Zacks Investment Research downgraded shares of Procter & Gamble (NYSE:PG) from a buy rating to a hold rating in a report released on Monday morning.
According to Zacks, “Procter & Gamble surpassed the industry in the last three months driven by 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. However, the company 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.”
Several other research firms have also recently issued reports on PG. Atlantic Securities began coverage on shares of Procter & Gamble in a report on Thursday, September 20th. They issued an overweight rating and a $94.00 price objective for the company. ValuEngine upgraded shares of Procter & Gamble from a sell rating to a hold rating in a report on Friday, August 17th. Wells Fargo & Co restated a hold rating and set a $78.00 target price on shares of Procter & Gamble in a report on Thursday, August 16th. Deutsche Bank raised their target price on shares of Procter & Gamble from $84.00 to $85.00 and gave the stock a hold rating in a report on Thursday, August 16th. Finally, Bank of America raised their target price on shares of Procter & Gamble from $82.00 to $89.00 and gave the stock a neutral rating in a report on Thursday, October 4th. One investment analyst has rated the stock with a sell rating, fourteen have issued a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company’s stock. The stock presently has an average rating of Hold and a consensus price target of $84.53.
Procter & Gamble (NYSE:PG) last posted its quarterly earnings data on Tuesday, July 31st. The company reported $0.94 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.90 by $0.04. The business had revenue of $16.50 billion during the quarter, compared to analysts’ expectations of $16.52 billion. Procter & Gamble had a net margin of 14.59% and a return on equity of 20.94%. The business’s revenue was up 2.6% on a year-over-year basis. During the same period last year, the firm posted $0.85 earnings per share. As a group, sell-side analysts anticipate that Procter & Gamble will post 4.42 EPS for the current fiscal year.
In related news, Vice Chairman Jon R. Moeller sold 2,873 shares of the company’s stock in a transaction that occurred on Monday, August 13th. The shares were sold at an average price of $81.35, for a total value of $233,718.55. Following the completion of the sale, the insider now owns 113,638 shares in the company, valued at approximately $9,244,451.30. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Kathleen B. Fish sold 26,946 shares of the company’s stock in a transaction that occurred on Wednesday, August 1st. The shares were sold at an average price of $80.55, for a total transaction of $2,170,500.30. The disclosure for this sale can be found here. Insiders have sold 147,186 shares of company stock valued at $12,080,849 over the last 90 days. 1.84% of the stock is currently owned by insiders.
Several large investors have recently modified their holdings of the stock. BlackRock Inc. lifted its position in Procter & Gamble by 2.2% in the 2nd quarter. BlackRock Inc. now owns 166,150,277 shares of the company’s stock worth $12,969,690,000 after buying an additional 3,551,051 shares in the last quarter. Yacktman Asset Management LP raised its holdings in shares of Procter & Gamble by 0.7% during the 2nd quarter. Yacktman Asset Management LP now owns 15,488,275 shares of the company’s stock valued at $1,209,015,000 after purchasing an additional 105,318 shares in the last quarter. Schwab Charles Investment Management Inc. raised its holdings in shares of Procter & Gamble by 3.4% during the 2nd quarter. Schwab Charles Investment Management Inc. now owns 14,414,335 shares of the company’s stock valued at $1,125,183,000 after purchasing an additional 474,529 shares in the last quarter. American Century Companies Inc. raised its holdings in shares of Procter & Gamble by 17.9% during the 1st quarter. American Century Companies Inc. now owns 13,922,673 shares of the company’s stock valued at $1,103,790,000 after purchasing an additional 2,115,777 shares in the last quarter. Finally, Franklin Resources Inc. raised its holdings in shares of Procter & Gamble by 63.1% during the 1st quarter. Franklin Resources Inc. now owns 11,150,063 shares of the company’s stock valued at $883,964,000 after purchasing an additional 4,315,180 shares in the last quarter. Institutional investors and hedge funds own 58.36% of the company’s stock.
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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