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: 35.5×

P/S (TTM)

—

Sector avg: 3.1×

Market Cap

$348.51B

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 $149.96 —
WMT $114.22 39.9×
COST $940.79 50.4×
KO $81.54 28.9×
PEP $137.10 22.8×

Is the Multiple Justified?

July 12, 2026

Procter & Gamble Company currently exhibits negative trailing twelve-month (TTM) earnings, making its P/E multiple inapplicable and P/S not available. This reported negative TTM figure contrasts with the company's recent positive adjusted earnings. P&G reported first-quarter fiscal year 2026 net sales of $22.4 billion, a 3% increase year-over-year, with organic sales up 2%. Diluted net earnings per share rose 21% to $1.95, and core earnings per share increased 3% to $1.99. While Q1 2026 EPS slightly missed consensus, the stock reacted positively, indicating investor focus on resilient demand and cost management. Gross margins were pressured by unfavorable product mix, reinvestments, and higher commodity and tariff costs, partially offset by productivity gains and pricing. P&G has a history of consistent organic sales growth and reaffirmed its full-year guidance, suggesting the negative TTM earnings may be an anomaly due to specific non-recurring items rather than a reflection of ongoing operational performance.

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

COST PEP KO WMT