Recs

13

5-Star Stocks Poised to Pop: Procter & Gamble

Based on the aggregated intelligence of 145,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, consumer-goods giant Procter & Gamble (NYSE: PG  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at P&G's business and see what CAPS investors are saying about the stock right now.

Procter & Gamble facts

Headquarters (Founded)

Cincinnati (1837)

Market Cap

$176.2 billion

Industry

Household products

Trailing-12-Month Revenue

$77.9 billion

Management

CEO Robert McDonald (since 2009)
CFO Jon Moeller (since 2009)

Major Brands

Gillette, Duracell, Pampers, Charmin, Tide, Crest, Head & Shoulders

Return on Equity (Average, Past 3 Years)

17.1%

Cash/Debt

$6.3 billion / $35.4 billion

Dividend Yield

2.9%

Competitors

Johnson & Johnson (NYSE: JNJ  )
Kimberly-Clark (NYSE: KMB  )

CAPS Members Bullish on PG Also Bullish on

Altria (NYSE: MO  )
Microsoft (Nasdaq: MSFT  )

CAPS Members Bearish on PG Also Bearish on

Wal-Mart (NYSE: WMT  )
Home Depot (NYSE: HD  )

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 97% of the 6,641 members who have rated P&G believe the stock will outperform the S&P 500 going forward. These bulls include jawilde and tekennedy.

Last fall, jawilde tapped P&G as the perfect way to get defensive:

I'm in the camp which expects several years of slow economic growth as consumers and business deleverage their balance sheets (i.e. the New Normal as Bill Gross at PIMCO calls it). In this environment, I want blue-chip companies that make essential products and provide a solid Total Return (dividends plus capital appreciation) potential. [P&G] fits the bill perfectly.

In an earlier pitch, tekennedy expands on P&G as a business bursting with brand power:

This is just a spectacular company. ... It is amazing to see how strategic advertising helps reinvigorate stale names and how product extensions help realize further value from their brands. The portfolio of leading brands will help them maintain their space on store shelves and ensure they will continue to earn excess economic returns. Expansion to foreign markets and a low valuation make me think this company will outpace the overall economy.

What do you think about P&G, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!  

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. P&G, Johnson & Johnson, and Kimberly-Clark are all Motley Fool Income Investor picks. Microsoft, Wal-Mart, and Home Depot are Inside Value selections. Motley Fool Options has recommended a diagonal call position on Microsoft, and the Fool owns shares of Procter & Gamble. The Fool's disclosure policy always gets a perfect score.


Read/Post Comments (0) | Recommend This Article (13)

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.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1092289, ~/Articles/ArticleHandler.aspx, 9/21/2014 10:36:12 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...

Brian Pacampara
TMFEZMagic

I take a look at big 10% moves, as well as stock-shaking analyst calls, on a daily basis for The Fool. While I don't believe in active trading, closely monitoring Mr. Market's mood swings can help identify long-term opportunities.

Today's Market

updated 1 day ago Sponsored by:
DOW 17,279.74 13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASD 4,579.79 -13.64 -0.30%

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

9/19/2014 4:03 PM
PG $84.47 Up +0.28 +0.33%
Procter & Gamble CAPS Rating: ****
HD $92.34 Up +0.25 +0.27%
Home Depot CAPS Rating: ***
JNJ $107.99 Up +0.64 +0.60%
Johnson & Johnson CAPS Rating: ****
KMB $106.93 Up +0.21 +0.20%
Kimberly-Clark CAPS Rating: ****
MO $44.99 Up +0.25 +0.56%
Altria Group, Inc. CAPS Rating: ****
MSFT $47.52 Up +0.84 +1.80%
Microsoft CAPS Rating: ***
WMT $76.84 Up +0.62 +0.81%
Wal-Mart Stores CAPS Rating: ***

Advertisement