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Procter & Gamble (PG) Stock Analysis

Here is a fundamental analysis of Procter & Gamble (PG), benchmarking its profitability, financial strength, dividend and valuation against its industry group peers.

Performance

Cumulative Growth

PG
GSPC
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Procter & Gamble (PG) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Procter & Gamble (PG) and S&P 500 (GSPC). Returns over one year are annualized.

Performance at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
1-Year Return-5.68%-5.68%

Risk

Drawdown

PG
GSPC
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Procter & Gamble (PG) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
1-Year Volatility18.80%36.58%
Beta0.380.61

Company Profile

Company profile fields for Procter & Gamble (PG)
Profile ItemPG
NameProcter & Gamble Co
Country/RegionUnited States
GICS SectorConsumer Staples
GICS Industry GroupHousehold & Personal Products
GICS IndustryHousehold Products
GICS Sub-IndustryHousehold Products
Market Capitalization348.38 billion USD
CurrencyUSD
ExchangeNYSE
Listing DateJanuary 2, 1962
Security TypeCommon Stock

Valuation

Price-to-Earnings Ratio (TTM)

Procter & Gamble (PG) trades at P/E ratio of 21.87, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

PG

Household & Personal Products industry group

21.87

Group distribution
Max
34.67
Q3
24.01
PG
21.87
Median
18.98
Q1
15.21
Min
5.30
Largest peers
CL
34.67
PG
21.87
KVUE
21.60
KMB
19.79
UL
19.71
HLN
18.63
EL
--
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Where Procter & Gamble (PG) stands on P/E ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Sales Ratio (TTM)

Procter & Gamble (PG) trades at 4.02 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.

PG

Household & Personal Products industry group

4.02

Group distribution
Max
4.71
PG
4.02
Q3
3.01
Median
1.73
Q1
0.71
Min
0.24
Largest peers
PG
4.02
HLN
3.65
CL
3.44
UL
2.53
KVUE
2.28
EL
2.19
KMB
2.05
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Where Procter & Gamble (PG) stands on P/S ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Book Ratio (MRQ)

Procter & Gamble (PG) trades at 6.48 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.

PG

Household & Personal Products industry group

6.48

Group distribution
Max
13.74
Q3
6.82
PG
6.48
Median
2.19
Q1
1.22
Min
-2.83
Largest peers
CL
494.20
KMB
18.90
EL
8.13
UL
7.17
PG
6.48
KVUE
3.28
HLN
1.85
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Where Procter & Gamble (PG) stands on P/B ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Valuation at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
Price-to-Earnings Ratio (TTM)21.8718.98
Price-to-Sales Ratio (TTM)4.021.73
Price-to-Book Ratio (MRQ)6.482.19
Free Cash Flow Yield3.66%5.33%

Profitability

Return on Equity (TTM)

Procter & Gamble (PG) posts ROE of 31.11%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

PG

Household & Personal Products industry group

31.11%

Group distribution
Max
31.30%
PG
31.11%
Q3
30.96%
Median
15.00%
Q1
1.55%
Min
-13.94%
Largest peers
CL
363.58%
KMB
111.73%
PG
31.11%
UL
30.96%
KVUE
15.70%
HLN
10.27%
EL
-5.95%
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Where Procter & Gamble (PG) stands on ROE within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Net Profit Margin (TTM)

Procter & Gamble (PG) keeps 19.16% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

PG

Household & Personal Products industry group

19.16%

Group distribution
PG
19.16%
Max
19.16%
Q3
11.34%
Median
6.79%
Q1
2.51%
Min
-9.20%
Largest peers
PG
19.16%
UL
18.75%
HLN
15.11%
KMB
12.80%
KVUE
10.61%
CL
10.04%
EL
-1.67%
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Where Procter & Gamble (PG) stands on net margin within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Operating Profit Margin (TTM)

Procter & Gamble (PG) turns 23.05% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.

PG

Household & Personal Products industry group

23.05%

Group distribution
Max
23.17%
PG
23.05%
Q3
19.85%
Median
12.60%
Q1
7.57%
Min
-5.14%
Largest peers
HLN
23.17%
PG
23.05%
KVUE
21.62%
CL
20.92%
UL
20.05%
KMB
19.65%
EL
14.93%
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Where Procter & Gamble (PG) stands on operating margin within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Profitability at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
Return on Equity (TTM)31.11%15.00%
Return on Assets (TTM)10.93%6.97%
Net Profit Margin (TTM)19.16%6.79%
Operating Profit Margin (TTM)23.05%12.60%
Gross Profit Margin (TTM)50.98%50.98%

Financial Strength

Current Ratio (MRQ)

Procter & Gamble (PG) has current ratio of 0.73, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.

PG

Household & Personal Products industry group

0.73

Group distribution
Max
6.27
Q3
3.17
Median
2.05
Q1
1.00
PG
0.73
Min
0.73
Largest peers
EL
1.27
CL
1.03
KVUE
0.98
HLN
0.92
UL
0.79
KMB
0.77
PG
0.73
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Where Procter & Gamble (PG) stands on current ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Debt-to-Equity Ratio (MRQ)

Procter & Gamble (PG) has debt-to-equity ratio of 0.68, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

PG

Household & Personal Products industry group

0.68

Group distribution
Max
2.33
Q3
1.61
Median
0.81
PG
0.68
Q1
0.40
Min
0.02
Largest peers
CL
16.41
KMB
3.71
EL
2.33
UL
1.61
KVUE
0.83
PG
0.68
HLN
0.52
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Where Procter & Gamble (PG) stands on debt-to-equity ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
Current Ratio (MRQ)0.732.05
Debt-to-Equity Ratio (MRQ)0.680.81
Net Debt / EBITDA0.992.14

Dividends

Dividend Yield (TTM)

Procter & Gamble (PG) has dividend yield of 2.85%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

PG

Household & Personal Products industry group

2.85%

Group distribution
Max
5.93%
Q3
2.99%
PG
2.85%
Median
1.56%
Q1
0.00%
Min
0.00%
Largest peers
KMB
5.01%
KVUE
4.58%
UL
3.87%
PG
2.85%
CL
2.37%
HLN
2.11%
EL
1.56%
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Where Procter & Gamble (PG) stands on dividend yield within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Procter & Gamble (PG) has payout ratio of 61.80%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

PG

Household & Personal Products industry group

61.80%

Group distribution
Max
98.51%
Q3
71.90%
PG
61.80%
Median
37.08%
Q1
0.00%
Min
0.00%
Largest peers
EL
471.43%
KVUE
98.51%
KMB
97.87%
CL
80.62%
UL
78.60%
PG
61.80%
HLN
37.08%
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Where Procter & Gamble (PG) stands on payout ratio within its Household & Personal Products peer group — the box is the group’s distribution and the dots its largest members.

Dividends at a Glance

Procter & Gamble (PG) metric values compared with Household & Personal Products industry-group medians
MetricCurrent stock: PGIndustry group median
Dividend Yield (TTM)2.85%1.56%
Dividend Payout Ratio (TTM)61.80%37.08%