $145.86, moving -0.33% from the previous trading session. This change lagged the S&P 500's daily loss of 0.27%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq added 0.14%.
Prior to today's trading, shares of the world's largest consumer products maker had lost 5.18% over the past month. This has was narrower than the Consumer Staples sector's loss of 5.93% and lagged the S&P 500's loss of 2.86% in that time.
Investors will be hoping for strength from Procter & Gamble as it approaches its next earnings release, which is expected to be October 18, 2023. In that report, analysts expect Procter & Gamble to post earnings of $1.71 per share. This would mark year-over-year growth of 8.92%. Our most recent consensus estimate is calling for quarterly revenue of $21.61 billion, up 4.83% from the year-ago period.
PG's full-year Zacks Consensus Estimates are calling for earnings of $6.38 per share and revenue of $85.57 billion. These results would represent year-over-year changes of +8.14% and +4.35%, respectively.
Any recent changes to analyst estimates for Procter & Gamble should also be noted by investors. Recent revisions tend to reflect the latest near-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. 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.
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 0.03% lower within the past month. Procter & Gamble is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Procter & Gamble has a Forward P/E ratio of 22.92 right now. For comparison, its industry has an average Forward P/E of 21.91, which means Procter & Gamble is trading at a premium to the group.
Meanwhile, PG's PEG ratio is currently 3.34. 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 3.19 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 40, putting it in the top 16% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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