PG Valuation

Procter & Gamble Co

Add to Watchlist

Advanced Chart

146.980

+0.85(0.582%)1D

PG Relative Valuation

PG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, PG is overvalued; if below, it's undervalued.

Historical Valuation

Procter & Gamble Co (PG) is now in the Undervalued zone, suggesting that its current forward PE ratio of 20.71 is considered Undervalued compared with the five-year average of 23.86. The fair price of Procter & Gamble Co (PG) is between 162.67 to 176.76 according to relative valuation methord. Compared to the current price of 146.98 USD , Procter & Gamble Co is Undervalued By 9.65%.

Relative Value

Fair Zone

162.67-176.76

Current Price：146.98

9.65%

Undervalued

20.71

Trailing

Forward

15.04

EV/EBITDA

Procter & Gamble Co. (PG) has a current EV/EBITDA of 15.04. The 5-year average EV/EBITDA is 17.09. The thresholds are as follows: Strongly Undervalued below 15.38, Undervalued between 15.38 and 16.23, Fairly Valued between 17.95 and 16.23, Overvalued between 17.95 and 18.81, and Strongly Overvalued above 18.81. The current Forward EV/EBITDA of 15.04 falls within the Strongly Undervalued range.

17.31

EV/EBIT

Procter & Gamble Co. (PG) has a current EV/EBIT of 17.31. The 5-year average EV/EBIT is 19.71. The thresholds are as follows: Strongly Undervalued below 17.65, Undervalued between 17.65 and 18.68, Fairly Valued between 20.75 and 18.68, Overvalued between 20.75 and 21.78, and Strongly Overvalued above 21.78. The current Forward EV/EBIT of 17.31 falls within the Strongly Undervalued range.

146.98

Procter & Gamble Co. (PG) has a current PS of 146.98. The 5-year average PS is 5.41. The thresholds are as follows: Strongly Undervalued below -19.09, Undervalued between -19.09 and -6.84, Fairly Valued between 17.65 and -6.84, Overvalued between 17.65 and 29.90, and Strongly Overvalued above 29.90. The current Forward PS of 146.98 falls within the Strongly Overvalued range.

17.77

P/OCF

Procter & Gamble Co. (PG) has a current P/OCF of 17.77. The 5-year average P/OCF is 19.21. The thresholds are as follows: Strongly Undervalued below 16.88, Undervalued between 16.88 and 18.04, Fairly Valued between 20.37 and 18.04, Overvalued between 20.37 and 21.53, and Strongly Overvalued above 21.53. The current Forward P/OCF of 17.77 falls within the Undervalued range.

21.59

P/FCF

Procter & Gamble Co. (PG) has a current P/FCF of 21.59. The 5-year average P/FCF is 23.58. The thresholds are as follows: Strongly Undervalued below 20.71, Undervalued between 20.71 and 22.15, Fairly Valued between 25.01 and 22.15, Overvalued between 25.01 and 26.44, and Strongly Overvalued above 26.44. The current Forward P/FCF of 21.59 falls within the Undervalued range.

Procter & Gamble Co (PG) has a current Price-to-Book (P/B) ratio of 6.54. Compared to its 3-year average P/B ratio of 7.70 , the current P/B ratio is approximately -15.07% higher. Relative to its 5-year average P/B ratio of 7.66, the current P/B ratio is about -14.63% higher. Procter & Gamble Co (PG) has a Forward Free Cash Flow (FCF) yield of approximately 4.35%. Compared to its 3-year average FCF yield of 3.94%, the current FCF yield is approximately 10.52% lower. Relative to its 5-year average FCF yield of 4.11% , the current FCF yield is about 5.87% lower.

6.54

P/B

Median3y

7.70

Median5y

7.66

4.35

FCF Yield

Median3y

3.94

Median5y

4.11

Competitors Valuation Multiple

The average P/S ratio for PG's competitors is 81.35, providing a benchmark for relative valuation. Procter & Gamble Co Corp (PG) exhibits a P/S ratio of 146.98, which is 80.68% above the industry average. Given its robust revenue growth of 2.99%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Estee Lauder Companies Inc

Performance Decomposition

Market capitalization of PG decreased by 18.01% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 18.34 to 21.36.

The secondary factor is the Revenue Growth, contributed 2.99%to the performance.

Overall, the performance of PG in the past 1 year is driven by Margin Expansion. Which is more sustainable.

2.99%

21.74B → 22.39B

Revenue Growth

16.47%

18.34 → 21.36

Margin Expansion

-37.47%

34.31 → 21.45

P/E Change

-18.01%