Procter & Gamble (PG, $90.44) Raises Organic Sales Forecast, And Beats Earnings & Revenue Expectations
On Wednesday, Procter & Gamble Co. (P&G) raised its outlook on its full-year organic sales and reported better-than-expected earnings and sales for the fiscal second-quarter.
The consumer goods behemoth had an adjusted earnings per share of $1.25 for the quarter, beating Wall Street estimate of $1.21 (according to a survey by Refinitiv). Its revenue for the period came in at $17.44 billion, versus $17.15 billion estimated. Its beauty products, health care and fabric and home care businesses were strong performers.
Strong organic sales in the second quarter boosted P&G’s expectation for the full year. Around 1% of its organic sales growth in the quarter has been attributed to higher pricing by the company. Organic sales at its beauty care business surged +8% year over year during the latest quarter. Its health care segment’s organic sales rose +5%. Organic sales of its fabric and home care business increased +6%.
P&G made an upward revision to the high-end of its organic sales growth forecast by 1 percent to arrive at a range of 2-4% for fiscal 2019.
Total sales growth is projected to be within the range of down -1% to up +1%.
P&G said it plans to repurchase as much as $5 billion in stock this fiscal year.
PG's RSI Indicator recovers from oversold territory
The RSI Indicator for PG moved out of oversold territory on October 08, 2024. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 23 similar instances when the indicator left oversold territory. In of the 23 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 47 cases where PG's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PG advanced for three days, in of 353 cases, the price rose further within the following month. The odds of a continued upward trend are .
PG may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on September 18, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on PG as a result. In of 91 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for PG turned negative on September 18, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 42 similar instances when the indicator turned negative. In of the 42 cases the stock turned lower in the days that followed. This puts the odds of success at .
PG moved below its 50-day moving average on October 03, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for PG crossed bearishly below the 50-day moving average on October 09, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 16 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where PG declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for PG entered a downward trend on October 11, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
Tickeron has a negative outlook on this ticker and predicts a further decline by more than 4.00% within the next month with a likelihood of 70%.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 82, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.918) is normal, around the industry mean (16.756). P/E Ratio (26.898) is within average values for comparable stocks, (199.024). Projected Growth (PEG Ratio) (3.395) is also within normal values, averaging (3.746). Dividend Yield (0.023) settles around the average of (0.106) among similar stocks. P/S Ratio (4.733) is also within normal values, averaging (112.094).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. PG’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
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General Information
a provider of branded consumer packaged goods
Industry HouseholdPersonalCare