December 18, 2025 — Procter & Gamble (NYSE: PG) shares traded lower on Thursday as investors digested fresh sell-side research updates and recalibrated expectations for 2026. PG was last seen around $145.5, down roughly 1.6% on the session, after closing $147.81 on December 17. [1]
The day’s PG-specific headline flow is less about a single operational surprise and more about where analysts think “fair value” sits after a difficult 2025 for many defensive consumer names—and ahead of several clear catalysts for P&G in early 2026, including a CEO transition on January 1 and an anticipated earnings call on January 22. [2]
PG stock snapshot on December 18, 2025
A few numbers are anchoring today’s conversation:
- Price (Dec. 18): about $145.5, down ~1.6% [3]
- Previous close (Dec. 17):$147.81 [4]
- 52-week range (widely cited): roughly $138.14 to $179.99 [5]
- Dividend profile:$4.23 annualized dividend, about 2.9% yield at current prices [6]
Those levels matter because today’s analyst targets cluster around the mid-$150s to high-$170s—meaning the debate isn’t about whether P&G is “broken,” but whether the stock deserves a valuation reset upward from today’s price given P&G’s guidance, cash returns, and productivity plans. [7]
The headline today: JPMorgan trims PG price target to $157, keeps “Neutral”
The most widely circulated PG research update dated December 18, 2025: JPMorgan cut its price target to $157 from $165 while maintaining a Neutral rating. [8]
At a PG price around $145.5, a $157 target implies roughly 8% upside over the next 12 months (before dividends), which helps explain the “Neutral” framing: the bank isn’t calling for major downside, but also isn’t signaling a compelling risk/reward versus other opportunities. [9]
Just as important for investors: the JPMorgan change didn’t land in a vacuum. It arrived one day after a prominent bullish pivot from Jefferies—setting up a classic “two-sided tape” where catalysts matter more than consensus. [10]
The counterpoint: Jefferies upgrades PG to “Buy,” lifts target to $179
On December 17, 2025, Jefferies upgraded P&G to Buy from Hold and raised its price target to $179 from $156, pointing to an “improved consumer backdrop” and arguing that household and personal care could be positioned for a better year ahead. [11]
Jefferies also framed the call partly as a sector/valuation setup: it cited the group’s forward multiple moving lower versus earlier in the year and characterized the space as having room to rerate if demand trends stabilize and innovation supports mix and pricing. [12]
At today’s ~$145.5, a $179 target implies about 23% upside (again, before dividends)—a very different outcome than JPMorgan’s more cautious stance. [13]
Where Wall Street consensus sits now: “Moderate Buy,” average target about $171
Despite the push-pull of individual notes, the broader read-through on December 18 is that analysts are mildly constructive overall:
- Consensus rating: Moderate Buy
- Rating mix:13 Buys / 10 Holds (in MarketBeat’s tally) [14]
- Average 12-month price target: about $171 (roughly 18% upside from ~$145.5) [15]
- Target range: roughly $151 (low) to $209 (high) [16]
That spread tells you something important: the market isn’t struggling to model P&G as a durable business—it’s struggling to agree on how much investors should pay for durability given (1) tariff and commodity headwinds, (2) category growth rates, and (3) how much upside productivity can unlock. [17]
The fundamental backdrop: what P&G last reported and guided
The most recent official quarterly snapshot investors are using is P&G’s fiscal 2026 first quarter update (reported October 24, 2025).
Q1 FY2026 results: steady growth, strong cash generation
P&G reported:
- Net sales:$22.4B, up 3% year over year
- Organic sales: up 2%
- Diluted EPS:$1.95 (up 21%)
- Core EPS:$1.99 (up 3%) [18]
On cash and shareholder returns, P&G posted $5.4B in operating cash flow and said it returned $3.8B to shareholders in the quarter via dividends ($2.55B) and share repurchases ($1.25B). [19]
FY2026 guidance: maintained, with explicit tariff and commodity headwinds
P&G maintained its FY2026 outlook, including:
- All-in sales growth:1% to 5%
- Organic sales growth:in-line to up 4%
- Core EPS:$6.83 to $7.09 (midpoint $6.96) [20]
Crucially for margin watchers, P&G also quantified expected FY2026 pressures:
- Commodity cost headwind: about $100M after tax
- Tariff-related higher costs: about $400M after tax
- Combined EPS headwind: about $0.19 per share (per the company’s discussion of collective impacts) [21]
That tariff line item is one reason PG valuation debates have intensified into year-end: investors can tolerate cost pressure if pricing/mix and productivity offset it—but they don’t like uncertainty around how persistent that pressure will be. [22]
The next major catalyst: P&G’s anticipated earnings call on January 22, 2026
P&G’s investor relations calendar lists an anticipated Q2 FY2026 earnings conference call on January 22, 2026 at 8:30 a.m. ET. [23]
While some market calendars publish estimated dates that can differ by a few days, the company’s own IR listing is the cleanest “next catalyst” marker heading into year-end positioning. [24]
CEO transition: why January 1, 2026 is on every PG investor’s checklist
Another reason PG is getting attention into late December: leadership.
In a July 2025 filing, P&G disclosed that Jon Moeller will transition from Chairman/President/CEO to Executive Chairman effective January 1, 2026, while Shailesh Jejurikar (then COO) becomes President and CEO effective the same date. [25]
For long-term shareholders, that’s typically read as a continuity signal at a company known for internal succession—yet it still matters because CEO transitions can affect:
- The pace and visibility of restructuring and productivity programs
- Portfolio decisions (where to invest vs. exit)
- Capital allocation emphasis (dividends vs. buybacks vs. M&A) [26]
Dividend focus: PG’s yield and payout profile are back in the spotlight
For many investors, the “why own P&G” argument starts with income durability. As of December 18:
- Dividend yield: about 2.91%
- Annual dividend:$4.23 per share
- Most recent quarterly dividend:$1.0568 per share (paid Nov. 17, 2025)
- Ex-dividend date (most recent):Oct. 24, 2025
- Dividend growth track record (as presented):70 years [27]
Separately, P&G’s FY2026 outlook includes an expectation to pay around $10B in dividends and repurchase approximately $5B of common shares during the fiscal year—an explicit reinforcement that cash returns remain central to the equity story. [28]
Other December 18 PG headlines: insider filings and institution positioning
Beyond analyst notes, some of today’s wire-style headlines involve ownership and insider disclosures.
Insider transactions (context matters)
Two examples visible in official SEC Form 4s:
- Jon Moeller reported a sale of 11,684 shares at about $152.2317 dated 10/02/2025, with an explanation indicating shares were sold to cover tax obligations tied to RSU settlement. [29]
- Gary A. Coombe (CEO – Grooming) reported a sale of 3,535 shares at about $152.2317 dated 10/02/2025, similarly explained as tax-related. [30]
These filings often generate headlines even when they reflect routine tax mechanics rather than a discretionary “bearish” signal. Still, investors tracking sentiment will typically log them—especially in a year when PG’s share performance has disappointed relative to what many expect from a defensive Dow component. [31]
Institutional moves
Several December 18 items also recap 13F-driven position changes at wealth managers and funds—useful color on positioning, but generally not a fundamental driver unless it signals broad, sustained rotation out of the name. [32]
PG stock forecast: the bull case vs. the bear case heading into 2026
Here’s the cleanest way to frame the current setup using what analysts and the company have put on the record.
Bull case: why targets cluster above $170
Bulls generally point to:
- A visible cash-return engine (dividends + buybacks) and strong operating cash flow generation [33]
- Guidance stability despite tariffs/commodities, suggesting management believes productivity and pricing/mix can absorb pressure [34]
- Potential for a “reset year” in 2026, supported by analyst upgrades like Jefferies and the argument that category dynamics could improve [35]
- CEO transition as a catalyst for sharper execution (even if strategy remains consistent) [36]
Bear case: why “Neutral” and “Hold” ratings persist
Skeptics focus on:
- Cost headwinds that are explicitly quantified (tariffs + commodities) and can be difficult to fully offset in real time [37]
- Valuation risk if earnings growth stays modest—consumer staples can compress quickly when rates rise or inflation surprises [38]
- A wide dispersion of analyst targets, suggesting uncertainty over the next leg of growth rather than a uniform “all clear” [39]
Bottom line for December 18: PG is trading the “valuation vs. durability” debate
On December 18, 2025, Procter & Gamble stock isn’t reacting to a blockbuster product announcement or an earnings surprise—it’s reacting to Wall Street’s range-bound debate:
- JPMorgan: Neutral, target $157 [40]
- Jefferies: Buy, target $179 [41]
- Consensus (one common compilation): Moderate Buy, target around $171 [42]
The next two calendar dates that could break the stalemate are clear: January 1, 2026 (CEO transition) and January 22, 2026 (anticipated earnings call). Until then, PG is likely to continue trading as a “show-me” defensive name—supported by its dividend and cash return model, but pressured by questions about costs, category growth, and how much upside the market should pay for stability. [43]
References
1. www.marketbeat.com, 2. www.sec.gov, 3. www.marketbeat.com, 4. www.investing.com, 5. www.marketbeat.com, 6. www.marketbeat.com, 7. www.marketbeat.com, 8. www.marketbeat.com, 9. www.marketbeat.com, 10. www.investing.com, 11. www.investing.com, 12. www.investing.com, 13. www.investing.com, 14. www.marketbeat.com, 15. www.marketbeat.com, 16. www.marketbeat.com, 17. us.pg.com, 18. us.pg.com, 19. us.pg.com, 20. us.pg.com, 21. us.pg.com, 22. us.pg.com, 23. www.pginvestor.com, 24. www.pginvestor.com, 25. www.sec.gov, 26. www.sec.gov, 27. www.marketbeat.com, 28. us.pg.com, 29. www.sec.gov, 30. www.sec.gov, 31. www.sec.gov, 32. www.marketbeat.com, 33. us.pg.com, 34. us.pg.com, 35. www.investing.com, 36. www.sec.gov, 37. us.pg.com, 38. www.marketbeat.com, 39. www.marketbeat.com, 40. www.marketbeat.com, 41. www.investing.com, 42. www.marketbeat.com, 43. www.sec.gov
