Procter & Gamble (PG) is one of the best Dow Jones stocks Wednesday after the consumer products giant beat top- and bottom-line expectations for its fiscal 2025 second quarter and reaffirmed its outlook for 2025.
In the three months ending December 31, Procter & Gamble's revenue increased 2.1% year over year to $21.9 billion. Its earnings per share (EPS) rose 2.2% from the year-ago period to $1.88.
"The P&G team delivered an acceleration in organic sales growth, core EPS growth and strong cash return to shareowners in the second quarter," said CEO Jon Moeller in a statement. "Our first-half results keep us on track to deliver within our guidance ranges on all key financial metrics for the fiscal year."
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The company's results topped analysts' expectations. Wall Street was anticipating revenue of $21.5 billion and earnings of $1.86 per share, according to CNBC.
As its CEO stated, P&G reaffirmed its outlook for fiscal 2025. The company expects to achieve revenue growth in the range of 2% to 4% and earnings of $6.91 to $7.05 per share.
Is Procter & Gamble stock a buy, sell or hold?
Procter & Gamble has lagged the broader market over the past 12 months, up 12% on a total return basis (price change plus dividends) vs the S&P 500's nearly 27% gain. But Wall Street remains mostly bullish on one of the best dividend stocks for dependable dividend growth.
According to S&P Global Market Intelligence, the average analyst target price for PG stock is $179.27, representing implied upside of nearly 8% to current levels. Additionally, the consensus recommendation is Buy.
However, not all analysts are upbeat. Financial services firm Stifel, for one, has a Hold rating on the blue chip stock, along with a $161 price target, which sits below where PG is currently trading.
In a January 16 note, Stifel analyst Mark S. Astrachan said he believes PG shares are trading near fair value. "Our Hold rating reflects less expected relative outperformance as comparisons become increasingly difficult, including downside risk from slower sales growth and higher input costs," he added.
Related Content
- Why GE Vernova Stock Is Higher After Its Earnings Miss
- Earnings Calendar and Analysis for This Week
- Analysts' Top S&P 500 Stocks to Buy Now
-
What's Next for Stocks After a Chaotic SpringA chaotic tariff policy buffets investors looking for clarity on the economy and inflation.
-
Think a Repeal of the Estate Tax Wouldn't Affect You? WrongThe wording of any law that repeals or otherwise changes the federal estate tax could have an impact on all of us. Here's what you need to know, courtesy of an estate planning and tax attorney.
-
In Your 50s? We Need to Talk About Long-Term CareMany people don't like thinking about long-term care, but most people will need it. This financial professional recommends planning for these costs as early as possible to avoid stress later.
-
Where to Invest in an Uncertain MarketIn an uncertain market, you can still pocket juicy payouts ranging from 4% to 14%, depending on risk.
-
My First $1 Million: Events Industry CEO, 65, Northern New JerseyEver wonder how someone who's made a million dollars or more did it? Kiplinger's My First $1 Million series uncovers the answers.
-
Social Security Pop Quiz: Are You Among the 89% of Americans Who'd Fail?Shockingly few people have any clue what their Social Security benefits could be. This financial adviser notes it's essential to understand that info and when it might be best to access your benefits.
-
Stock Market Today: Investors Look on the Bright SideA generally good week closes on another positive note, as investors, traders and speculators look for fresh catalysts.
-
My Three-Day Rule for Investing: And If it Applies NowStock Market I've seen a lot in my career. Here's what I see now in the stock market.
