Street View: P&G shows cost squeeze is not a growth dampener

The Procter & Gamble

23/10/2026 10:26

** Procter & Gamble PG.N on Thursday warned that rising raw material, energy, and freight costs would take a bigger bite out of annual profit, even as resilient demand for its beauty and home-care products drove first-quarter sales
** Average rating of 27 analysts on the stock is "buy" with median PT $167.5 - LSEG data
     
COSTS RATTLE, CARAVAN MOVES ON
** Morgan Stanley ("overweight", PT: $185) says P&G is well positioned in a challenging household and personal care environment, supported by an earnings beat and improving sales growth
** Evercore ISI ("outperform", PT: $180) says "there's still work to do, which precisely makes the setup attractive as Procter continues layering 'intervention' and rebuilding share" 
** J.P.Morgan ("overweight", PT: $180) says persistently rising costs could lead to price increases in categories where competitors and private-label brands have already passed through higher costs
** Jefferies ("buy", PT: $188) says the results underscore the business' strength, and while higher commodity costs may delay gains, they do not derail progress toward market share growth

 (Reporting by Akriti Shah in Bengaluru)
 ((akriti.shah@thomsonreuters.com ; X, formerly Twitter: @AkritiShahh))