Sell Procter & Gamble on valuation, poor sales, Goldman Sachs says

Procter & Gamble Tide brand detergent
Daniel Acker | Bloomberg | Getty Images

Goldman Sachs lowered its rating on Procter & Gamble shares to sell from neutral, saying the company's December quarter sales result will miss expectations.

"We see incremental risk to organic growth as we expect last quarter's organic sales outperformance ... to prove unsustainable," analyst Jason English wrote in a note to clients Monday. "We expect top-line weakness to be apparent in its upcoming 2Q17 earnings (expected late Jan)."

The company is slated to report fiscal second-quarter earnings on Jan. 25, according to its website.