Colgate-Palmolive Company

NYSE:CL Stock Report

Market Cap: US$76.5b

Colgate-Palmolive Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 CL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CL ($91.94) is trading below our estimate of fair value ($129)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

CL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.3x
Enterprise Value/EBITDA17.9x
PEG Ratio3.7x

Price to Earnings Ratio vs Peers

How does CL's PE Ratio compare to its peers?

The above table shows the PE ratio for CL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average37.2x
KMB Kimberly-Clark
23.6x9.3%US$44.4b
CHD Church & Dwight
32.6x6.3%US$26.0b
PG Procter & Gamble
25.9x7.2%US$390.2b
CLX Clorox
66.7x33.0%US$16.3b
CL Colgate-Palmolive
28.9x7.8%US$76.5b

Price-To-Earnings vs Peers: CL is good value based on its Price-To-Earnings Ratio (28.9x) compared to the peer average (37.2x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: CL is expensive based on its Price-To-Earnings Ratio (28.9x) compared to the Global Household Products industry average (19.6x).


Price to Earnings Ratio vs Fair Ratio

What is CL'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.

CL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.9x
Fair PE Ratio28.7x

Price-To-Earnings vs Fair Ratio: CL is expensive based on its Price-To-Earnings Ratio (28.9x) compared to the estimated Fair Price-To-Earnings Ratio (28.7x).


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 CL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$91.94
US$97.52
+6.1%
6.1%US$105.00US$82.00n/a20
May ’25US$91.90
US$95.97
+4.4%
6.9%US$105.00US$81.00n/a21
Apr ’25US$89.06
US$89.59
+0.6%
5.0%US$96.00US$81.00n/a21
Mar ’25US$86.49
US$89.40
+3.4%
5.5%US$96.00US$77.00n/a21
Feb ’25US$86.12
US$88.97
+3.3%
5.3%US$96.00US$77.00n/a21
Jan ’25US$79.71
US$83.17
+4.3%
6.6%US$90.00US$75.00n/a19
Dec ’24US$78.70
US$81.85
+4.0%
6.1%US$90.00US$75.00n/a19
Nov ’24US$74.93
US$81.38
+8.6%
5.9%US$90.00US$75.00n/a18
Oct ’24US$71.11
US$84.46
+18.8%
7.7%US$98.00US$68.00n/a19
Sep ’24US$73.27
US$84.88
+15.8%
8.1%US$98.00US$68.00n/a18
Aug ’24US$76.64
US$84.78
+10.6%
8.1%US$98.00US$67.00n/a19
Jul ’24US$77.04
US$85.16
+10.5%
7.4%US$96.00US$67.00n/a18
Jun ’24US$74.90
US$84.99
+13.5%
7.2%US$96.00US$67.00n/a19
May ’24US$80.69
US$84.55
+4.8%
7.3%US$96.00US$67.00US$91.9020
Apr ’24US$75.15
US$80.90
+7.7%
5.9%US$90.00US$67.00US$89.0621
Mar ’24US$72.55
US$81.00
+11.6%
5.9%US$90.00US$67.00US$86.4921
Feb ’24US$74.99
US$80.75
+7.7%
5.9%US$90.00US$67.00US$86.1220
Jan ’24US$78.79
US$80.25
+1.9%
5.8%US$87.00US$66.00US$79.7120
Dec ’23US$77.75
US$80.15
+3.1%
5.6%US$85.00US$66.00US$78.7020
Nov ’23US$73.74
US$80.20
+8.8%
5.5%US$85.00US$66.00US$74.9320
Oct ’23US$70.25
US$82.11
+16.9%
7.0%US$91.00US$68.00US$71.1119
Sep ’23US$79.80
US$82.26
+3.1%
7.0%US$91.00US$68.00US$73.2719
Aug ’23US$81.10
US$82.21
+1.4%
7.2%US$91.00US$67.00US$76.6419
Jul ’23US$81.97
US$81.85
-0.1%
7.1%US$91.00US$71.00US$77.0420
Jun ’23US$78.20
US$81.76
+4.6%
7.0%US$91.00US$71.00US$74.9021
May ’23US$77.05
US$84.53
+9.7%
7.1%US$95.00US$71.00US$80.6921

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


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