Procter & Gamble seen powering into economic downturn

Apr. 18, 2020 9:10 AM ETThe Procter & Gamble Company (PG)PGBy: Clark Schultz, SA News Editor23 Comments
  • Bank of America says Procter & Gamble (NYSE:PG) might just be beginning to get started in a post-earnings look at the consumer products giant.
  • "While PG is executing well near-term on pushing strained manufacturing and distribution for in-demand categories, which is likely to continue into FQ4, we ultimately see their positioning into the recession as one of their greater strengths," writes Olivia Tong.
  • Tong notes that P&G's heavy investment behind its businesses will continue, as it emphasizes brand performance along with value at a time when efficacy especially matters to consumers.
  • "We feel doubling down on a commitment to product superiority through innovation backed by higher advertising is the right move to retain share against the evolving backdrop," she notes.
  • P&G management is credited for adeptly managing the near- and long-term challenges amid the pandemic.
  • BofA reiterates a Buy rating on P&G and assigns a price objective of $135 (25x the 2021 EPS estimate).
  • Previously: Procter & Gamble gains after organic sales beat (April 17)

Recommended For You

Comments (23)

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.