Cincinnati, Ohio-based the Procter & Gamble Company (PG) is the world’s largest consumer packaged goods company. With a market cap of $395.7 billion, Procter & Gamble operates through Beauty, Grooming, Health Care, Fabric & Home Care, and Baby, Feminine & Family Care segments.
P&G has notably underperformed the broader market over the past year. P&G stock has gained 6.4% over the past 52 weeks and a marginal 29 basis point on a YTD basis, lagging behind the S&P 500 Index’s ($SPX) 21.8% surge over the past year and 2.7% gains in 2025.
Zooming in further, P&G has slightly outpaced the sector-focused Consumer Staples Select Sector SPDR Fund’s (XLP) modest 6% gains over the past year and a marginal 1 basis point gain in 2025.
Procter & Gamble’s stock prices rose 1.9% after the release of its impressive Q2 results on Jan. 22. Driven by notable growth in volumes, its net sales grew 2.1% year-over-year to $21.9 billion, which surpassed the Street’s expectations by 1.3%. Furthermore, its core earnings increased 2.2% year-over-year to $1.88, exceeding analysts’ estimates by 1.1%. Furthermore, the company reaffirmed its full-year all-in sales growth guidance range of 2% to 4% and its full-year organic sales growth guidance of 3% to 5% which boosted investor confidence.
For the current fiscal 2025, ending in June, analysts expect P&G to report a 4.9% year-over-year growth in core earnings to $6.91 per share. Furthermore, the company has a robust earnings surprise history. It has surpassed analysts’ bottom-line expectations in each of the past four quarters.
Among the 26 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 15 “Strong Buy,” two “Moderate Buy,” and nine “Hold” ratings.
This configuration has been mostly stable over the past three months.
On Jan. 23, Stifel analyst Mark Astrachan reiterated a “Hold” rating on P&G while raising the price target to $165.
Procter & Gamble’s mean price target of $181.92 represents an 8.2% premium to current price levels, while its street-high target of $209 indicates a 24.3% upside potential.
