If you were lucky enough to buy Procter & Gamble (NYSE:PG) last June at its 52-week low of $73.60, today you’re sitting on a 48% unrealized profit. That’s an impressive haul, particularly from Procter & Gamble stock, which doesn’t necessarily have a high-growth reputation. In fact, the PG stock price has performed so well that shares have now exceeded their all-time high of $108.68. If you’re a momentum investor, PG has gained almost 9% in the last three months alone. And if you’re dividend investor, Procter & Gamble stock still yields an attractive 2.8%.
However, if you’re not a buy-and-hold investor and are sitting on profits, you might want to take them. And if you’re contemplating buying because the PG stock price is on a roll, you might want to think twice. Here’s why. Trading at 24.1-times FCF with very little in the way of sales or earnings growth, here’s the plain truth: the PG stock price is anything but cheap. However, the fact that it’s doing a better job converting net income to FCF than in the past suggests it’s probably fairly valued at this point or maybe a little on the expensive side.
Source: InvestorPlace
Related Articles:
- 5 Undervalued, Big-Name Stocks To Consider For Your Dividend Portfolio
- 4 High-Yield Energy Stocks Growing Their Dividends
- 5 Dividend Stocks In Need Of A Market Correction
- 8 Dividend Stocks Building A Growing Cash Stream
- How To Build A Sustainable High Yield Portfolio
Procter & Gamble Stock Appears to Be Getting a Little Rich
Posted by D4L | Sunday, June 30, 2019 | ArticleLinks | 1 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
GameStop (NYSE:GME) lost about 40% of its market value over the past three years, as rising digital downloads and declining mall traffic thr...
-
In a capitalistic society, opportunities to generate (mostly) passive income are all around us. Dividend growth investing is one of the most...
-
These elite income producers have rallied this year. Their brilliance at producing passive income seems to have caught the market's eye ...
-
Investors buy dividend stocks for a few reasons. For one, they provide income via dividends that act as a bonus on top of capital appreciati...
-
Buying dividend stocks can be tricky. Oftentimes, stocks that pay exorbitantly high dividends have underlying financial problems, and their ...
-
If you are looking for reliable dividends, these three Dividend Kings should be right up your alley. Dividends are paid at the discretion of...
-
While optimism in the broader market remains robust – particularly for hyped-up sectors like technology – investors may still want to consid...
-
Since the market highs in July, stocks have been under considerable pressure. Indeed, 10-year Treasury yields are at the highest level since...
-
A strong dividend investing strategy may be to focus on high-quality names that score well on several dividend-related metrics. In other wor...
Agree. It is a little expensive today. I'll definitely wait to add to my position until the valuation falls a little. For now, it is all about that DRIP
Bert