Colgate-Palmolive Company

LSE:0P59 Stock Report

Market Cap: US$77.6b

Colgate-Palmolive Valuation

Is 0P59 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0P59 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0P59 ($95.14) is trading below our estimate of fair value ($156.77)

Significantly Below Fair Value: 0P59 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0P59?

Key metric: As 0P59 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0P59. This is calculated by dividing 0P59's market cap by their current earnings.
What is 0P59's PE Ratio?
PE Ratio27x
EarningsUS$2.87b
Market CapUS$77.55b

Price to Earnings Ratio vs Peers

How does 0P59's PE Ratio compare to its peers?

The above table shows the PE ratio for 0P59 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.2x
RKT Reckitt Benckiser Group
21.6x11.3%UK£33.4b
HLN Haleon
28.5x10.6%UK£34.4b
ULVR Unilever
21x5.7%UK£116.2b
MCB McBride
5.5x-0.2%UK£182.8m
0P59 Colgate-Palmolive
27x6.7%US$77.6b

Price-To-Earnings vs Peers: 0P59 is expensive based on its Price-To-Earnings Ratio (27x) compared to the peer average (19.2x).


Price to Earnings Ratio vs Industry

How does 0P59's PE Ratio compare vs other companies in the Global Household Products Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0P59 27.0xIndustry Avg. 17.4xNo. of Companies15PE01224364860+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0P59 is expensive based on its Price-To-Earnings Ratio (27x) compared to the Global Household Products industry average (17.4x).


Price to Earnings Ratio vs Fair Ratio

What is 0P59's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0P59 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27x
Fair PE Ratio25.9x

Price-To-Earnings vs Fair Ratio: 0P59 is expensive based on its Price-To-Earnings Ratio (27x) compared to the estimated Fair Price-To-Earnings Ratio (25.9x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0P59 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$95.14
US$105.23
+10.6%
9.5%US$121.00US$83.11n/a22
Nov ’25US$93.54
US$106.10
+13.4%
8.5%US$121.00US$82.00n/a22
Oct ’25US$102.12
US$107.06
+4.8%
8.7%US$122.00US$82.00n/a23
Sep ’25US$105.95
US$105.51
-0.4%
7.7%US$119.00US$82.00n/a22
Aug ’25US$100.68
US$105.51
+4.8%
7.7%US$119.00US$82.00n/a22
Jul ’25US$96.33
US$98.44
+2.2%
6.6%US$109.00US$82.00n/a21
Jun ’25US$91.47
US$97.52
+6.6%
6.1%US$105.00US$82.00n/a20
May ’25US$92.15
US$95.97
+4.1%
6.9%US$105.00US$81.00n/a21
Apr ’25US$90.03
US$89.59
-0.5%
5.0%US$96.00US$81.00n/a21
Mar ’25US$86.43
US$89.40
+3.4%
5.5%US$96.00US$77.00n/a21
Feb ’25US$85.66
US$88.97
+3.9%
5.3%US$96.00US$77.00n/a21
Jan ’25US$79.46
US$83.17
+4.7%
6.6%US$90.00US$75.00n/a19
Dec ’24US$78.67
US$81.85
+4.0%
6.1%US$90.00US$75.00n/a19
Nov ’24US$75.22
US$81.38
+8.2%
5.9%US$90.00US$75.00US$93.5418
Oct ’24US$70.90
US$84.46
+19.1%
7.7%US$98.00US$68.00US$102.1219
Sep ’24US$73.14
US$84.88
+16.1%
8.1%US$98.00US$68.00US$105.9518
Aug ’24US$76.26
US$84.78
+11.2%
8.1%US$98.00US$67.00US$100.6819
Jul ’24US$77.31
US$85.16
+10.2%
7.4%US$96.00US$67.00US$96.3318
Jun ’24US$74.86
US$84.99
+13.5%
7.2%US$96.00US$67.00US$91.4719
May ’24US$80.40
US$84.55
+5.2%
7.3%US$96.00US$67.00US$92.1520
Apr ’24US$75.46
US$80.90
+7.2%
5.9%US$90.00US$67.00US$90.0321
Mar ’24US$72.36
US$81.00
+11.9%
5.9%US$90.00US$67.00US$86.4321
Feb ’24US$74.38
US$80.75
+8.6%
5.9%US$90.00US$67.00US$85.6620
Jan ’24US$78.66
US$80.25
+2.0%
5.8%US$87.00US$66.00US$79.4620
Dec ’23US$77.96
US$80.15
+2.8%
5.6%US$85.00US$66.00US$78.6720
Nov ’23US$73.88
US$80.20
+8.6%
5.5%US$85.00US$66.00US$75.2220

Analyst Forecast: Target price is less than 20% higher than the current share price.


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