Procter & Gamble (NYSE:PG) Trading 1.6% Higher - Still a Buy?

On Monday, the Procter & Gamble Company (NYSE:PG) saw its share price rise by 1.6%. The stock reached a high of $171.09 before settling at $170.66. During the trading session, around 2,150,720 shares exchanged hands, which is a significant decline of 66% compared to the average daily volume of 6,397,558 shares. Prior to this rise, the stock had closed at $167.97.

Wall Street Analysts' Opinions

Recent reports from various equity research analysts shed light on the stock's prospects. Stifel Nicolaus raised their price target for Procter & Gamble from $161.00 to $165.00, maintaining a "hold" rating. Meanwhile, UBS Group reaffirmed a "buy" recommendation on February 10th. Wells Fargo & Company also increased their price target from $176.00 to $180.00 while issuing an "overweight" rating on January 23rd. On the other hand, JPMorgan Chase & Co. adjusted their target downwards from $186.00 to $181.00 while still rating the stock as "overweight." Royal Bank of Canada maintained a "sector perform" rating with a target price of $164.00. Overall, seven analysts suggest a hold rating, twelve lean towards buy, and two recommend a strong buy. MarketBeat indicates the stock currently holds an average rating of "Moderate Buy" with an average target price of $181.47.

Procter & Gamble Stock Insights

The share price of Procter & Gamble has displayed a recent uptrend of 1.3%. The company's fifty-day simple moving average stands at $167.27, while its two-hundred-day moving average is $169.81. Financial metrics show a debt-to-equity ratio of 0.50, a current ratio of 0.76, and a quick ratio of 0.55. Procter & Gamble boasts a market capitalization of $399.00 billion, a price-to-earnings (P/E) ratio of 27.11, and a price-to-earnings-growth (PEG) ratio of 3.76, along with a beta of 0.41.

Earnings Results and Future Projections

Procter & Gamble recently announced its earnings on January 22nd, where it reported an earnings per share (EPS) of $1.88, surpassing analysts' estimates of $1.86 by $0.02. The company's quarterly revenue was $21.88 billion, exceeding the anticipated $21.66 billion. Procter & Gamble's net margin stands at 18.35%, with a remarkable return on equity of 33.00%. Year-over-year, the company's revenue grew by 2.1%, with a previous EPS of $1.84 last year. Analysts predict that Procter & Gamble will achieve an EPS of 6.91 for the current fiscal year.

Dividend Information

The company also recently announced a quarterly dividend of $1.0065, which was paid on February 18th. Shareholders who held stock on January 24th received this dividend, which amounts to an annualized dividend yield of 2.37%. The ex-dividend date was also January 24th, and Procter & Gamble's dividend payout ratio is reported at 64.01%.

Insider Trading Activity

In recent insider trading news, CEO Gary A. Coombe sold 35,000 shares on February 28th for an average price of $173.68, totaling approximately $6,078,800.00. After this transaction, Coombe's remaining shares are valued at about $3,829,817.68, marking a 61.35% decrease in his holdings. Additionally, insider Marc S. Pritchard sold 90,450 shares at an average price of $163.84 on January 23rd, leading to a transaction worth around $14,819,328.00. After the sale, Pritchard retained about 172,814 shares, valued at approximately $28,313,845.76. Over the last three months, insiders have sold a total of 143,450 shares worth $23,988,008. Currently, insiders hold 0.18% of the company's total stock.

Institutional Investor Activity

Institutional investors have been active in buying and selling Procter & Gamble shares recently. Members Wealth LLC initiated a new position valued at about $725,000 in the fourth quarter, while Northstar Financial Companies Inc. acquired a new stake worth approximately $929,000. Centaurus Financial Inc. increased their holdings by 1.1%, now owning 10,799 shares worth $1,811,000 after an additional purchase. Other firms like Campbell Deegan Wealth Management LLC and Lighthouse Financial LLC also added to their positions, bringing institutional ownership to 65.77% of the company's stock.

Company Overview

Procter & Gamble Co specializes in branded consumer packaged goods, operating across various segments including Beauty, Grooming, Health Care, Fabric and Home Care, and Baby, Feminine and Family Care. The Beauty segment covers hair, skin, and personal care products, while the Grooming segment includes products related to shaving.

Conclusion

Investors should carefully consider the current environment before deciding on Procter & Gamble as an investment option. While the stock carries a "Moderate Buy" rating from analysts, it's essential to evaluate other alternatives as well.

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