Procter & Gamble: Hard To Justify A Buy Rating At Current Levels

Summary:

  • The past few years are a poor indicator of what investors could expect from The Procter & Gamble Company stock.
  • Further multiple expansion now appears a highly unlikely event for The Procter & Gamble, which will have significant implications for future returns.
  • The market will put more emphasis on organic sales growth just as pricing tailwinds fade away.

Woman choosing domestic cleaning product by the supermarket shelf

zoranm

One major mistake that investors often make is extrapolating recent trends and events and disregarding important lessons from history. Falling victim to recency bias is now extremely risky when it comes to growth technology stocks, but even sectors like consumer staples


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Please do your own due diligence and consult with your financial advisor, if you have one, before making any investment decisions. The author is not acting in an investment adviser capacity. The author's opinions expressed herein address only select aspects of potential investment in securities of the companies mentioned and cannot be a substitute for comprehensive investment analysis. The author recommends that potential and existing investors conduct thorough investment research of their own, including a detailed review of the companies' SEC filings. Any opinions or estimates constitute the author's best judgment as of the date of publication and are subject to change without notice.

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