The Procter & Gamble Company Stock Price Targets

Comprehensive analysis of short, mid, and long-term price targets for The Procter & Gamble Company (PG).

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Give me a comprehensive price target analysis for The Procter & Gamble Company (PG).

Below is a comprehensive PG (Procter & Gamble) analysis using the data you provided, plus the requested horizontal price-target trendlines drawn on the chart.

Highlights

  • Price today: 150.41
  • Price targets (analyst consensus): Low 147.00, Median 172.50, High 186.00; Mean target 170.09; 22 analysts
  • The three horizontal trendlines have been drawn and extended 30 days into the future (to 2025-11-06) at:
    • Low Target: 147.00 (green)
    • Median Target: 172.50 (orange)
    • High Target: 186.00 (red)

Technical setup (lines drawn)

  • Low Target (147.00): extended from 2025-10-07 to 2025-11-06
    • Color: #2ECC71 (green)
  • Median Target (172.50): extended from 2025-10-07 to 2025-11-06
    • Color: #F39C12 (orange)
  • High Target (186.00): extended from 2025-10-07 to 2025-11-06
    • Color: #E74C3C (red)

Executive Summary

  • Investment thesis: PG is a high-quality consumer staples name with durable cash flow, solid margins, and an attractive dividend. The current pullback may present a reasonable entry for longer-term investors, given a positive earnings trajectory and steady buyback/dividend support.
  • Near-term risk: Price is currently below the 50-day moving average and in a short-term oversold zone per RSI readings, which suggests potential near-term downside risk before a possible rebound.
  • Longer-term view: With a stable business, strong margins (gross ~51.3%, operating ~25.1%), and a healthy balance sheet, the stock deserves consideration for a gradual position build, especially if it starts to reassert momentum toward consensus targets.

Fundamental Analysis

  • Valuation and size
    • Market cap: $352.0B
    • Enterprise value: $384.7B
    • Trailing P/E: 23.07
    • Forward P/E: 20.27
    • Price-to-Book: 6.88
    • Return on Equity (ROE): 31.24%
    • Return on Assets (ROA): 10.91%
    • Dividend yield: 2.78% (five-year avg 2.41%)
    • Beta: 0.364 (low-beta, stable)
  • Balance sheet and cash flow
    • Total cash: $9.56B
    • Total debt: $36.53B
    • Debt/Equity: 69.9
  • Margins
    • Profit margin: 18.95%
    • Gross margin: 51.34%
    • Operating margin: 25.15%
  • Cash generation and earnings quality
    • Normalized EBITDA (latest quarter): $5.456B
    • EBITDA (latest quarter): $5.456B
    • Net income (continuing ops, latest quarter): $3.616B
    • Diluted EPS (latest quarter): $1.48
    • Total revenue (latest quarter): $20.889B
  • Observations
    • The company maintains robust margins and a solid balance sheet. The debt load is meaningful but manageable given the strong cash generation and steady dividend policy. The valuation is reasonable for a high-quality, defensively positioned consumer staples name, especially in a macro backdrop that can reward predictable cash flows.

Earnings Analysis Recent Earnings Performance

  • Latest quarter (2025-06-30):
    • Normalized EBITDA: $5.456B
    • Operating income: $4.354B
    • Gross profit: $10.258B
    • Total revenue: $20.889B
    • Net income (continuing ops): $3.616B
    • Diluted EPS: $1.48
  • Prior quarter (2025-03-31):
    • Normalized EBITDA: $5.568B
    • Diluted EPS: $1.54
  • The series shows consistently strong gross margins and solid EBITDA; EPS remained above $1.5 per share in the recent quarter, with a slight sequential improvement in the dividend/earnings context. The quarterly numbers illustrate a steady, defensive earnings profile typical of PG’s consumer staples platform.

EPS Trends

  • Trailing and forward perspective (as provided):
    • 0q (latest quarter) diluted EPS: ~1.48
    • 0q (previous quarter) diluted EPS: ~1.54
    • 0y (TTM) diluted EPS: ~6.98
    • +1y (forward 12 months) diluted EPS: ~7.39
  • Interpretation
    • The company is delivering consistently solid quarterly EPS in the low-to-mid $1.50s range, contributing to a TTM around $6.98 and an anticipated forward Y1 target near $7.39. This points to a modest but meaningful earnings trajectory. The cyclicality typical of consumer staples is less pronounced than in cyclical sectors, reinforcing PG’s defensiveness in uncertain macro conditions.

EPS Revisions

  • Revision activity (summary by period)
    • 0q: Ups/downs – 0 ups in last 7/30 days; 5 downs in last 30 days; 3 downs in last 7 days (net negative near term)
    • +1q: 2 ups in last 7 days; 2 ups in last 30 days; 1 down in last 30 days; 2 downs in last 7 days (mixed-to-positive short-term)
    • 0y: 0 ups in last 7 days; 1 up in last 30 days; 4 downs in last 30 days; 3 downs in last 7 days (net negative longer term)
    • +1y: 0 ups in last 7 days; 2 ups in last 30 days; 5 downs in last 30 days; 4 downs in last 7 days (net negative-to-mixed long horizon)
  • Interpretation
    • Near-term revisions are mixed-to-negative, with more recent downgrades in the 0q category. However, +1q and +1y revisions show some upgrades relative to a broader set, indicating improving sentiment further out, albeit with continued uncertainty around near-term earnings trajectory.

Technical Analysis

  • Price action and momentum
    • Current price: 150.41
    • 50-day moving average (recent): ~155.4 (latest 50-day MA value shown near 2025-10-06)
    • RSI (14) (latest): ~25.6 (indicating oversold conditions)
    • MACD (12,26,9): negative, recent signals around -1.4 (MACD) vs -1.0 (Signal)
  • Interpretation
    • The stock is trading below its 50-day MA, which is typical of a short-term weakness phase. RSI in the low-20s/low-30s implies oversold conditions that often precede a bounce. The MACD remains negative, suggesting momentum is negative but may be near-term ripe for a reversal if buyers step in. The support area around the low-target line at 147 appears plausible as a near-term cushion; the chart now has the 172.50 median as a potential upside target on a rebound, with the 186.00 level acting as a longer higher-end resistance.

Analyst Consensus & Price Targets

  • Current consensus metrics
    • Current price: 150.41
    • Target Low / Median / High: 147.00 / 172.50 / 186.00
    • Target Mean: 170.09
    • Number of analysts: 22
    • Implied upside (to mean): approximately 13.0%
    • Implied upside (to median): approximately 14.3%
    • Implied upside (to high): approximately 23.6%
  • Drivers and catalysts
    • Steady demand for consumer staples, consistent-margin expansion potential, ongoing cost discipline, and potential share buybacks.
    • Dividend yield supports valuation in a range-bound market.
    • Possible catalysts include quarterly earnings strength, margin improvements, and any updates to buyback authorization.

Price Target Analysis (Short, Mid, Long-Term)

  • Short-Term (3 months)
    • Target: around 170.0 (near the analyst mean/median)
    • Justification: In the near term, the oversold condition (RSI ~25) and potential positive revisions in the +1q category could support a rebound. The consensus mean/median suggests a near-term reversion toward the mid-to-high 160s/low 170s as traders rebalance risk and the price tests the 50-day MA (around 155–156) as initial resistance turned support.
    • Key drivers: tactical unwinds in the macro environment, defensive consumer staples demand, potential beat in upcoming earnings if quarterly results hold up, dividend appeal.
  • Mid-Term (12 months)
    • Target: 172.50 (median target)
    • Justification: The 12-month path remains constructive given the 12-month forward EPS estimate around 7.39 and the stable PG earnings profile. The median target sits near the 1-year view of consensus, suggesting multiple expansion toward a mid-point of the current range as buy-side participants gain confidence in PG’s operating stability and cost discipline.
    • Key drivers: consistent margin retention, ongoing cost management, modest top-line growth in developed markets, potential share repurchases, and relatively favorable long-horizon EPS revisions (positive signals in +1y revisions).
  • Long-Term (3+ years)
    • Target: 186.00 (high target)
    • Justification: If the business sustains its earnings power, PG could realize multiple expansion toward the high end of the current analyst range. The long-run EPS growth narrative (EPS forward ~7.39 over the next year, potentially higher as margins hold and volumes stabilize) supports upside to the high target as broader market multiples normalize.
    • Key drivers: durable cash generation, ongoing buyback authorization, and continued resilience against macro volatility; steady dividends enhance total return potential in a defensively biased portfolio.

Key Risks & Opportunities

  • Risks
    • Macro pressure on consumer spending could compress volumes (even for staples) and weigh on margins if input costs rise.
    • Competitive pricing pressure in mature markets; potential FX headwinds if the dollar strengthens.
    • Elevated debt load relative to cash flow could constrain flexibility in a rising-rate environment.
  • Opportunities
    • Attractive dividend and potential for share repurchase to support EPS.
    • Margin resilience and efficiency programs could provide upside to gross/operating margins.
    • Ongoing product innovation and portfolio optimization could sustain top-line stability in a competitive field.

Investment Recommendation

  • Rating: Hold
  • Rationale: PG remains a high-quality, defensively positioned franchise with strong margins and cash generation. The near-term price action is technically oversold, but the stock is trading below the 50-day MA and near-term momentum remains negative. The long-run fundamentals (EPS trajectory, revisions for longer horizons, and dividend appeal) support a constructive view, yet investors may want to see confirmation of a durable upside above the 172.50 level or a sustained move through 160+ before upgrading conviction.
  • Time horizon: 12–24 months
  • Expected return potential (12–24 months): ~+12% to +24% depending on where the price converges relative to the 170–186 target range.
    • If price moves toward the median target (~172.50), expected upside is roughly 14–15%.
    • If price advances toward the high target (~186), upside can approach ~23–24%.

Key Data Tables (selected figures)

  • Valuation and fundamentals
    • Current price: 150.41
    • Market cap: $352.0B
    • EV: $384.7B
    • Trailing P/E: 23.07
    • Forward P/E: 20.27
    • P/B: 6.88
    • ROE: 31.24%
    • ROA: 10.91%
    • Gross margin: 51.34%
    • Operating margin: 25.15%
    • Net margin: 18.95%
    • Debt/Equity: 69.9
    • Total cash: $9.56B
    • Total debt: $36.53B
    • Dividend yield: 2.78%
    • Beta: 0.364
  • Earnings snapshots (latest quarter)
    • Total revenue: $20.889B
    • Gross profit: $10.258B
    • Operating income: $4.354B
    • EBITDA: $5.456B
    • Net income (continuing ops): $3.616B
    • Diluted EPS (latest quarter): $1.48
  • EPS trends (selected)
    • 0q diluted EPS (latest): ~1.48
    • 0q previous: ~1.54
    • 0y trailing diluted EPS: ~6.98
    • +1y forward diluted EPS: ~7.39
  • EPS revisions (summary)
    • 0q: mostly downgrades in near term
    • +1q: mixed but some upgrades; positive signal for next quarter
    • 0y and +1y: more mixed-to-down revisions but with some upgrades in +1q
  • Technicals (last 60 days)
    • 50-day MA: ~155.4 (latest data point near 2025-10-06)
    • RSI (14): ~25.6 (oversold)
    • MACD: negative (current around -1.4 vs -1.0 signal)

Notes on the Price Targets and Lines

  • The three horizontal lines (147.00, 172.50, 186.00) were drawn as requested and extended 30 days into the future to 2025-11-06. They are color-coded for clarity:
    • 147.00 (Low): green
    • 172.50 (Median): orange
    • 186.00 (High): red

If you’d like, I can add a more granular scenario analysis (e.g., sensitivity to EPS revisions, dividend impact, or macro scenarios) or adjust the target horizons (e.g., 6 months, 2 years) and re-run the target framework.

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