Procter & Gamble (PG) Stock Rating Lowered by Zacks Investment Research

Procter & Gamble (NYSE:PG) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Monday.

According to Zacks, “Procter & Gamble lagged the industry year to date as it is witnessing strained margins owing to increased commodity and shipping costs, adverse currency, higher business investments and aggressive pricing from private-label products amid intense competition. Moreover, sales remain muted due to weak demand and lower prices. While the company expects recently announced price increases to help rebound sales and margins, analysts’ fear of impacts on demand and consumption. Also, softness in the grooming and baby care businesses remains concerns. However, the company has an impressive earnings surprise history, which continued in fourth-quarter fiscal 2018 marking its 13th consecutive beat. The company’s focus on product improvement, packaging and marketing initiatives, and productivity cost-savings plan bodes well. Further, it is benefiting from higher demand for skincare products, along with fabric and home care products.”

Other analysts also recently issued reports about the company. ValuEngine upgraded Procter & Gamble from a “sell” rating to a “hold” rating in a research report on Friday, August 17th. Wells Fargo & Co reiterated a “hold” rating and set a $78.00 target price on shares of Procter & Gamble in a research report on Thursday, August 16th. Citigroup cut their target price on Procter & Gamble from $98.00 to $89.00 and set a “buy” rating for the company in a research report on Friday, July 20th. Bank of America upped their target price on Procter & Gamble from $82.00 to $89.00 and gave the company a “neutral” rating in a research report on Thursday, October 4th. Finally, SunTrust Banks upped their target price on Procter & Gamble to $80.00 and gave the company a “hold” rating in a research report on Wednesday, August 1st. Two investment analysts have rated the stock with a sell rating, thirteen have issued a hold rating, three have given a buy rating and one has issued a strong buy rating to the company’s stock. Procter & Gamble presently has an average rating of “Hold” and an average target price of $84.53.

PG opened at $79.68 on Monday. The firm has a market capitalization of $209.82 billion, a P/E ratio of 18.88, a PEG ratio of 2.68 and a beta of 0.59. The company has a quick ratio of 0.66, a current ratio of 0.83 and a debt-to-equity ratio of 0.40. Procter & Gamble has a 1 year low of $70.73 and a 1 year high of $93.51.

Procter & Gamble (NYSE:PG) last released its earnings results on Tuesday, July 31st. The company reported $0.94 earnings per share for the quarter, beating analysts’ consensus estimates of $0.90 by $0.04. The firm had revenue of $16.50 billion during the quarter, compared to the consensus estimate of $16.52 billion. Procter & Gamble had a return on equity of 20.94% and a net margin of 14.59%. The company’s revenue was up 2.6% compared to the same quarter last year. During the same period in the prior year, the company posted $0.85 EPS. On average, research analysts expect that Procter & Gamble will post 4.42 EPS for the current fiscal year.

In other Procter & Gamble news, insider Deborah P. Majoras sold 1,980 shares of the company’s stock in a transaction dated Monday, August 13th. The stock was sold at an average price of $81.35, for a total value of $161,073.00. Following the completion of the transaction, the insider now owns 50,074 shares of the company’s stock, valued at approximately $4,073,519.90. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Kathleen B. Fish sold 599 shares of the company’s stock in a transaction dated Monday, August 27th. The stock was sold at an average price of $83.48, for a total value of $50,004.52. Following the completion of the transaction, the insider now directly owns 38,655 shares of the company’s stock, valued at approximately $3,226,919.40. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 147,186 shares of company stock valued at $12,080,849. 1.84% of the stock is owned by corporate insiders.

A number of institutional investors and hedge funds have recently modified their holdings of PG. RPg Family Wealth Advisory LLC increased its stake in shares of Procter & Gamble by 209.4% in the second quarter. RPg Family Wealth Advisory LLC now owns 1,349 shares of the company’s stock valued at $105,000 after buying an additional 913 shares during the period. CSat Investment Advisory L.P. acquired a new stake in Procter & Gamble during the second quarter worth approximately $113,000. Fort L.P. acquired a new stake in Procter & Gamble during the second quarter worth approximately $124,000. Twin Tree Management LP acquired a new stake in Procter & Gamble during the first quarter worth approximately $144,000. Finally, Marshall & Sullivan Inc. WA acquired a new stake in Procter & Gamble during the second quarter worth approximately $149,000. 58.36% of the stock is owned by institutional investors and hedge funds.

Procter & Gamble Company Profile

The Procter & Gamble Company provides branded consumer packaged goods to consumers in North America, Europe, the Asia Pacific, Greater China, Latin America, India, the Middle East, and Africa. The company operates in five segments: Beauty; Grooming; health Care; fabric & Home Care; and Baby, Feminine & Family Care.

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