Proctor and Gamble Ups Earnings Estimates Announces Split

[adios]

What I consider one of the premier consummer staples companies, Proctor and Gamble, raised guidance today, announced a stock split and a dividend increase. My understanding is that P&G (symbol PG) does about 20% of their sales through Walmart. They're an exporter as well including exports to China. My contention has been for a long time that the US economy has a very strong, ongoing demand for non durables and supports these markets very well. PG results IMO support this thesis. Walmart items seem to me to be affordable by all. Cheap consummer staples, low housing costs, and cheap beer what more could we want?

[PuppetMaster]

nt

[BadBoyBenny]

P&G is one of the few Wal Mart suppliers that is big enough and has strong enough brands to not get bullied around too. Normally having 20% of your revenue tied to one customer who is known for squeezing suppliers would be a bad thing.

A company like P&G who has branded non-durables may need time to build those brands in foreign markets like China as advertising efforts here don't necessarily translate into awareness there. That said they have some of the best marketing strategists in the world and I wouldn't be too worried about it.