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Why pampering P&G shares could pay dividends

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Procter & Gamble the multinational behind brands such a Gillette, Crest and Pampers reports its first quarter earnings later on Friday. The USD 23 billion consumer products giant has been one of the market’s best performers over the last quarter.

But the consensus earnings per share estimate for this quarter is lower. Even so, Erin Lash from research company Morningstar believes P & G is worth serious consideration.

She thinks that despite shutting down half of its brand portfolio, the company should maintain its scale advantages and increase shareholders' total return through dividend payments.