Goldman Sachs upgraded Procter & Gamble on Friday and said the consumer staples giant offers shareholders a "potential double-digit return."

"We believe there is a role in investors' portfolios for a large liquid global staples company such as this and note that PG remains the most underweight US listed mega-cap global consumer packaged goods company among mutual funds," Goldman said in a note to clients. The firm boosted its rating to "buy" from "neutral," and also raised its 12-month target price to $125 a share from $114 a share.

Many investors had raised concerns in recent years over P&G's lack of ability to "grow volume profitably," Goldman said.

"But we now expect to see a change in this trend, and we forecast organic volume and proﬁt dollar growth in 12 of the next 13 quarters," it said.

Shares of the company are up 0.84% to $110.73 in early trading. Procter & Gamble had raised concerns in the past about the effects of the U.S-China trade war but the stock is up more than 20% this year.