Procter & Gamble’s Stock (NYSE:PG) Under Pressure Heading Into Earnings – What To Expect

Procter & Gamble's stock (NYSE: PG) has been an underperformer over the past year, and it will take something special to reverse the trend into the next set of earnings, due tomorrow, before the opening bell.

With PG's stock price having fallen 6.84% over the past 12 months, and down 4.63% since the start of the year, analysts are expecting a modest growth from the firm.

The consensus among analysts is for an EPS of $1.42 for the quarter, a modest increase from the $1.40 reported in the same quarter last year. Revenue is expected to come in at $20.85billion, for a 1.56% Y/Y sales growth rate.

The earnings call is scheduled for 8:30 AM ET, where management will address key performance indicators and outline strategies for future growth in FY 26.

P&G's recent performance has been a mixed bag. In the third quarter of fiscal 2025, the company managed to beat EPS estimates, reporting $1.54 against an expected $1.53. However, revenue disappointed, coming in at $19.78 billion, a 2.1% year-over-year decline, and falling short of the $20.42 billion analysts had predicted. This revenue miss has raised concerns about the company's ability to maintain growth momentum.

Following the Q3 results, P&G also revised its full-year 2025 guidance downwards.

The company now projects EPS growth of 6% to 8% from the fiscal 2024 base of $6.02 per share, translating to earnings between $6.38 and $6.50 per share. This was a step down from the previous forecast of 10% to 12% growth.

The company has attributed these adjustments to several factors, including persistent volume weakness across various product categories, increased cost pressures resulting from newly implemented tariffs, planned reinvestments in brand building and innovation, escalating competitive pressures, and unfavorable currency headwinds in certain international markets.

Adding to the uncertainty, P&G announced plans to lay off 7,000 employees over the next two years, citing potential tariff implications under a second Trump administration. This cost-cutting measure, while aimed at improving efficiency, could also signal deeper concerns about the company's future prospects.

Time will tell, but heading into the latest set of earnings, this one has a hint of extra importance if P&G is to reverse trend.