PROCTER & GAMBLE CO/THE (1PG.MI) Stock Fundamental Analysis
BIT:1PG - US7427181091 - Common Stock
136.6 EUR
-0.36 (-0.26%)
Overall 1PG gets a fundamental rating of 5 out of 10. We evaluated 1PG against 8 industry peers in the Household Products industry. 1PG gets an excellent profitability rating and is at the same time showing great financial health properties. 1PG does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year 1PG was profitable.
1PG had a positive operating cash flow in the past year.
Of the past 5 years 1PG 4 years were profitable.
1PG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of 1PG (12.36%) is better than 62.50% of its industry peers.
The Return On Equity of 1PG (29.09%) is better than 62.50% of its industry peers.
With a decent Return On Invested Capital value of 18.35%, 1PG is doing good in the industry, outperforming 62.50% of the companies in the same industry.
1PG had an Average Return On Invested Capital over the past 3 years of 16.68%. This is in line with the industry average of 18.04%.
The last Return On Invested Capital (18.35%) for 1PG is above the 3 year average (16.68%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.36% | ||
| ROE | 29.09% | ||
| ROIC | 18.35% |
ROA(3y)12.05%
ROA(5y)11.7%
ROE(3y)30.26%
ROE(5y)29.7%
ROIC(3y)16.68%
ROIC(5y)15.95%
1.3 Margins
1PG's Profit Margin of 18.12% is amongst the best of the industry. 1PG outperforms 87.50% of its industry peers.
1PG's Profit Margin has improved in the last couple of years.
The Operating Margin of 1PG (24.23%) is better than 87.50% of its industry peers.
In the last couple of years the Operating Margin of 1PG has grown nicely.
1PG has a better Gross Margin (51.51%) than 75.00% of its industry peers.
In the last couple of years the Gross Margin of 1PG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.23% | ||
| PM (TTM) | 18.12% | ||
| GM | 51.51% |
OM growth 3Y0.15%
OM growth 5Y2.1%
PM growth 3Y-1.98%
PM growth 5Y26.46%
GM growth 3Y0.17%
GM growth 5Y0.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1PG is creating value.
1PG has less shares outstanding than it did 1 year ago.
1PG has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1PG has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.78 indicates that 1PG is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1PG (5.78) is better than 87.50% of its industry peers.
1PG has a debt to FCF ratio of 2.27. This is a good value and a sign of high solvency as 1PG would need 2.27 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.27, 1PG is doing good in the industry, outperforming 75.00% of the companies in the same industry.
A Debt/Equity ratio of 0.46 indicates that 1PG is not too dependend on debt financing.
1PG's Debt to Equity ratio of 0.46 is fine compared to the rest of the industry. 1PG outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.27 | ||
| Altman-Z | 5.78 |
ROIC/WACC2.28
WACC8.06%
2.3 Liquidity
A Current Ratio of 0.71 indicates that 1PG may have some problems paying its short term obligations.
1PG's Current ratio of 0.71 is in line compared to the rest of the industry. 1PG outperforms 50.00% of its industry peers.
A Quick Ratio of 0.50 indicates that 1PG may have some problems paying its short term obligations.
With a Quick ratio value of 0.50, 1PG perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
1PG does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.5 |
3. Growth
3.1 Past
1PG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.64%.
1PG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.93% yearly.
EPS 1Y (TTM)3.64%
EPS 3Y5.54%
EPS 5Y5.93%
EPS Q2Q%5.71%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%1.74%
3.2 Future
Based on estimates for the next years, 1PG will show a small growth in Earnings Per Share. The EPS will grow by 5.31% on average per year.
1PG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.59% yearly.
EPS Next Y5.49%
EPS Next 2Y5.88%
EPS Next 3Y5.67%
EPS Next 5Y5.31%
Revenue Next Year3.09%
Revenue Next 2Y3.31%
Revenue Next 3Y3.55%
Revenue Next 5Y3.59%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.43, the valuation of 1PG can be described as rather expensive.
Based on the Price/Earnings ratio, 1PG is valued a bit more expensive than 75.00% of the companies in the same industry.
1PG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.44, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 22.20, which indicates a rather expensive current valuation of 1PG.
75.00% of the companies in the same industry are cheaper than 1PG, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.87. 1PG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.43 | ||
| Fwd PE | 22.2 |
4.2 Price Multiples
75.00% of the companies in the same industry are cheaper than 1PG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, 1PG is valued a bit more expensive than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.93 | ||
| EV/EBITDA | 17.21 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1PG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.27
PEG (5Y)3.95
EPS Next 2Y5.88%
EPS Next 3Y5.67%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.81%, 1PG has a reasonable but not impressive dividend return.
1PG's Dividend Yield is a higher than the industry average which is at 3.15.
Compared to an average S&P500 Dividend Yield of 2.45, 1PG has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.81% |
5.2 History
On average, the dividend of 1PG grows each year by 6.09%, which is quite nice.
Dividend Growth(5Y)6.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
64.24% of the earnings are spent on dividend by 1PG. This is not a sustainable payout ratio.
1PG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP64.24%
EPS Next 2Y5.88%
EPS Next 3Y5.67%
BIT:1PG (9/5/2025, 7:00:00 PM)
136.6
-0.36 (-0.26%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners70.1%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap319.92B
Analysts78.29
Price Target152.02 (11.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.81% |
Yearly Dividend3.68
Dividend Growth(5Y)6.09%
DP64.24%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.83%
Min EPS beat(2)-1.99%
Max EPS beat(2)-1.67%
EPS beat(4)0
Avg EPS beat(4)-1.47%
Min EPS beat(4)-1.99%
Max EPS beat(4)-0.96%
EPS beat(8)4
Avg EPS beat(8)0.95%
EPS beat(12)5
Avg EPS beat(12)0.02%
EPS beat(16)6
Avg EPS beat(16)-0.18%
Revenue beat(2)0
Avg Revenue beat(2)-2.94%
Min Revenue beat(2)-4.5%
Max Revenue beat(2)-1.38%
Revenue beat(4)0
Avg Revenue beat(4)-3.37%
Min Revenue beat(4)-4.5%
Max Revenue beat(4)-1.38%
Revenue beat(8)0
Avg Revenue beat(8)-2.78%
Revenue beat(12)1
Avg Revenue beat(12)-2.32%
Revenue beat(16)4
Avg Revenue beat(16)-1.76%
PT rev (1m)-2.1%
PT rev (3m)-10.56%
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)-6.16%
EPS NY rev (1m)0.06%
EPS NY rev (3m)-1.33%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)-0.83%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)-0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.43 | ||
| Fwd PE | 22.2 | ||
| P/S | 4.46 | ||
| P/FCF | 24.93 | ||
| P/OCF | 20.15 | ||
| P/B | 7.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.21 |
EPS(TTM)5.83
EY4.27%
EPS(NY)6.15
Fwd EY4.51%
FCF(TTM)5.48
FCFY4.01%
OCF(TTM)6.78
OCFY4.96%
SpS30.61
BVpS19.06
TBVpS-3.66
PEG (NY)4.27
PEG (5Y)3.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.36% | ||
| ROE | 29.09% | ||
| ROCE | 22.92% | ||
| ROIC | 18.35% | ||
| ROICexc | 20.45% | ||
| ROICexgc | 94.06% | ||
| OM | 24.23% | ||
| PM (TTM) | 18.12% | ||
| GM | 51.51% | ||
| FCFM | 17.9% |
ROA(3y)12.05%
ROA(5y)11.7%
ROE(3y)30.26%
ROE(5y)29.7%
ROIC(3y)16.68%
ROIC(5y)15.95%
ROICexc(3y)18.36%
ROICexc(5y)17.91%
ROICexgc(3y)79.12%
ROICexgc(5y)81.08%
ROCE(3y)22.01%
ROCE(5y)21.21%
ROICexcg growth 3Y-3.17%
ROICexcg growth 5Y2.47%
ROICexc growth 3Y2.89%
ROICexc growth 5Y6.22%
OM growth 3Y0.15%
OM growth 5Y2.1%
PM growth 3Y-1.98%
PM growth 5Y26.46%
GM growth 3Y0.17%
GM growth 5Y0.73%
F-Score7
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.27 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 123.4% | ||
| Cap/Sales | 4.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.04% | ||
| Profit Quality | 98.82% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.5 | ||
| Altman-Z | 5.78 |
F-Score7
WACC8.06%
ROIC/WACC2.28
Cap/Depr(3y)113.32%
Cap/Depr(5y)108.77%
Cap/Sales(3y)3.87%
Cap/Sales(5y)3.92%
Profit Quality(3y)100.99%
Profit Quality(5y)105.25%
High Growth Momentum
Growth
EPS 1Y (TTM)3.64%
EPS 3Y5.54%
EPS 5Y5.93%
EPS Q2Q%5.71%
EPS Next Y5.49%
EPS Next 2Y5.88%
EPS Next 3Y5.67%
EPS Next 5Y5.31%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%1.74%
Revenue Next Year3.09%
Revenue Next 2Y3.31%
Revenue Next 3Y3.55%
Revenue Next 5Y3.59%
EBIT growth 1Y0.07%
EBIT growth 3Y3.51%
EBIT growth 5Y6.61%
EBIT Next Year17.4%
EBIT Next 3Y8.63%
EBIT Next 5Y6.59%
FCF growth 1Y23.16%
FCF growth 3Y1.97%
FCF growth 5Y6.79%
OCF growth 1Y22.11%
OCF growth 3Y2.61%
OCF growth 5Y5.42%