Procter & Gamble (NYSE:PG) Shares Down 5.3% Following Weak Earnings

The Procter & Gamble Company (NYSE:PG)’s stock price fell 5.3% on Thursday following a dissappointing earnings announcement. The stock traded as low as $157.01 and last traded at $156.95. 5,753,650 shares changed hands during mid-day trading, a decline of 18% from the average session volume of 7,042,145 shares. The stock had previously closed at $165.73.

The company reported $1.54 earnings per share for the quarter, missing analysts’ consensus estimates of $1.57 by ($0.03). The business had revenue of $19.78 billion during the quarter, compared to analysts’ expectations of $20.42 billion. Procter & Gamble had a return on equity of 33.00% and a net margin of 18.35%. During the same quarter in the previous year, the business earned $1.52 EPS.

Procter & Gamble Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, May 15th. Stockholders of record on Monday, April 21st will be given a dividend of $1.0568 per share. The ex-dividend date is Monday, April 21st. This is a positive change from Procter & Gamble’s previous quarterly dividend of $1.01. This represents a $4.23 dividend on an annualized basis and a dividend yield of 2.65%. Procter & Gamble’s dividend payout ratio (DPR) is 67.20%.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on PG. Truist Financial increased their price objective on Procter & Gamble from $180.00 to $185.00 and gave the stock a “buy” rating in a research note on Thursday, April 3rd. DA Davidson restated a “buy” rating and set a $209.00 price target on shares of Procter & Gamble in a research note on Thursday, January 23rd. UBS Group restated a “buy” rating on shares of Procter & Gamble in a report on Monday, February 10th. Royal Bank of Canada reiterated a “sector perform” rating and set a $164.00 target price on shares of Procter & Gamble in a report on Tuesday. Finally, Barclays restated an “equal weight” rating on shares of Procter & Gamble in a report on Thursday, March 27th. Seven investment analysts have rated the stock with a hold rating, thirteen have issued a buy rating and three have given a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $181.50.

Insider Buying and Selling at Procter & Gamble

In other news, CEO Gary A. Coombe sold 35,000 shares of Procter & Gamble stock in a transaction on Friday, February 28th. The shares were sold at an average price of $173.68, for a total transaction of $6,078,800.00. Following the completion of the sale, the chief executive officer now directly owns 22,051 shares in the company, valued at approximately $3,829,817.68. The trade was a 61.35 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. 0.18% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Procter & Gamble

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in PG. NewSquare Capital LLC increased its holdings in Procter & Gamble by 933.3% in the 4th quarter. NewSquare Capital LLC now owns 155 shares of the company’s stock worth $26,000 after buying an additional 140 shares during the period. Navigoe LLC purchased a new position in shares of Procter & Gamble during the fourth quarter worth $31,000. Capital A Wealth Management LLC acquired a new position in Procter & Gamble during the fourth quarter valued at $31,000. Hoey Investments Inc. boosted its holdings in Procter & Gamble by 321.7% in the fourth quarter. Hoey Investments Inc. now owns 194 shares of the company’s stock valued at $33,000 after purchasing an additional 148 shares during the last quarter. Finally, LFA Lugano Financial Advisors SA acquired a new stake in Procter & Gamble during the 4th quarter worth about $34,000. Hedge funds and other institutional investors own 65.77% of the company’s stock.

Procter & Gamble Price Performance

The firm has a market cap of $374.21 billion, a PE ratio of 25.41, a price-to-earnings-growth ratio of 3.76 and a beta of 0.43. The stock has a 50 day simple moving average of $168.24 and a two-hundred day simple moving average of $168.38. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.55 and a current ratio of 0.76.

About Procter & Gamble

Procter & Gamble Co engages in the provision of branded consumer packaged goods. It operates through the following segments: Beauty, Grooming, Health Care, Fabric and Home Care, and Baby, Feminine and Family Care. The Beauty segment offers hair, skin, and personal care. The Grooming segment consists of shave care like female and male blades and razors, pre and post shave products, and appliances.