The stock market has been anything but predictable lately, with wild swings driven by an escalating trade war under President Donald Trump, policy U-turns, and rising concerns over a global economic slowdown. In the middle of all this chaos, investors are scrambling to find safe havens. And Procter & Gamble (PG) might just be one of the smartest bets on the board.
As a time-tested blue-chip company, Procter & Gamble has built a reputation for delivering essential consumer products that people rely on regardless of economic conditions.
Its defensive nature, combined with a rock-solid track record of consistent dividends, makes it a standout in turbulent times. While many companies struggle to find their footing, P&G’s stock has shown resilience this year. What’s more, Wall Street sentiment remains generally upbeat, with analysts still showing faith in the stock’s prospects. So, for investors in search of a stable investment candidate amid the current market storm, now could be an opportune time to take a closer look at this consumer goods powerhouse.
About Procter & Gamble Stock
Procter & Gamble (PG) is a global leader in branded consumer goods, offering a wide range of products across five key segments: Beauty, Grooming, Health Care, Fabric & Home Care, and Baby, Feminine & Family Care. With an impressive portfolio of trusted brands like Always, Ariel, Bounty, Crest, Gillette, Pampers, Tide, and many more, P&G is dedicated to delivering high-quality, everyday essentials to consumers worldwide.
Commanding a market cap of approximately $391.4 billion, Procter & Gamble has held up remarkably well in a rough 2025. While the broader S&P 500 Index ($SPX) dropped nearly 8.3% year-to-date, P&G is up 1.2%. Over the past year, the stock has gained 9.2%, underscoring its strength as a defensive standout in shaky times.
Given its market dominance, PG stock isn’t exactly a bargain, trading at 23.73 times forward earnings, much higher than its sector median of 15.71x. That said, it’s still slightly below its own historical average of 24.55x, making it a rare opportunity to scoop up a blue-chip powerhouse at a modest discount to its usual valuation.
Procter & Gamble continues to flex its Dividend King status with an impressive 69 consecutive years of dividend increases. Backed by 135 straight years of uninterrupted dividend payments since its founding, the company remains a pillar of consistency for income investors. Its annualized payout of $4.23 per share offers a solid 2.49% yield, a testament to its rock-steady cash flow and shareholder commitment.
Procter & Gamble Tops Q2 Estimates
On Jan. 22, the company lifted the curtains on its fiscal 2025 second-quarter earnings report, which soared beyond both Wall Street’s top and bottom-line projections. Net sales rose 2.1% year over year to $21.9 billion, edging out the $21.6 billion forecast. Even more impressive was the 3% jump in organic revenue, reflecting underlying growth momentum. A revitalized performance in Greater China played a key role, reinforcing the region’s status as a major catalyst in the company’s global strategy.
P&G saw volumes edge higher in Q2, powered by strong demand for everyday essentials. Overall volume ticked up 1% as consumers stocked up on household staples like toilet paper and cleaning supplies. Leading the charge was the baby, feminine, and family care division with a standout 4% volume jump. The grooming segment followed closely with a 2% rise, while fabric and home care posted a steady 1% gain.
On the earnings front, the company’s adjusted EPS of $1.88 jumped 2% year over year and topped estimates by roughly 1.1% margin. The company returned a hefty $4.9 billion to shareholders, split between $2.4 billion in dividends and $2.5 billion in buybacks, underscoring its continued focus on delivering value to investors. Looking forward to fiscal 2025, P&G kept its outlook intact, projecting core net earnings to range between $6.91 per share and $7.05 per share, with revenue growth of 2% to 4%.
The company also remains on track to achieve 90% adjusted free cash flow productivity. Shareholders can expect around $10 billion in dividends and an additional $6 billion to $7 billion in share buybacks in fiscal 2025. Meanwhile, analysts monitoring Procter & Gamble project the company’s bottom line to grow 4.6% year over year to $6.89 per share in fiscal 2025 and rise another 6.1% to $7.31 per share in fiscal 2026.
What Do Analysts Expect for Procter & Gamble Stock?
Overall, Wall Street continues to favor PG stock, maintaining a “Moderate Buy” rating. Of the 26 analysts offering recommendations, 15 advocate a “Strong Buy,” two give a “Moderate Buy,” and the remaining nine suggest a “Hold.” The average price target of $180.54 represents potential upside of 6.5%, while the Street-high target of $200 suggests a 18.3% rally from current levels.
