Top Consumer Stocks
Consumer stocks edged higher during Monday trade, with shares of consumer staples companies in the S&P 500 adding about 0.1% in value today while shares of consumer discretionary firms in the S&P 500 were holding on to a 0.3% advance.
In company news, Procter & Gamble ( PG ) reversed an early decline, trading nearly 1% higher late in Monday trading after the consumer staples conglomerate this afternoon said while it welcomed input from an activist investment manager on ways to improve shareholder value, it still wasn't ready to expand its board of directors by adding Trian Fund Management's chief executive to the 10-member panel.
Trian is one of P&G's largest institutional investors, owning about 37.9 million shares worth about $3.3 billion and Trian CEO Nelson Peltz argued the company and its stock has consistently underperformed both its peers along with the broader markets over the past decade. P&G has lost market share to other firms as customer tastes and buying habits have changed, Trian wrote today in a letter to other shareholders, stating the company "urgently" needs his expertise on the board to regain an edge over the competition.
In response, P&G touted its ongoing efforts to bolster shareholder value - including paring costs and bureaucracy through a $10 billion initiative begun in 2012 - and said Trian has not provided "any new or actionable ideas to drive additional value" beyond the strategic plan already in place.
In other sector news,
(+) WHR, Barron's article forecasts up to 35% share price growth over the next 12 months to around $260 apiece, with the magazine explaining the company "gets no credit for fantastic execution since (the) housing (market) began to turn around in 2021.
(-) STON, Said it expects to file its Form 10-K annual report for 2016 within the next two to four weeks as the company's review of certain historical transactions during the three years prior to Dec. 31, 2016, continues.
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