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
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) |
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 |
CAPS Members Bullish on PG Also Bullish on |
Altria |
CAPS Members Bearish on PG Also Bearish on |
Wal-Mart |
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!