Wednesday, August 24, 2011

Is Proctor & Gamble in both your pantry and portfolio?

Full Article and Graphs

There are certain stocks that just deserve to be in all long term, conservative portfolio and one of those should be Proctor and Gamble (PG).  If you need a stock with A ++ financial strength. earnings that are almost 100% predictable and has one of the most stable prices of any stock this is it.  Oh, did I mention a 3.44% dividend that is only 50% of earnings?

The chart for Barchart showing the price for the last 6 months against its 20, 50 and 100 day moving averages plus the Trend Spotter says buy before its too late:



Barchart technical indicators:
  • 60% Barchart short term technical buy signal
  • Trend Spotter hold signal about to cross over to buy
  • Trading above its 20 and 50 day moving averages
  • The Relative Strength Index is 57.98% and rising
  • Barchart computes a technical support level at 61.26
  • The stock recently traded at 63.19 which is above its 50 day moving average of 62.62

    Summary: Proctor and Gamble (PG) should be a core holding in most long term conservative portfolios.  The sales and earning growth isn't spectacular but it is sure and steady and the 3.44% dividend is better than the 2.11% you can expect from a 10 year US Government bond. especially given the fact that PG keeps increasing the dividend.

    Jim Van Meerten is a Marketocracy Master


    No comments:

    Post a Comment