Comments on the moneygardener: Procter's 2009 raise

The key with PG is that they don't seem to be gett...

2009-04-15T14:58:00.000-04:00

The key with PG is that they don't seem to be getting battered in the earnings side. I agree that historically, and given the consistency of this company, a P/E above 15 is warranted.

I find it funny how the talking heads, and traders always say that recessions are the worst times to pick up these companies, but these are the only time they are on sale. When general economic growth picks up again, PG won't appreciate as much, but it still will at a reasonable rate - and now we have a chance to get some great yields-on-cost.

Yesterdays P/E ratio was less than 13x earnings. ...

2009-04-15T12:40:00.000-04:00

Yesterdays P/E ratio was less than 13x earnings. By raising the dividend by 10% you might assume that PG believes they can grow earnings at 10% in the near/mid term. If so, this is a great time to buy the stock in my opinion. The P/E should be more like 15-18x.

Great stuff MG, I'm slowly adding positions with P...

2009-04-15T12:05:00.000-04:00

Great stuff MG, I'm slowly adding positions with PG now they've been battered around a little bit. Great to see they truely are recession resistant, still plenty of earnings to pay shareholders.