Upside case
Bull case
$147+70.1%
CL would need investors to value it at roughly 38x earnings — about 16x more generous than today's 23x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewHoldUpdated May 1, 2026
Colgate-Palmolive Company (CL) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
45
analysts
19 bullish · 2 bearish · 45 covering CL
Strong Buy
0
Buy
19
Hold
24
Sell
2
Strong Sell
0
Consensus Target
$94
+8.5% vs today
Scenario Range
$83 – $147
Model bear to bull value window
Coverage
45
Published analyst ratings
Valuation Context
22.6x
Forward P/E · Market cap $69.3B
CL price targets
Three scenarios for where CL stock could go
Current
~$86
Confidence
75 / 100
Updated
May 1, 2026
Where we are now
Current · $86
Bear
$83
Base
$110
Bull
$147
Market caseClosest to today
Base case
$110+27.9%
At 29x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$83-3.7%
If investor confidence fades or macro conditions deteriorate, a 1x multiple contraction could push CL down roughly 4% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Colgate-Palmolive Company
CL · NYSEConsumer DefensiveHousehold & Personal ProductsDecember year-end
Colgate-Palmolive is a global consumer goods company that manufactures and sells oral care, personal care, home care, and pet nutrition products. It generates revenue primarily from its Oral, Personal and Home Care segment — which contributes roughly 85% of sales — and its Pet Nutrition segment, which makes up the remaining 15%. The company's competitive advantage lies in its powerful global brand portfolio, particularly the dominant Colgate brand in oral care, and its extensive distribution network reaching over 200 countries.
Market Cap
$69.3B
Revenue TTM
$20.4B
Net Income TTM
$2.1B
Net Margin
10.5%
CL Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
100%Exceptional
12 quarters tracked
Revenue Beat Rate
92%Exceptional
vs consensus estimates
Avg EPS Surprise
+3.7%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 4 of 4Q3 2025
EPS
$0.92/$0.90
Revenue
$5.1B/$5.0B
Q4 2025
EPS
$0.91/$0.89
Revenue
$5.1B/$5.1B
Q1 2026
EPS
$0.95/$0.91
Revenue
$5.2B/$5.1B
Q2 2026
EPS
$0.97/$0.94
Revenue
$5.3B/$5.2B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $0.92/$0.90 | +2.6% | $5.1B/$5.0B | +1.5% |
| Q4 2025 | $0.91/$0.89 | +2.4% | $5.1B/$5.1B | +0.1% |
| Q1 2026 | $0.95/$0.91 | +4.2% | $5.2B/$5.1B | +2.1% |
| Q2 2026 | $0.97/$0.94 | +2.9% | $5.3B/$5.2B | +2.1% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$21.1B
+3.5% YoY
FY2
$21.7B
+2.9% YoY
EPS Outlook
FY1
$3.22
+21.7% YoY
FY2
$3.36
+4.4% YoY
Trailing FCF (TTM)$3.6B
FCF Margin: 17.8%
Next Earnings
—
Expected EPS
—
Expected Revenue
—
CL beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
CL Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $20.4B
Product Mix
Latest annual revenue by segment or product family
Oral, Personal and Home Care
77.4%
+1.0% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
Oral, Personal and Home Care
60.9%
YoY unavailable
Tap, hover, or focus a slice to inspect segment detail.
Oral, Personal and Home Care is the largest disclosed segment at 77.4% of FY 2025 revenue, up 1.0% YoY.
Oral, Personal and Home Care is the largest reported region at 60.9%, with no year-over-year comparison yet.
CL Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Overvalued
Fair value est. $69 — implies -21.0% from today's price.
Premium to Fair Value
21.0%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
CL
32.8x
vs
S&P 500
25.1x
+31% premium
vs Consumer Defensive Trailing P/E
CL
32.8x
vs
Consumer Defensive
19.1x
+72% premium
vs CL 5Y Avg P/E
Today
32.8x
vs
5Y Average
31.0x
+6% premium
Forward PE
22.6x
S&P 500
19.1x
+18%
Consumer Defensive
15.0x
+51%
5Y Avg
—
—
Trailing PE
32.8x
S&P 500
25.1x
+31%
Consumer Defensive
19.1x
+72%
5Y Avg
31.0x
+6%
PEG Ratio
—
S&P 500
1.72x
—
Consumer Defensive
1.87x
—
5Y Avg
—
—
EV/EBITDA
15.3x
S&P 500
15.2x
+0%
Consumer Defensive
11.5x
+33%
5Y Avg
16.5x
-7%
Price/FCF
19.1x
S&P 500
21.1x
-10%
Consumer Defensive
14.9x
+28%
5Y Avg
24.4x
-22%
Price/Sales
3.4x
S&P 500
3.1x
+9%
Consumer Defensive
0.8x
+311%
5Y Avg
3.6x
-6%
Dividend Yield
2.60%
S&P 500
1.87%
+39%
Consumer Defensive
2.79%
-7%
5Y Avg
2.55%
+2%
| Metric | CL | S&P 500 | Consumer Defensive | 5Y Avg CL |
|---|---|---|---|---|
| Forward PE | 22.6x | 19.1x+18% | 15.0x+51% | — |
| Trailing PE | 32.8x | 25.1x+31% | 19.1x+72% | 31.0x |
| PEG Ratio | — | 1.72x | 1.87x | — |
| EV/EBITDA | 15.3x | 15.2x | 11.5x+33% | 16.5x |
| Price/FCF | 19.1x | 21.1x | 14.9x+28% | 24.4x-22% |
| Price/Sales | 3.4x | 3.1x | 0.8x+311% | 3.6x |
| Dividend Yield | 2.60% | 1.87% | 2.79% | 2.55% |
CL trades above S&P 500 benchmarks on 2 of 5 measured multiples — is elevated on some multiples, but competitive on others — a mixed valuation picture.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolCL Financial Health
Verdict
Exceptional
CL generates $3.6B in free cash flow at a 17.8% margin — 43.4% ROIC signals a durable competitive advantage · returns 4.4% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$20.4B
Revenue Growth
TTM vs prior year
+1.4%
Gross Margin
Gross profit as a share of revenue
60.1%
Operating Margin
Operating income divided by revenue
21.3%
Net Margin
Net income divided by revenue
10.5%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$2.65
Free Cash Flow (TTM)
Cash generation after capex
$3.6B
FCF Margin
FCF as share of revenue — the primary cash quality signal
17.8%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
43.4%
ROA
Return on assets, trailing twelve months
12.5%
Cash & Equivalents
Liquid assets on the balance sheet
$1.3B
Net Debt
Total debt minus cash
$6.7B
Debt Serviceability
Net debt as a multiple of annual free cash flow
1.8× FCF
~1.8 years to full repayment at current FCF run-rate
ROE *
Return on equity, trailing twelve months
251.6%
* Elevated by buyback-compressed equity — compare ROIC (43.4%) for an undistorted picture of capital efficiency.
Shareholder Returns
How capital is returned to owners
Total shareholder yield
4.4%
Dividend
2.6%
Buyback
1.7%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$1.2B
Dividend / Share
Annualized trailing dividend per share
$2.25
Payout Ratio
Share of earnings distributed as dividends
85.5%
Shares Outstanding
Declining as buybacks retire shares
802M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt). ROE marked * where buyback-compressed equity base may inflate the figure.
Open full ratios pageCL Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 11, 2026
High Risk
High debt load
Colgate-Palmolive carries a considerable debt load that boosts ROE but magnifies exposure to higher borrowing costs. In a tightening credit market or economic slowdown, debt servicing could strain cash flows and limit growth initiatives.
High Risk
Intense market rivalry
The company faces fierce competition from multinational and local players, including private-label brands. Price wars and shrinking market share can erode profit margins and dilute brand equity.
High Risk
Global supplier network
Colgate-Palmolive relies on a worldwide supplier base; disruptions from political unrest, natural disasters, or trade restrictions can raise costs, delay production, and create shortages that hurt profitability.
Medium
Largest revenue segment
Oral care accounts for the largest share of revenue; shifts in consumer preferences or intensified competition in this segment could disproportionately impact overall sales and earnings.
Medium
Currency volatility exposure
As a global entity, the firm is exposed to FX swings; a stronger U.S. dollar can reduce the converted value of overseas sales and compress profit margins.
Medium
Raw material price swings
Fluctuations in the prices of resins, essential oils, and agricultural inputs can erode profitability, especially when the company cannot fully pass costs to consumers.
Lower
Extreme weather threats
Climate-induced events can damage facilities, disrupt suppliers, and increase raw material and water costs, potentially leading to operational downtime and higher expenses.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why CL Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 11, 2026
Revenue and Sales Growth Momentum
Costco reported an 8.2% increase in revenue to $67.31 billion in Q1 FY2026, surpassing consensus estimates. Comparable sales rose 6.4% driven by higher traffic and larger basket sizes, while digital sales grew 20.5%.
Robust Membership Fee Expansion
Membership fee income grew 13.6% year‑over‑year, reinforcing recurring revenue streams and supporting overall top‑line growth.
Strong Cash Position and Capital Returns
The company holds over $15 billion in cash and short‑term investments, resulting in a net cash position exceeding $5 billion, providing a buffer against macro headwinds and enabling future capital returns such as special dividends.
High Member Renewal Rates
Renewal rates remain strong at 93% in the US and Canada and nearly 90% internationally, underscoring customer loyalty and stable recurring revenue.
International Expansion and E-commerce Surge
International expansion continues to drive long‑term growth, and March 2026 e‑commerce sales were up 11.3% year‑over‑year, further boosting the bull case.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
CL Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$86.33
52W Range Position
48%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$74.55
+15.8% from the low
52-Week High
$99.33
-13.1% from the high
1 Month
+2.13%
3 Month
-9.01%
YTD
+11.1%
1 Year
-4.9%
3Y CAGR
+2.3%
5Y CAGR
+1.2%
10Y CAGR
+1.9%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
CL vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
22.6x
vs 18.5x median
+22% above peer median
Revenue Growth
+3.5%
vs +0.9% median
+291% above peer median
Net Margin
10.5%
vs 11.8% median
-11% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
CL CL Colgate-Palmolive Company | $69.3B | 22.6x | +3.5% | 10.5% | Hold | +8.5% |
PG PG The Procter & Gamble Company | $338.6B | 21.0x | +0.9% | 14.7% | Buy | +11.7% |
UL UL Unilever PLC | $127.6B | 18.5x | -9.0% | 10.2% | Hold | +12.2% |
KMB KMB Kimberly-Clark Corporation | $32.3B | 12.9x | -5.6% | 12.8% | Hold | +13.2% |
CHD CHD Church & Dwight Co., Inc. | $22.2B | 24.9x | +1.5% | 11.8% | Buy | +6.5% |
ENR ENR Energizer Holdings, Inc. | $1.2B | 5.4x | +1.2% | 6.5% | Hold | +30.0% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
CL Dividend and Capital Return
CL returns 4.4% total yield, led by a 2.60% dividend, raised 52 consecutive years. Buybacks add another 1.7%.
Dividend At RiskFCF Well Covered
Total Shareholder Yield
4.4%
Dividend + buyback return per year
Buyback Yield
1.7%
Dividend Yield
2.60%
Payout Ratio
85.5%
How CL Splits Its Return
Div 2.60%
Buyback 1.7%
Dividend 2.60%Buybacks 1.7%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$2.25
Growth Streak
Consecutive years of dividend increases
52Y
3Y Div CAGR
3.5%
5Y Div CAGR
3.3%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$1.2B
Estimated Shares Retired
14M
Approx. Share Reduction
1.7%
Shares Outstanding
Current diluted share count from the screening snapshot
802M
At 1.7%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $1.05 | — | — | — |
| 2025 | $2.06 | +4.0% | 1.9% | 4.7% |
| 2024 | $1.98 | +3.7% | 2.3% | 4.7% |
| 2023 | $1.91 | +2.7% | 1.7% | 4.4% |
| 2022 | $1.86 | +3.9% | 2.0% | 4.5% |
FAQ
7 questionsCL Investor Questions
Common questions answered from live analyst data and company financials.
01Is Colgate-Palmolive Company (CL) stock a buy or sell in 2026?
Colgate-Palmolive Company (CL) is rated Hold by Wall Street analysts as of 2026. Of 45 analysts covering the stock, 19 rate it Buy or Strong Buy, 24 rate it Hold, and 2 rate it Sell or Strong Sell. The consensus 12-month price target is $94, implying +8.5% from the current price of $86. The bear case scenario is $83 and the bull case is $147.
02What is the CL stock price target for 2026?
The Wall Street consensus price target for CL is $94 based on 45 analyst estimates. The high-end target is $102 (+18.2% from today), and the low-end target is $79 (-8.5%). The base case model target is $110.
03Is Colgate-Palmolive Company (CL) stock overvalued in 2026?
CL trades at 22.6x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals overvalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Colgate-Palmolive Company (CL) stock in 2026?
The primary risks for CL in 2026 are: (1) High debt load — Colgate-Palmolive carries a considerable debt load that boosts ROE but magnifies exposure to higher borrowing costs. (2) Intense market rivalry — The company faces fierce competition from multinational and local players, including private-label brands. (3) Global supplier network — Colgate-Palmolive relies on a worldwide supplier base; disruptions from political unrest, natural disasters, or trade restrictions can raise costs, delay production, and create shortages that hurt profitability. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Colgate-Palmolive Company's revenue and earnings forecast?
Analyst consensus estimates CL will report consensus revenue of $21.1B (+3.5% year-over-year) and EPS of $3.22 (+21.7% year-over-year) for the upcoming fiscal year. The following year, analysts project $21.7B in revenue.
06When does Colgate-Palmolive Company (CL) report its next earnings?
A confirmed upcoming earnings date for CL is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
07How much free cash flow does Colgate-Palmolive Company generate?
Colgate-Palmolive Company (CL) generated $3.6B in free cash flow over the trailing twelve months — a free cash flow margin of 17.8%. CL returns capital to shareholders through dividends (2.6% yield) and share repurchases ($1.2B TTM).