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: 35.5×

P/S (TTM)

Sector avg: 3.2×

Market Cap

$337.38B

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 $145.17
WMT $104.83 36.7×
COST $943.80 50.6×
KO $88.72 31.5×
PEP $140.33 23.4×

Is the Multiple Justified?

August 30, 2026

Procter & Gamble's reported negative TTM earnings result in an undefined P/S multiple, indicating recent profitability challenges. However, the company reported positive diluted net earnings per share of $6.62 for fiscal year 2026, an increase of 2% versus the prior year, on net sales of $87.0 billion, up 3%. Q4 2026 diluted EPS saw a 15% decrease due to higher selling, general, and administrative costs and lower gross margin, though still positive. Organic sales grew over 1% for the full fiscal year 2026, with broad-based growth across categories and regions. Management is focused on accelerating growth in fiscal 2027 through productivity programs and superior product offerings, which could improve future profitability.

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.

Keep Digging on PG

Same question, Consumer Staples peers