What Happened?

Shares of consumer products behemoth Proctor & Gamble (NYSE:PG) fell 5.4% in the morning session after the company reported mixed first quarter 2025 (fiscal Q3) results which included a significant beat on EBITDA but missed on revenue and came with lowered full-year EPS guidance. Sales dropped 2%, as people bought less in key lines like diapers and laundry. Higher prices kept organic sales just barely in the green at 1%. Zooming out, we think this was a mixed quarter. The areas below expectations seem to be driving the move.

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What The Market Is Telling Us

Procter & Gamble’s shares are not very volatile and have only had 1 move greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.

Procter & Gamble is down 3.7% since the beginning of the year, and at $159.85 per share, it is trading 11% below its 52-week high of $179.70 from December 2024. Investors who bought $1,000 worth of Procter & Gamble’s shares 5 years ago would now be looking at an investment worth $1,346.

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