Procter & Gamble shares rise the most in 13 weeks on Friday, company’s quarterly net income and sales top market expectations

On January 20th the S&P 500-featured Procter & Gamble Company (PG) reported higher-than-anticipated quarterly sales and net income, citing stronger demand for its health care products. At the same time, P&G revised up its organic sales forecast in regard to fiscal year 2017.

Procter & Gamble shares registered their largest daily surge since October 25th on Friday. The stock went up 3.25% ($2.75) to $87.45, after touching a daily high at $87.98, or a level not seen since October 25th ($88.08). In the week ended on January 22nd the shares of the consumer goods provider added 4.09% to their market value compared to a week ago, which marked the best performance since the week ended on January 31st 2016. The stock has extended its advance to 4.01% so far during the current month, following a 1.96% surge in December. For the entire 2016, Procter & Gamble shares gained 5.88%.

Net income attributable to P&G shareholders grew to $7.88 billion ($2.88 per share) during the second quarter ended on December 31st from $3.21 billion ($1.12 per share) during the same period a year ago.

The companys core earnings per share, which disregard restructuring charges and other items, were reported at $1.08 during the latest quarter. The median forecast by analysts had pointed to core earnings of $1.06 per share, according to Thomson Reuters I/B/E/S.

Meanwhile, P&Gs net sales were reported at $16.85 billion during the second quarter ended on December 31st, which outstripped the market consensus ($16.77 billion). The companys health care unit was the best performing segment, with organic sales rising 7%. At the same time, sales in P&Gs beauty business grew 3%. The two segments combined accounted for approximately 30% of the companys total sales.

“Stronger top-line performance in the first half of the fiscal year is enabling us to increase our organic sales growth outlook for the full year”, David Taylor, P&Gs Chief Executive Officer, said in a statement, cited by Reuters.

The consumer goods provider now projects its organic sales growth to be within the 2%-3% range during fiscal year 2017, a revision up from a 2% growth as expected previously.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Procter & Gamble stock are presented as follows:

R1 – $87.59
R2 – $87.74
R3 (Range Resistance – Sell) – $87.88
R4 (Long Breakout) – $88.31
R5 (Breakout Target 1) – $88.81
R6 (Breakout Target 2) – $89.03

S1 – $87.31
S2 – $87.16
S3 (Range Support – Buy) – $87.02
S4 (Short Breakout) – $86.59
S5 (Breakout Target 1) – $86.09
S6 (Breakout Target 2) – $85.87

By using the traditional method of calculation, the weekly levels of importance for Procter & Gamble Company (PG) are presented as follows:

Central Pivot Point – $86.44
R1 – $89.00
R2 – $90.54
R3 – $93.09
R4 – $95.65

S1 – $84.89
S2 – $82.34
S3 – $80.79
S4 – $79.25