Procter & Gamble Valuation

Q: What is the Fair Price of PGCL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

PGCL (CLP152900) is trading below our estimate of [[fair value]] (CLP175068.35)

Is PGCL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PGCL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PGCL (CLP152900) is trading below our estimate of fair value (CLP175068.35)

Significantly Below Fair Value: PGCL is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PGCL?

Key metric: As PGCL is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PGCL. This is calculated by dividing PGCL's market cap by their current earnings.
What is PGCL's PE Ratio?
PE Ratio	29x
Earnings	US$14.03b
Market Cap	US$406.83b

PGCL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	5.1x
Enterprise Value/EBITDA	18x
PEG Ratio	3.6x

Price to Earnings Ratio vs Peers

How does PGCL's PE Ratio compare to its peers?

The above table shows the PE ratio for PGCL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	21.2x
CL Colgate-Palmolive	27x	6.7%	US$77.0b
KMB Kimberly-Clark	17.7x	2.2%	US$45.7b
RKT Reckitt Benckiser Group	21.6x	11.3%	UK£33.4b
HEN3 Henkel KGaA	18.6x	6.5%	€30.9b
PGCL Procter & Gamble	29x	8.0%	CL$406.8b

Price-To-Earnings vs Peers: PGCL is expensive based on its Price-To-Earnings Ratio (29x) compared to the peer average (21x).

Price to Earnings Ratio vs Industry

How does PGCL's PE Ratio compare vs other companies in the Global Household Products Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: PGCL is expensive based on its Price-To-Earnings Ratio (29x) compared to the Global Household Products industry average (17.6x).

Price to Earnings Ratio vs Fair Ratio

What is PGCL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PGCL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	29x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate PGCL's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PGCL forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	CL$152,900.00	CL$173,856.04 +13.7%	7.3%	CL$194,822.00	CL$139,297.73	n/a	25
Nov ’25	CL$152,900.00	CL$169,313.80 +10.7%	7.3%	CL$189,732.00	CL$135,658.38	n/a	25
Oct ’25	CL$152,900.00	CL$158,408.59 +3.6%	6.7%	CL$179,582.00	CL$128,401.13	n/a	26
Sep ’25	CL$152,900.00	CL$159,439.88 +4.3%	5.8%	CL$172,950.12	CL$130,856.44	n/a	25
Aug ’25	CL$152,900.00	CL$165,278.85 +8.1%	5.7%	CL$180,005.49	CL$136,194.63	n/a	24
Jul ’25	CL$152,900.00	CL$162,399.42 +6.2%	5.8%	CL$176,823.46	CL$135,217.94	n/a	24
Jun ’25	CL$152,900.00	CL$155,301.32 +1.6%	5.6%	CL$166,288.44	CL$129,941.24	n/a	23
May ’25	CL$152,900.00	CL$160,822.08 +5.2%	5.4%	CL$172,364.04	CL$134,688.84	n/a	24
Apr ’25	CL$118,630.00	CL$165,828.48 +39.8%	5.2%	CL$176,508.00	CL$138,264.60	n/a	25
Mar ’25	n/a	CL$166,044.16 0%	5.6%	CL$177,696.00	CL$136,233.60	n/a	24
Feb ’25	CL$118,630.00	CL$155,979.11 +31.5%	5.7%	CL$166,011.70	CL$128,705.70	n/a	24
Jan ’25	n/a	CL$143,682.99 0%	6.7%	CL$154,742.25	CL$120,646.50	n/a	24
Dec ’24	CL$118,630.00	CL$142,775.72 +20.4%	6.8%	CL$153,804.15	CL$119,915.10	n/a	24
Nov ’24	n/a	CL$152,426.28 0%	6.8%	CL$164,928.60	CL$126,724.80	CL$152,900.00	23
Oct ’24	n/a	CL$151,170.70 0%	6.3%	CL$161,856.28	CL$122,974.60	CL$152,900.00	23
Sep ’24	n/a	CL$142,121.07 0%	6.4%	CL$152,574.23	CL$115,922.32	CL$152,900.00	22
Aug ’24	n/a	CL$139,660.54 0%	7.3%	CL$150,154.15	CL$108,211.65	CL$152,900.00	21
Jul ’24	CL$118,630.00	CL$132,073.85 +11.3%	7.2%	CL$142,215.96	CL$103,648.92	CL$152,900.00	22
Jun ’24	CL$118,630.00	CL$131,915.00 +11.2%	7.2%	CL$143,744.40	CL$103,016.82	CL$152,900.00	23
May ’24	n/a	CL$133,010.85 0%	7.8%	CL$146,210.40	CL$102,347.28	CL$152,900.00	24
Apr ’24	n/a	CL$127,470.50 0%	7.3%	CL$140,433.60	CL$104,086.08	CL$118,630.00	26
Mar ’24	n/a	CL$125,117.62 0%	7.4%	CL$137,807.10	CL$102,139.38	n/a	26
Feb ’24	n/a	CL$124,355.00 0%	7.3%	CL$137,275.00	CL$101,745.00	CL$118,630.00	26
Jan ’24	n/a	CL$132,230.64 0%	9.0%	CL$150,672.70	CL$108,129.82	n/a	26
Dec ’23	n/a	CL$136,798.25 0%	8.6%	CL$157,644.40	CL$113,133.04	CL$118,630.00	25
Nov ’23	n/a	CL$139,280.06 0%	7.7%	CL$161,806.00	CL$116,119.60	n/a	24

Analyst Forecast: Target price is less than 20% higher than the current share price.