Highly Regarded

Is Procter & Gamble Company (PG) Stock Undervalued or Overvalued?

Trailing-twelve-month multiples vs Consumer Staples sector peers in our coverage

Insufficient Data TTM fundamentals · sector averages from covered peers

We don’t have enough peer data to compute a reliable sector comparison for PG right now.

PG has negative trailing-twelve-month earnings, so a P/E ratio isn't meaningful — we compare on price-to-sales instead.

The Numbers

P/E (TTM)

—

Sector avg: 37.4×

P/S (TTM)

—

Sector avg: 3.4×

Market Cap

$370.33B

EPS (TTM): —

Revenue (TTM)

—

Net income: —

Consumer Staples Peer Comparison

How PG's multiples stack up against sector peers we cover. Click any peer for its own valuation breakdown.

Stock Price P/E (TTM)
PG This page $159.35 —
WMT $118.83 41.5×
COST $989.19 53.0×
KO $93.85 33.3×
PEP $131.52 21.9×

Is the Multiple Justified?

October 4, 2026

Procter & Gamble's negative TTM earnings and n/a P/S multiple reflect specific financial adjustments, but its operational performance provides context. For fiscal year 2026, organic sales grew over 1% and core EPS increased by 1%. However, the fourth quarter saw a 3% year-over-year contraction in core EPS, attributed to increased expenses and weaker revenues. Gross and operating margins also declined. The company faces headwinds from tariffs, estimated at $400 million after tax in fiscal 2026, and commodity costs. While P&G benefits from strong brand recognition and pricing power in consumer staples, these pressures on profitability and a modest outlook for fiscal 2027 contribute to its current valuation dynamics.

Sources

Frequently Asked Questions

Is PG overvalued or undervalued?
We don't have enough peer data to compute a sector comparison for PG right now.
What does the P/E ratio tell you?
Price-to-earnings compares a company's share price with its per-share profits. A higher multiple means investors pay more per dollar of earnings — often for faster expected growth — while a lower one can signal slower growth or higher perceived risk.
Why compare against the sector average?
Valuation multiples vary structurally between industries — software typically trades richer than banks or energy. Comparing PG with its own Consumer Staples peers is more informative than comparing against the whole market.
Is a cheap stock automatically a good buy?
No. A discount can be justified by weak growth or elevated risk (a "value trap"), and a premium can be earned by quality and consistency. Valuation is one input — pair it with the fundamentals and the AI context on this page.

Methodology

Multiples are computed from trailing-twelve-month fundamentals (from company filings) and the latest share price: P/E is price ÷ diluted EPS, and P/S is market cap ÷ revenue. Sector averages use the Consumer Staples names in our 50-stock coverage with positive earnings — a deliberately like-for-like, if imperfect, benchmark.

Stocks with negative trailing earnings are compared on price-to-sales instead. Multiples update with prices and fundamentals; AI context refreshes weekly.

Not Financial Advice

This page is for education and information only. Indicators are mechanical calculations, AI commentary can contain errors, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a qualified financial advisor. See our full disclaimer.

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Same question, Consumer Staples peers

KO PEP WMT COST