Procter & Gamble (PG) Hits Four-Year High after Earnings

By
A A A

At last, some good earnings news.

Procter & Gamble ( PG ) easily beat forecasts for its fiscal first-quarter earnings today, pushing the stock above $70 a share for the first time since September 2008.

The company's core earnings of $1.06 per share exceeded its own estimates of 97 cents a share. That was up five cents from the $1.01 per share in core earnings P&G brought in a year ago.


However, core earnings don't take into account unfavorable foreign exchange rates weighing on the company's profits. When adding in the financial hit P&G took due to exchange rates, earnings were down 6.9% from a year ago and revenue declined 4%. Net sales for the quarter also slipped 3.7%.

Fortunately for P&G, investors chose to focus on the core earnings. That was enough to push the stock up nearly 3% - a sizable one-day gain for a stock that, until today, had traded in the same $58-to-$69 range for the past three years.

In an earnings season marred by high-profile misses from the likes of Google ( GOOG ), Microsoft ( MSFT ), McDonald's ( MCD ) and Chipotle ( CMG ) , Procter & Gamble's beat stands as a much-needed bright spot - even if the earnings were technically down from a year ago.

*Disclosure: I personally own shares of Procter & Gamble.



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.




This article appears in: Investing , Stocks

Referenced Stocks: CMG , GOOG , MCD , MSFT , PG

Wyatt Investment Research

Wyatt Investment Research

More from Wyatt Investment Research:

Related Videos

Top Home Financing Myths
Top Home Financing Myths            

Stocks

Referenced

Most Active by Volume

64,655,493
  • $17.88 ▼ 1.38%
53,363,101
  • $18.51 ▼ 6.98%
42,789,793
  • $94.01 ▼ 1.26%
40,818,762
  • $121.30 ▼ 0.87%
38,086,152
  • $23.28 ▼ 9.17%
36,103,930
  • $14.20 ▼ 0.77%
31,870,696
  • $14.83 ▼ 1.79%
29,019,850
  • $46.70 ▼ 0.38%
As of 7/31/2015, 04:15 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com