Strategies for Capitalizing on Current Tax-Loss Selling to Acquire Quality Stocks at a Discount
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 18 2025
0mins
Source: CNBC
Tax-Loss Harvesting: The annual tax-loss harvesting is underway, with advisors selling stocks at a loss to offset gains from earlier in the year, leading to significant market activity and potential distortions in stock valuations.
Opportunities in Quality Stocks: Despite the trend of selling off underperforming stocks, there may be opportunities to acquire quality companies at lower prices, particularly those with strong fundamentals and dividends, such as IBM and other "Dogs of the Dow."
Market Dynamics: The current market environment is characterized by forced selling due to tax reasons, which can create inefficiencies and present buying opportunities for disciplined investors looking for undervalued stocks.
Focus on Long-Term Value: Investors are encouraged to look beyond short-term market fluctuations and consider long-term potential in companies that are experiencing temporary setbacks, particularly those with solid financials and growth prospects in emerging sectors like AI.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy PG?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on PG
Wall Street analysts forecast PG stock price to rise
17 Analyst Rating
10 Buy
7 Hold
0 Sell
Moderate Buy
Current: 148.340
Low
150.00
Averages
164.50
High
180.00
Current: 148.340
Low
150.00
Averages
164.50
High
180.00
About PG
The Procter & Gamble Company is focused on providing branded consumer packaged goods to consumers across the world. The Company’s segments include Beauty, Grooming, Health Care, Fabric & Home Care and Baby, Feminine & Family Care. The Company’s products are sold in approximately 180 countries and territories primarily through mass merchandisers, e-commerce, including social commerce channels, grocery stores, membership club stores, drug stores, department stores, distributors, wholesalers, specialty beauty stores, including airport duty-free stores), high-frequency stores, pharmacies, electronics stores and professional channels. It also sells direct to individual consumers. It has operations in approximately 70 countries. It offers products under brands, such as Head & Shoulders, Herbal Essences, Pantene, Rejoice, Olay, Old Spice, Safeguard, Secret, SK-II, Braun, Gillette, Venus, Crest, Oral-B, Ariel, Downy, Gain, Tide, Always, Always Discreet, Tampax, Bounty and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Paths to Achieving $3,000 Monthly in Dividends
- Conservative Investment Path: To achieve $3,000 monthly in dividends at a 3.5% yield, approximately $1,028,571 must be invested, relying on dividend aristocrats and broad dividend-growth funds; despite Johnson & Johnson's current yield of only 2.3%, its 64 consecutive years of dividend growth indicate stability.
- Moderate Path Selection: At a 6% yield, the required capital drops to $600,000, primarily depending on net-lease REITs and high-yield consumer goods; although dividend growth tends to be slower, it provides relatively stable cash flow.
- Aggressive Path Risks: With a 10% yield, an investment of $360,000 can yield $3,000 monthly, but such investments often come with the risk of capital return, and dividends may be cut during economic downturns, necessitating careful selection.
- Growth Advantage Analysis: While high-yield investments offer more income in the short term, sustained dividend growth can significantly enhance income; a 3.5% portfolio could increase annual income from $35,000 to $70,000 over a decade, showcasing the power of compounding.
See More
Procter & Gamble Named Among Top Dividend Stocks
- Coverage Initiation: On June 12, Bernstein initiated coverage of Procter & Gamble (PG) with a Market Perform rating and a price target of $156, indicating that the company faces pressure from private-label products and smaller competitors in commoditized categories.
- Sales Growth Outlook: Procter & Gamble expects organic sales growth of up to 4% for fiscal year 2026, although CFO Andre Schulten noted that fourth-quarter growth may be slightly below the third quarter, reflecting ongoing market pressures.
- Earnings Guidance: The company anticipates core EPS growth of up to 4%, with a projected EPS range of $6.83 to $7.09 per share; however, due to commodity cost inflation and other factors, full-year EPS is expected to trend toward the lower end of this guidance range.
- Market Challenges: Procter & Gamble is facing pressure from private-label products in more commoditized categories, particularly in bathroom tissue and disposable diapers, and these challenges are unlikely to dissipate soon, potentially impacting the company's long-term profitability.
See More
Jim Cramer Reduces Procter & Gamble Holdings
- Share Reduction: Jim Cramer's Charitable Trust sold 75 shares of Procter & Gamble (PG) at approximately $150 each, reducing its holdings to 375 shares and decreasing its portfolio weight from 1.75% to 1.5% to prepare for future market volatility.
- Market Strategy Shift: This sale aims to capitalize on the market's rotation into defensive stocks, with Procter & Gamble, a consumer products powerhouse, expected to act as a hedge when concerns about AI and tech valuations rise.
- Performance Expectations: According to FactSet, Procter & Gamble anticipates approximately 2.5% growth in organic sales and adjusted earnings-per-share (EPS) for fiscal 2027, indicating stability amid market turbulence.
- Rating Adjustment: Following a 4% increase in P&G's stock price in June, contrasting with a 7% decline in the tech sector, Cramer downgraded P&G to a hold-equivalent rating, suggesting a more positive outlook if the stock retraces or growth accelerates.
See More
Tech Stock Pullback Sparks Market Attention
- Tech Stock Pullback: Over the last three trading days, tech stocks, particularly in semiconductors and AI, have faced significant declines, with the Nasdaq 100 dropping over 3% on July 24, 2024, indicating investor anxiety over AI investment returns, which could impact overall market confidence.
- Capex Concerns: For 2026, major hyperscalers are projected to guide capital expenditures between $600 billion and $700 billion, with Amazon alone forecasting $200 billion in infrastructure spending, a 56% increase, raising worries that cash flow may not support such high spending, potentially leading to further market turmoil.
- Shifting Market Sentiment: A strong employment report has pushed rate expectations higher, coupled with renewed fears over AI spending, causing market sentiment to shift from extreme bullishness to caution, leading to sell-offs at elevated levels and creating a negative feedback loop that may affect future investment decisions.
- Return to Defensive Investments: As capital flows out of tech, traditional defensive stocks like Eli Lilly, Home Depot, Procter & Gamble, and Starbucks are gaining attention, reflecting market confidence in economic health and potentially bringing much-needed capital into these previously overlooked sectors.
See More
Downy Launches Limited-Edition Floral Scent Collection
- Product Launch: Downy has introduced a new line of in-wash scent bead boosters called Boutique Botanicals, featuring three nature-inspired fragrances—Citrea, Peonia, and Folia—designed to elevate everyday laundry experiences, priced at $15.97.
- Design Collaboration: Renowned fashion designer Cynthia Rowley has created a limited-edition brooch as a visual representation of the Boutique Botanicals collection, highlighting the connection between scent and fashion, which is expected to attract consumer interest.
- Marketing Campaign: Consumers can enter the Cynthia Rowley x Downy Boutique Botanicals Sweepstakes for a chance to win the limited-edition brooch, running from June 9 to July 9, 2026, which is anticipated to enhance brand visibility.
- Strategic Brand Positioning: Downy executive Benjamin Sattler stated that the Boutique Botanicals collection aims to merge fragrance with everyday clothing, emphasizing scent as a vital form of personal expression, which is likely to strengthen consumer loyalty to the brand.
See More
Market Uncertainty Intensifies Amid AI Funding Needs
- Unexpected Job Growth: In May, nonfarm payrolls surged by 172,000, significantly exceeding the Dow Jones estimate of 80,000, which may diminish expectations for interest rate hikes by the Federal Reserve, thereby impacting market confidence.
- Increased Funding Needs for Tech Giants: Alphabet's plan to raise $80 billion through stock sales for its AI initiatives indicates that major tech companies like Amazon, Microsoft, and Meta may also need to issue stock to meet substantial funding requirements, putting pressure on the market.
- Rising Data Center Construction Costs: Sharp increases in labor, construction materials, and power costs have made the payback period for data centers uncertain, raising concerns among investors about Amazon's future profitability and the potential need for equity financing to sustain operations.
- Shift in Investor Sentiment: As confidence in tech stocks wanes, investors are pivoting towards healthcare and consumer sectors with strong organic growth, reflecting a reassessment of the tech industry that could lead to capital outflows and stock price volatility.
See More
Paths to Achieving $3,000 Monthly in Dividends
- Conservative Investment Path: To achieve $3,000 monthly in dividends at a 3.5% yield, approximately $1,028,571 must be invested, relying on dividend aristocrats and broad dividend-growth funds; despite Johnson & Johnson's current yield of only 2.3%, its 64 consecutive years of dividend growth indicate stability.
- Moderate Path Selection: At a 6% yield, the required capital drops to $600,000, primarily depending on net-lease REITs and high-yield consumer goods; although dividend growth tends to be slower, it provides relatively stable cash flow.
- Aggressive Path Risks: With a 10% yield, an investment of $360,000 can yield $3,000 monthly, but such investments often come with the risk of capital return, and dividends may be cut during economic downturns, necessitating careful selection.
- Growth Advantage Analysis: While high-yield investments offer more income in the short term, sustained dividend growth can significantly enhance income; a 3.5% portfolio could increase annual income from $35,000 to $70,000 over a decade, showcasing the power of compounding.
See More
Procter & Gamble Named Among Top Dividend Stocks
- Coverage Initiation: On June 12, Bernstein initiated coverage of Procter & Gamble (PG) with a Market Perform rating and a price target of $156, indicating that the company faces pressure from private-label products and smaller competitors in commoditized categories.
- Sales Growth Outlook: Procter & Gamble expects organic sales growth of up to 4% for fiscal year 2026, although CFO Andre Schulten noted that fourth-quarter growth may be slightly below the third quarter, reflecting ongoing market pressures.
- Earnings Guidance: The company anticipates core EPS growth of up to 4%, with a projected EPS range of $6.83 to $7.09 per share; however, due to commodity cost inflation and other factors, full-year EPS is expected to trend toward the lower end of this guidance range.
- Market Challenges: Procter & Gamble is facing pressure from private-label products in more commoditized categories, particularly in bathroom tissue and disposable diapers, and these challenges are unlikely to dissipate soon, potentially impacting the company's long-term profitability.
See More
Jim Cramer Reduces Procter & Gamble Holdings
- Share Reduction: Jim Cramer's Charitable Trust sold 75 shares of Procter & Gamble (PG) at approximately $150 each, reducing its holdings to 375 shares and decreasing its portfolio weight from 1.75% to 1.5% to prepare for future market volatility.
- Market Strategy Shift: This sale aims to capitalize on the market's rotation into defensive stocks, with Procter & Gamble, a consumer products powerhouse, expected to act as a hedge when concerns about AI and tech valuations rise.
- Performance Expectations: According to FactSet, Procter & Gamble anticipates approximately 2.5% growth in organic sales and adjusted earnings-per-share (EPS) for fiscal 2027, indicating stability amid market turbulence.
- Rating Adjustment: Following a 4% increase in P&G's stock price in June, contrasting with a 7% decline in the tech sector, Cramer downgraded P&G to a hold-equivalent rating, suggesting a more positive outlook if the stock retraces or growth accelerates.
See More
Tech Stock Pullback Sparks Market Attention
- Tech Stock Pullback: Over the last three trading days, tech stocks, particularly in semiconductors and AI, have faced significant declines, with the Nasdaq 100 dropping over 3% on July 24, 2024, indicating investor anxiety over AI investment returns, which could impact overall market confidence.
- Capex Concerns: For 2026, major hyperscalers are projected to guide capital expenditures between $600 billion and $700 billion, with Amazon alone forecasting $200 billion in infrastructure spending, a 56% increase, raising worries that cash flow may not support such high spending, potentially leading to further market turmoil.
- Shifting Market Sentiment: A strong employment report has pushed rate expectations higher, coupled with renewed fears over AI spending, causing market sentiment to shift from extreme bullishness to caution, leading to sell-offs at elevated levels and creating a negative feedback loop that may affect future investment decisions.
- Return to Defensive Investments: As capital flows out of tech, traditional defensive stocks like Eli Lilly, Home Depot, Procter & Gamble, and Starbucks are gaining attention, reflecting market confidence in economic health and potentially bringing much-needed capital into these previously overlooked sectors.
See More
Downy Launches Limited-Edition Floral Scent Collection
- Product Launch: Downy has introduced a new line of in-wash scent bead boosters called Boutique Botanicals, featuring three nature-inspired fragrances—Citrea, Peonia, and Folia—designed to elevate everyday laundry experiences, priced at $15.97.
- Design Collaboration: Renowned fashion designer Cynthia Rowley has created a limited-edition brooch as a visual representation of the Boutique Botanicals collection, highlighting the connection between scent and fashion, which is expected to attract consumer interest.
- Marketing Campaign: Consumers can enter the Cynthia Rowley x Downy Boutique Botanicals Sweepstakes for a chance to win the limited-edition brooch, running from June 9 to July 9, 2026, which is anticipated to enhance brand visibility.
- Strategic Brand Positioning: Downy executive Benjamin Sattler stated that the Boutique Botanicals collection aims to merge fragrance with everyday clothing, emphasizing scent as a vital form of personal expression, which is likely to strengthen consumer loyalty to the brand.
See More
Market Uncertainty Intensifies Amid AI Funding Needs
- Unexpected Job Growth: In May, nonfarm payrolls surged by 172,000, significantly exceeding the Dow Jones estimate of 80,000, which may diminish expectations for interest rate hikes by the Federal Reserve, thereby impacting market confidence.
- Increased Funding Needs for Tech Giants: Alphabet's plan to raise $80 billion through stock sales for its AI initiatives indicates that major tech companies like Amazon, Microsoft, and Meta may also need to issue stock to meet substantial funding requirements, putting pressure on the market.
- Rising Data Center Construction Costs: Sharp increases in labor, construction materials, and power costs have made the payback period for data centers uncertain, raising concerns among investors about Amazon's future profitability and the potential need for equity financing to sustain operations.
- Shift in Investor Sentiment: As confidence in tech stocks wanes, investors are pivoting towards healthcare and consumer sectors with strong organic growth, reflecting a reassessment of the tech industry that could lead to capital outflows and stock price volatility.
See More
