Colgate-Palmolive AI Stock Analysis
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Colgate-Palmolive (CL) AI Stock Analysis
Colgate-Palmolive
(NYSE:CL)
The score is driven primarily by solid operating performance and dependable cash generation, tempered materially by high leverage and a very thin equity base. Technicals are supportive with the stock trading above key moving averages and positive momentum indicators. Valuation is a meaningful headwind due to the elevated P/E, while the latest earnings call supports a steady outlook but underscores near-term cost, FX, and regional demand risks.
Colgate-Palmolive Key Performance Indicators (KPIs)
Oral, Personal, and Home Care Revenue BreakdownDetails revenue from core product categories, indicating consumer demand trends and the company's market position in each segment.
Latin America is the standout growth engine, sustaining higher momentum and supporting mix/pricing gains management cited; Europe and Asia Pacific show a meaningful step‑up (Europe’s early‑2026 boost is especially notable). North America is the weakest, volatile region—its Q1 2026 softening aligns with management’s comments on U.S. category weakness, retailer destocking and shipments lagging consumption. Africa/Eurasia falls to zero in 2026, implying a reporting change—watch whether emerging‑market strength persists and the U.S. stabilizes to validate full‑year guidance.
The FlyColgate-Palmolive (CL) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $77.90B
- Dividend Yield
- 2.15%
- Average Volume (3M)
- 4.90M
- Price to Earnings (P/E)
- 38.1
- Beta (1Y)
- 0.14
- Revenue Growth
- 5.91%
- EPS Growth
- -28.30%
- Country
- US
- Employees
- 33,600
- Sector
- Consumer Defensive
- Sector Strength
- 62
- Industry
- Household & Personal Products
Colgate-Palmolive Business Overview & Revenue Model
Company Description
Operating globally, Colgate-Palmolive Company and its affiliated entities are engaged in the production and distribution of a diverse range of consumer goods. Its operations are structured into two primary divisions: Oral, Personal and Home Care, and...
How the Company Makes Money
Colgate-Palmolive primarily makes money by manufacturing and marketing branded consumer goods and pet nutrition products and selling them to retailers, distributors, and other trade customers worldwide. Revenue is generated mainly from product sales...
Colgate-Palmolive Earnings Call Summary
The call was broadly optimistic. Colgate-Palmolive reported solid organic sales, EPS, cash flow, gross margin, market share, and regional performance, supported by productivity, pricing, premium innovation, advertising, and AI investments. The main challenges were elevated commodity and logistics costs, foreign exchange pressure, sluggish developed-market categories, the ongoing U.S. turnaround, Mexico-specific issues, and weakness in parts of China and Hill's. Management emphasized that productivity and revenue growth management are currently offsetting much of the cost pressure and expressed confidence in the company's global model and long-term growth opportunities.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Colgate-Palmolive said it expects the cost environment to continue through the fourth quarter and into the early part of next year, with tariffs peaking in the fourth quarter, underlying cost commodity pressure remaining elevated in Q4 and the near term, Q4 having “probably the highest level of commodity inflation on a year-on-year basis,” and Q4 logistics costs being the highest logistics cost quarter of the year, both in dollars and as a percent of sales; full-year gross profit margin is expected to expand year-on-year, up from roughly flat previously, while cost inflation remains roughly in the original range of $300± million. Global category growth is expected to continue at 1.5%-3%, with emerging markets in the 3%-5% range and developed markets in the 1.5%-2% range, while another comment cited developed-market growth in the “1.5 to more or less 2.5 growth rate.” The company said it expects more pricing globally, with pricing in developed markets likely to come through new innovation and list prices more likely in emerging markets, and will not share 2027 guidance until the first quarter of next year.
Colgate-Palmolive Financial Statement Overview
Summary
Operating fundamentals are solid (steady revenue expansion, strong gross margins ~58%–61%, and robust free cash flow of ~$3.79B TTM). The major offset is balance-sheet risk: very high leverage with extremely thin equity (TTM debt-to-equity ~26.8x; 2025 ~158x) reduces flexibility and raises refinancing sensitivity. Recent net margin softening (from ~14% in 2024 to ~10% in 2025 and ~9.6% TTM) also caps the score.
Income Statement
78PositiveBalance Sheet
34NegativeCash Flow
74Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 21.28B | 20.38B | 20.10B | 19.46B | 17.97B | 17.42B |
| Gross Profit | 12.90B | 12.25B | 12.11B | 11.25B | 10.15B | 10.29B |
| EBITDA | 3.86B | 4.87B | 4.85B | 4.25B | 3.37B | 3.76B |
| Net Income | 2.05B | 2.13B | 2.89B | 2.30B | 1.78B | 2.17B |
Balance Sheet | ||||||
| Total Assets | 16.74B | 16.33B | 16.05B | 16.39B | 15.73B | 15.04B |
| Cash, Cash Equivalents and Short-Term Investments | 1.53B | 1.29B | 1.10B | 966.00M | 775.00M | 832.00M |
| Total Debt | 7.72B | 8.55B | 8.51B | 9.06B | 9.27B | 7.83B |
| Total Liabilities | 16.10B | 15.96B | 15.50B | 15.44B | 14.93B | 14.07B |
| Stockholders Equity | 288.00M | 54.00M | 212.00M | 609.00M | 401.00M | 609.00M |
Cash Flow | ||||||
| Free Cash Flow | 3.79B | 3.63B | 3.55B | 3.04B | 1.86B | 2.76B |
| Operating Cash Flow | 4.37B | 4.20B | 4.11B | 3.75B | 2.56B | 3.33B |
| Investing Cash Flow | -484.00M | -817.00M | -534.00M | -742.00M | -1.60B | -592.00M |
| Financing Cash Flow | -3.63B | -3.26B | -3.39B | -2.79B | -952.00M | -2.77B |
Colgate-Palmolive Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CL, the sentiment is Positive. The current price of 98.00 is above the 20-day moving average (MA) of 95.22, above the 50-day MA of 90.28, and above the 200-day MA of 89.26, indicating a bullish trend. The MACD of 2.27 indicates Negative momentum. The RSI at 61.92 is Neutral, neither overbought nor oversold. The STOCH value of 62.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CL.
Colgate-Palmolive Risk Analysis
Colgate-Palmolive disclosed 19 risk factors in its most recent earnings report. Colgate-Palmolive reported the most risks in the "Production" category.
Latest Risks Added
2 New RisksColgate-Palmolive Peers Comparison
Overall Rating
CHD78Outperform
PG72Outperform
KMB69Neutral- CL67Neutral
UL64Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| CHD | 78Outperform | $26.38B | 34.36 | 18.21% | 1.09% | 1.70% | 2.07% |
| PG | 72Outperform | $390.92B | 24.84 | 29.55% | 2.58% | 3.52% | -3.74% |
| KMB | 69Neutral | $67.97B | 10.96 | 162.62% | 4.68% | -8.38% | 67.47% |
| CL | 67Neutral | $77.97B | 38.07 | 1135.82% | 2.15% | 5.91% | -28.30% |
| UL | 64Neutral | $141.29B | 13.84 | 58.26% | 3.38% | -17.45% | 8.84% |
| Sector * | 62Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% |
* Consumer Defensive Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| CL | Colgate-palmolive Company | 98.00 | 21.06 | 27.37% | |
| CHD | Church & Dwight Company | 112.02 | 28.16 | 33.59% | |
| KMB | Kimberly Clark | 108.86 | 9.50 | 9.56% | |
| PG | Procter & Gamble Company | 167.67 | 23.88 | 16.61% | |
| UL | Unilever plc | 65.78 | 2.77 | 4.39% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 31, 2026