Talented CEO David Taylor Running a Tight Ship – Longs Suggested on P&G Stocks
Procter & Gamble Co, the world’s largest maker of consumer products, reported its fiscal fourth quarter earnings on Tuesday with $16.1 billion net sales and $0.79 earnings per share. Both fell short of the figures from the same-quarter-a-year-ago when the consumer staples giant brought in 93 cents per share on net sales of $16.55 billion. The numbers topped analyst expectations of a profit of 74 cents per share and revenue of $15.83 billion.
The 3% slide in year-over-year revenue was partly driven by the rising U.S. dollar against emerging market currencies and increased marketing and tax expenses. However, the fourth-quarter result is surely better than it seems as organic sales-which exclude the impact of foreign exchange and divestitures, and sales volume, which measures the number of units sold, were actually up 2% for the quarter.
This achievement came from the efforts of relatively new CEO David Taylor in cutting costs and eliminating product lines that don’t add much to the bottom line and focusing on products that have real potential.
Buy Stop at 86.10, Take Profit at 87.00, Stop Loss at 85.50