As earnings season continues, Procter and Gamble (P&G) and Johnson and Johnson (J&J) take the spotlight for this week. Both companies will release their earnings report before the opening bell on Wednesday, January 22.
Let’s take a deeper look on the companies’ forecasts and past performances.
Procter & Gamble Earnings
Procter & Gamble is set to report its fiscal Q2 2025 earnings. Wall Street analysts expect Procter & Gamble to report EPS of $1.88. However, revenues are expected to come out at $21.60 bn, slightly less than the previous quarter which was $21.70 bn. ⁽¹⁾
Last quarter, Procter & Gamble reported net sales of $21.7 billion, a 1% year-over-year decline, missing analyst expectations of $21.99 billion. Organic sales grew by 2%, driven by higher pricing and volume. ⁽²⁾
Segment performance varied, with growth in Healthcare and Fabric & Home Care segments, while the Beauty segment declined and Baby, Feminine & Family Care remained steady. Despite these challenges, CEO Jon Moeller expressed confidence in achieving fiscal year targets, supported by strong pricing strategies and a favorable product mix. ⁽³⁾
Looking ahead, P&G’s organic sales are expected to benefit from its robust brand portfolio and effective strategies. However, operational disruptions like the ransomware attack that occurred in November 2024 and inflationary pressures on raw materials may pose short-term risks. Rising competition and distribution inefficiencies could impact profitability, but the company looks to be well-positioned for steady growth. ⁽⁴⁾

Source: TradingView
P&G pulled back from its recent lows from $158 and stabilized near $160 with hopes of recovery. The stock remains in a bearish trend where the 65 and 200 EMAs are still placing pressure on price.
Strong earnings could support prices higher, in which case traders will monitor a potential breach of $162 where resistance around $166 could become active.
On the other hand, weak earnings could continue the bearish trend, where support formed around $156 could come into effect. After the earnings release, market sentiment can be inferred by watching how the stock responds around these levels.
Johnson & Johnson
Johnson & Johnson (J&J) is set to report its Q4 2024 earnings with an EPS estimate of $2.01 and revenues forecasted at $22.46 bn. In Q3, J&J showed continued strength across its segments, with its pharmaceuticals division leading the way. ⁽⁵⁾
J&J’s innovative medicine unit sales were robust, driven by a 22.9% annual growth in Darzalex revenues and a significant 87.6% year-over-year increase in Carvykti sales, its cancer cell therapy. This performance contributed to a 5.2% annual rise in the company’s top-line figure. Following its strong Q3 results, the company raised its full-year 2024 revenue expectations to a range of $88.4 billion to $88.8 billion. Following its Q3 performance, the company raised its full-year 2024 revenue expectations to a range of $88.4 billion to $88.8 billion. ⁽⁶⁾
Johnson & Johnson’s stock rose 1.8% following its announcement of a $14.6 billion all-cash acquisition of Intra-Cellular Therapeutics, a neuroscience company. The deal adds Intra-Cellular’s FDA-approved schizophrenia drug, CAPLYTA, to J&J’s portfolio and grants access to its promising clinical-stage pipeline, including treatments for anxiety, Alzheimer’s-related psychosis, and agitation. This acquisition reflects J&J’s growing focus on mental health, though shareholders may question whether the deal’s valuation is enough to make J&J stock an attractive option in 2025. ⁽⁷⁾
The company also benefited from strong sales in its medical device and consumer health segments. Despite some ongoing challenges, including supply chain issues, J&J’s operational resilience and strategic investments are expected to support its positive outlook. ⁽⁸⁾

Source: TradingView
J&J stock rallied 5.34% from its January 10 low and has breached previous technical levels with support from the 15 and 65 EMAs. Strong earnings could continue the trend, where buyers might monitor $150 as the next resistance. Disappointing earnings could fade the rally, where support formed around $143 could come into play.