Profit Pregame

Procter and Gamble Beat Earnings – Here’s How You Can Win Big on Their Next Move

The stock on top…

One company is feeling a boost from the current pandemic environment.

What’s happening?

As soon as the pandemic hit, cleaning, laundry, and self-hygiene items began to fly off the shelf. And Procter and Gamble, a well-known consumer goods company, felt the boost of the pandemic shopping trends.

The company recently released earnings and beat expectations across the board. Earnings per share came in at $1.63 versus the $1.42 that was expected. Revenue came in at $19.32 billion – smashing the $18.38 that was called for.

There’s no doubt that this is an impressive performance in this covid stricken climate.

Where’s the money?

When really digging into the company’s performance, a breakdown of the five segments revealed even more positive momentum. These five segments include fabric and home care, health care, beauty, grooming, baby, health, and family care and each one saw a large jump in sales.

The company doesn’t see this uptick in positive profits ending any time soon. That’s why P&G has a plan in place to funnel even more money into advertising. People are spending more time in front of the TV and scrolling on social media; P&G knows the importance of getting their products in front of the consumer.

And here’s how I think you can cash in on the current shopping frenzy we’ve been seeing…

How do I get some?

It’s really no surprise that Procter and Gamble have fared so well throughout the pandemic. In the beginning, we constantly saw shelves cleared of products has many consumers stocked up on items that would help prevent the virus.

And even with it being months later and supply returning to stores – I don’t expect this trend to slow down anytime soon, especially since P&G sells online via Walmart and Amazon – which creates another massive market for them outside of stores shelves.

As we know, online retail has grown substantially. So, I think that its online sales will also boost P&G, and many consumers are still choosing not to go to a store. This, paired with the demand for their products and their online advertising space, gives me the green light for adding this stock to my portfolio. With that said, I’ll be looking for a pullback to purchase this powerful name – and I think you should too.

In the spotlight: This company just doubled down in a struggling industry…

Despite the bad news that seems to be continually surrounding the oil industry, one company is refusing to back down. In fact, ConocoPhillips is doubling down on the crude oil industry – making a significant acquisition.

Conoco recently announced a $9.7 billion all-stock takeover of Concho Resources. Concho is a fracker focused on the Permian Basin, which happens to be a massive oilfield in West Texas. This deal will make Conoco the most massive independent oil-and-gas name in the United States.

Currently, Conoco’s daily production surpasses 1.5 million barrels a day. So, they’ll be pumping out even more products. But don’t get too caught up in the numbers – even with this new acquisition, the company will still face the same obstacles that have plagued the industry for years. These hurdles include the rapid development of hybrid vehicles, a push for the greenest initiatives, and more.

And that’s not the only thing working against the oil industry. The upcoming election will have a significant impact on the future of oil and gas. Truthfully, there’s too much uncertainty. That’s why when it comes to this deal, I don’t plan to chase it. Instead, I’ll be watching from the sidelines and see how the election pans out.

One More Thing…

My colleague and legendary trading expert Tom Gentile has developed a way to skin stocks like Alibaba, Boeing, and Tesla for cash payouts, starting with the click of a mouse.

And today, Tom is going to throw back the curtain and show you how he does it.

Best of all, he’s so confident he can deliver a 100% win-rate for the next 12 months, he’s making a $3.5 million pledge to back it up.

Check it out right here…

Community Tips

Inline Feedbacks
View all comments