Proctor and Gamble (stock symbol PG) is a Dividend Aristocrat that been increasing its dividend for 56 years in a row. That’s about as consistent as companies get and actually puts it in the rare category of the Dividend Kings (a select group of companies that have increased their dividends annually for more than 50 years). It’s also a stock that I have been in and out of over the years. Today I wouldn’t do that. I would have simply bought the stock and reinvested the dividends into more shares of PG. Who says you don’t get smarter as you get older?
The Procter & Gamble Company, located in Cincinnati,Ohio, makes things that anyone can find everywhere in their house. It’s amazing what they make. PG manufactures and sells brand name consumer goods that you see all around you everyday. The company specializes in five separate areas: Beauty, Grooming, Health Care, Fabric Care and Home Care, and Baby Care and Family Care. The Beauty area consists of antiperspirants and deodorants, cosmetics, personal cleansing, skin care, hair care, hair colors, prestige products, and professional salon products under the Head & Shoulders, Olay, Pantene, SK-II, and Wella brand names. The Grooming segment provides blades and razors, shaving products, and electronic hair removal devices under the Braun, Fusion, Gillette, Mach3, and Prestobarba names. The Health Care segment offers feminine care, dental care, vitamins/minerals/supplements, and other personal care products under the Always, Crest, Oral-B, and Vicks brand names. The Fabric Care and Home Care segment provides bleach and laundry additives, fabric enhancers, and laundry detergents, air care, dish care, surface care products, batteries, and pet care products under the Ace, Ariel, Dawn, Downy, Duracell, Febreze, Gain, Iams, and Tide brand names. The Baby Care and Family Care segment offers baby wipes, diapers, pants, paper towels, tissues, and toilet papers under the Bounty, Charmin, and Pampers brand names. The company’s products can be found in grocery stores, membership club stores, drug stores, department stores, salons, high-frequency stores, and e-commerce in approximately 180 countries worldwide.
Proctor and Gamble sells for about $77 and pays a dividend of $2.41. That works out to a yield of approximately 3.1%. PG has a earnings growth rate of just over 8% as well as a dividend growth rate of approximately 8%. A dividend growth rate of 8% means that the dividend will double approximately every 9 years. In fact 9 years ago PG was paying $.25 per quarter and today it pays just over $.60 per quarter. That’s a 140% increase since 2004. That increase has far outstripped the annual cost of living and would have increased my purchasing power over those years.
PG appears to meet all of my conditions for investing so I will consider buying this stock sometime in the future based upon a review of the technicals. Once I determine the price that seems cheap based upon a review of the chart (to include its price and volume as well as the momentum indicators and oscillators) and compare it to the current price I will most likely sell puts to get me into the stock.
Remember to do your own research and be responsible for your own decisions.
The Procter & Gamble Company, located in Cincinnati,Ohio, makes things that anyone can find everywhere in their house. It’s amazing what they make. PG manufactures and sells brand name consumer goods that you see all around you everyday. The company specializes in five separate areas: Beauty, Grooming, Health Care, Fabric Care and Home Care, and Baby Care and Family Care. The Beauty area consists of antiperspirants and deodorants, cosmetics, personal cleansing, skin care, hair care, hair colors, prestige products, and professional salon products under the Head & Shoulders, Olay, Pantene, SK-II, and Wella brand names. The Grooming segment provides blades and razors, shaving products, and electronic hair removal devices under the Braun, Fusion, Gillette, Mach3, and Prestobarba names. The Health Care segment offers feminine care, dental care, vitamins/minerals/supplements, and other personal care products under the Always, Crest, Oral-B, and Vicks brand names. The Fabric Care and Home Care segment provides bleach and laundry additives, fabric enhancers, and laundry detergents, air care, dish care, surface care products, batteries, and pet care products under the Ace, Ariel, Dawn, Downy, Duracell, Febreze, Gain, Iams, and Tide brand names. The Baby Care and Family Care segment offers baby wipes, diapers, pants, paper towels, tissues, and toilet papers under the Bounty, Charmin, and Pampers brand names. The company’s products can be found in grocery stores, membership club stores, drug stores, department stores, salons, high-frequency stores, and e-commerce in approximately 180 countries worldwide.
Proctor and Gamble sells for about $77 and pays a dividend of $2.41. That works out to a yield of approximately 3.1%. PG has a earnings growth rate of just over 8% as well as a dividend growth rate of approximately 8%. A dividend growth rate of 8% means that the dividend will double approximately every 9 years. In fact 9 years ago PG was paying $.25 per quarter and today it pays just over $.60 per quarter. That’s a 140% increase since 2004. That increase has far outstripped the annual cost of living and would have increased my purchasing power over those years.
PG appears to meet all of my conditions for investing so I will consider buying this stock sometime in the future based upon a review of the technicals. Once I determine the price that seems cheap based upon a review of the chart (to include its price and volume as well as the momentum indicators and oscillators) and compare it to the current price I will most likely sell puts to get me into the stock.
Remember to do your own research and be responsible for your own decisions.
 PG Daily Chart |  PG Weekly Chart |
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