Colgate-Palmolive (NYSE:CL) Issues Earnings Results

Colgate-Palmolive (NYSE:CL) announced its earnings results on Friday. The company reported $0.97 earnings per share for the quarter, topping analysts’ consensus estimates of $0.93 by $0.04, Zacks reports. Colgate-Palmolive had a net margin of 9.68% and a return on equity of 464.63%. The business had revenue of $5.37 billion during the quarter, compared to the consensus estimate of $5.34 billion. During the same quarter last year, the firm earned $0.91 earnings per share. Colgate-Palmolive’s quarterly revenue was up 4.6% on a year-over-year basis.

Here are the key takeaways from Colgate-Palmolive’s conference call:

• Broad-based growth continued: Colgate-Palmolive reported organic sales growth across all four categories and four of five divisions, with emerging markets, Europe, and Hill’s contributing strongly. Free cash flow rose 7%, and the company returned $2.2 billion to shareholders year to date.
• Profitability outperformed despite inflation. Productivity programs, pricing, premium innovation, and manufacturing leverage more than offset roughly 300 basis points of material-cost pressure, prompting the company to raise its full-year gross-margin outlook.
• Hill’s delivered an especially strong quarter, with organic sales up 6.5% excluding private label and notable gains in therapeutic, cat, and wet-food segments. The company is also gradually rolling out its Fresh product line, targeting longer-term growth.
• Cost and macroeconomic pressures remain elevated. Management expects commodity inflation to peak in the fourth quarter, with logistics costs also high and foreign exchange moving unfavorably; these pressures could be a headwind into 2027, when no guidance has yet been provided.
• The U.S. turnaround remains a work in progress. Toothpaste market share showed early improvement, but category demand remains sluggish, and the company plans to rely on increased premium innovation, targeted advertising, AI-enabled marketing, and channel restructuring to drive a broader recovery in 2027.

Colgate-Palmolive Stock Performance

Shares of CL stock traded up $2.19 during mid-day trading on Friday, hitting $95.35. The stock had a trading volume of 8,568,002 shares, compared to its average volume of 5,644,585. The company’s 50-day simple moving average is $89.43 and its 200-day simple moving average is $89.58. The firm has a market cap of $76.01 billion, a PE ratio of 37.84, a PEG ratio of 4.44 and a beta of 0.33. The company has a debt-to-equity ratio of 13.82, a current ratio of 1.03 and a quick ratio of 0.67. Colgate-Palmolive has a fifty-two week low of $74.54 and a fifty-two week high of $99.33.

Colgate-Palmolive Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Tuesday, October 20th will be given a $0.53 dividend. The ex-dividend date is Tuesday, October 20th. This represents a $2.12 annualized dividend and a yield of 2.2%. Colgate-Palmolive’s dividend payout ratio is 84.13%.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on CL shares. Evercore upped their price target on Colgate-Palmolive from $100.00 to $101.00 and gave the company an “outperform” rating in a research report on Thursday, October 8th. Raymond James Financial boosted their target price on Colgate-Palmolive from $100.00 to $102.00 and gave the stock an “outperform” rating in a report on Monday, August 3rd. Jefferies Financial Group reissued a “hold” rating and set a $89.00 price objective (up from $88.00) on shares of Colgate-Palmolive in a research report on Monday, August 3rd. JPMorgan Chase & Co. raised their price target on Colgate-Palmolive from $103.00 to $104.00 and gave the company an “overweight” rating in a report on Monday, October 19th. Finally, Bank of America lowered their price objective on shares of Colgate-Palmolive from $102.00 to $100.00 and set a “buy” rating for the company in a research report on Friday, October 9th. Thirteen equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $98.56.

Insider Transactions at Colgate-Palmolive

In other news, COO Panagiotis Tsourapas sold 10,000 shares of the company’s stock in a transaction on Monday, August 24th. The stock was sold at an average price of $92.05, for a total value of $920,500.00. Following the sale, the chief operating officer directly owned 64,901 shares in the company, valued at $5,974,137.05. This represents a 13.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director John Cahill sold 4,170 shares of the stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $93.37, for a total value of $389,352.90. Following the transaction, the director owned 28,373 shares in the company, valued at $2,649,187.01. This trade represents a 12.81% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 175,191 shares of company stock valued at $16,110,903 in the last ninety days. Corporate insiders own 0.43% of the company’s stock.

Colgate-Palmolive News Summary

Here are the key news stories impacting Colgate-Palmolive this week:

• Positive Sentiment: Earnings and revenue exceeded expectations. Colgate reported quarterly earnings of $0.97 per share, up from $0.91 a year earlier and ahead of consensus estimates of approximately $0.92-$0.93. Revenue rose 4.6% year over year to $5.37 billion, slightly above the $5.34 billion analyst forecast. Colgate-Palmolive Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: Management raised key profitability expectations. The company increased its 2026 base-business EPS and gross-margin outlook while maintaining its overall fiscal-year EPS view. Organic sales growth, pricing actions and productivity improvements helped offset cost pressures. Colgate-Palmolive Q3 Results and FY26 Outlook
• Neutral Sentiment: The outlook is mixed. Colgate narrowed its sales-growth outlook, suggesting that demand remains uneven despite higher prices and improved profitability. The company’s defensive consumer-staples profile may support investor interest, while a valuation near 38 times earnings leaves less room for execution disappointments.
• Negative Sentiment: U.S. demand and input costs remain headwinds. Management cited weaker U.S. consumer demand and rising costs, risks that could pressure volumes and margins if pricing cannot fully offset inflationary expenses. Colgate-Palmolive Q3 Results and Outlook

Colgate-Palmolive Company Profile

Colgate-Palmolive Company (NYSE: CL) is a global consumer products company focused on oral care, personal care, home care and pet nutrition. Its portfolio includes toothpaste, toothbrushes, mouthwash, liquid hand soap, body wash, deodorants, household cleaning products and pet food and treats.

The company markets well-known brands such as Colgate, Palmolive, elmex, meridol, Softsoap, Irish Spring, Ajax, Protex and Hill’s Science Diet. Colgate-Palmolive also provides veterinary and nutritional products through Hill’s Pet Nutrition, which serves pet owners and animal health professionals.

Founded in 1806 by William Colgate, the company developed from a soap and candle business into a diversified consumer goods manufacturer.