
NYSE:PG
This summary was created by AI, based on 11 opinions in the last 12 months.
Procter & Gamble (PG) has seen a challenging environment with significant concerns regarding the consumer staples sector. Several experts indicate that the company is experiencing difficulties, notably a decline in earnings growth and rising input costs. However, PG remains a dividend aristocrat, offering a near 3% dividend yield, which makes it appealing for some investors. Despite the gloomy outlook, there is a belief that PG may provide a defensive stance during economic downturns, with thoughts that its excellent brand portfolio can lead to a potential bounce back. A few experts suggest that entering the stock gradually might be wise, considering the current pricing and its valuation metrics reflecting a relatively low price-to-earnings ratio, even as overall consumer demand appears weak.
PG vs. JNJ JNJ valuation of 16-17x earnings is cheaper than PG. JNJ has 3 areas: medical devices, healthcare, pharma. PG is just consumer products, trading at 23x earnings. More opportunity in JNJ, with a caveat on the talc lawsuits. JNJ's medical device side should do well post-Covid. Dividends similar in the 2.5% range.
He owns Unilever for their global exposure. P&G beat earnings but their revenues were down. It's trading like a growth stock even though it isn't. They have been coming out with new products. There is progress in grooming products but their baby care has been struggling. He also doesn't like their compliance and ethics. They reward 10% of their float to their executives and not helping employees. They are also make polluting products like Pampers and Swiffers.