Recs

5

P&G vs. Peers: Which Stock Is More Attractive?

Identifying the best investment opportunities in the market takes time. So we've built this "Prospecting" screen -- which is a simplified version of the special checklist that has helped Jeff Fischer and the Motley Fool Pro team -- to accelerate your research and help you identify companies that may make a winning addition to your portfolio.

The following stock screen is based on proprietary community intelligence from the 135,000-plus investors participating in Motley Fool CAPS. We've enhanced the data by factoring in four hand-picked fundamental criteria to measure growth rates, margins, and overall financial health. Although we use these as guidelines, optimal benchmarks vary widely by industry. So get out your shovel and pickax as we start digging for gold.

Is it time to consider Procter & Gamble?
Our expedition begins with Procter & Gamble. Is now a good time to consider P&G, or should you look elsewhere? Let's look at P&G and some of its competitors.

Procter & Gamble vs. Industry Peers

Stock

Procter & Gamble (NYSE: PG  )

 

Energizer Holdings (NYSE: ENR  )

 

Kimberly-Clark (NYSE: KMB  )

 

Colgate-Palmolive (NYSE: CL  )

 

CAPS Community Rating

We prefer 4-star or 5-star stocks.

 

anImage

 

anImage

 

anImage

 

anImage

 

anImage

 

anImage

 

anImage

 

anImage

CAPS 1000

We like stocks rated "outperform" by 80% of top CAPS members.

 

99% Outperform

 

anImage

 

94% Outperform

 

anImage

 

97% Outperform

 

anImage

 

87% Outperform

 

anImage

Five-Year Revenue Growth

We like to see five-year revenue growth of at least 10%.

 

8.72%

 

anImage

 

8.83%

 

anImage

 

5.16%

 

anImage

 

8.05%

 

anImage

Gross Margin (TTM)

We like to see gross margins of 35% or higher.

 

55.2%

 

 

anImage

 

49.7%

 

 

anImage

 

37.1%

 

 

anImage

 

60.1%

 

 

anImage

Total Debt-to-Equity

A total debt-to-equity ratio of 0.50 or less gets a check.

 

.54

 

 

anImage

 

1.45

 

 

anImage

 

1.09

 

 

anImage

 

1.17

 

 

anImage

Return on Equity

We look for a minimum of 14% return on equity.

 

20.5%

 

 

anImage

 

16.9%

 

 

anImage

 

35.0%

 

 

anImage

 

77.5%

 

 

anImage

Total Score

4 of 6

4 of 6

4 of 6

4 of 6

N/M = not meaningful.

Using these six criteria, all four companies rate equally, scoring a 4 out of 6. 

What do you think about Procter & Gamble? If you'd like to make your own call on P&G, or post a pitch about why you think it will outperform or underperform the market, click here. Of course, you can also just visit to see what other members are saying about it now or what they are saying about more than 5,300 other stocks by joining us on CAPS.

Our Prospecting Stocks screen is a simplified version of the special checklist that has helped Jeff Fischer and the Pro community to find the next opportunities for the Motley Fool Pro portfolio. Learn more about Motley Fool Pro.

Best Odds in the Universe!
If you're interested in a 98.79% chance at beating the market... and a 70.84% chance at DOUBLING the market's return – Motley Fool Supernova could be just what you're looking for. And get this: We arrived at these odds from 10,000 random back-tested portfolios composed of Motley Fool Co-founder David Gardner's personal stock picks.

It's why David recently handpicked a small team of world-class portfolio managers. You see, he thinks these odds can get even better! And he'd like to prove it to you...

Simply enter your email address. And the answer to the question everybody is asking will be delivered to your inbox!

Disclosure is important to us here at The Motley Fool. The stocks mentioned in this article received their CAPS ratings from participants in the Motley Fool's CAPS service. No individual person selected the stocks in this article, so there is no author to disclose an interest in them. Since this article was automatically generated by identifying the stocks rated by the CAPS community and by buyers in today's market, it is possible that Motley Fool personnel (and even The Motley Fool itself, through our Million Dollar Portfolio, Motley Fool Pro, and Ready Made Millionaire services), have positions in these stocks. Our lawyers make us put all this at the bottom of this article. You can learn more about the Motley Fool's disclosure policyhere.


Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

DocumentId: 1058269, ~/Articles/ArticleHandler.aspx, 2/14/2012 9:15:48 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 10 hours ago Sponsored by:
DOW 12,874.04 72.81 0.00%
S&P 500 1,351.77 9.13 0.00%
NASD 2,931.39 27.51 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

2/13/2012 4:00 PM
PG $64.23 Up +0.35 +0.00%
The Procter & Gamb… CAPS Rating: *****
KMB $71.74 Up +0.18 +0.00%
Kimberly-Clark Cor… CAPS Rating: *****
ENR $76.40 Up +0.27 +0.00%
Energizer Holdings CAPS Rating: ****
CL $91.64 Up +0.47 +0.00%
Colgate-Palmolive… CAPS Rating: *****

Advertisement