The Procter & Gamble Company (NYSE:PG) is one of the Most Undervalued High Quality Stocks to Buy According to Hedge Funds. On July 14, Evercore ISI downgraded The Procter & Gamble Company from Outperform to Market Perform, while also reducing the price target from $190 to $170.
The conservative outlook comes ahead of its Q4 earnings call, which is set to happen on July 29. The analyst expects The Procter & Gamble Company’s fiscal 2026 organic sales growth to be between 1% and 3%, below the market consensus of 2.4%. This includes about a 50 basis point loss due to portfolio optimization rather than asset sales.
A happy couple viewing the products of this household and personal product company in a mass merchandiser store.
Moreover, the analyst also highlighted adverse shifts in retail channels, especially the growing consumer shift to Amazon, which now accounts for about 50% of growth in household and personal care products in the United States. This retail shift could limit the company’s sales growth below the 4% needed to drive operating leverage, constraining earnings growth.
The Procter & Gamble Company is a multinational consumer goods company that manufactures and markets a wide range of household and personal care products.
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This article is originally published at Insider Monkey.
