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Colgate-Palmolive

NYSE:CL
Snowflake Description

Established dividend payer with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CL
NYSE
$58B
Market Cap
  1. Home
  2. US
  3. Household
Company description

Colgate-Palmolive Company, together with its subsidiaries, manufactures and sells consumer products worldwide. The last earnings update was 43 days ago. More info.


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CL Share Price and Events
7 Day Returns
3.6%
NYSE:CL
3.4%
US Household Products
-4.1%
US Market
1 Year Returns
-0.4%
NYSE:CL
8.2%
US Household Products
-14.9%
US Market
CL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Colgate-Palmolive (CL) 3.6% -6.5% -0.6% -0.4% -7.9% -2.9%
US Household Products 3.4% -8.1% -6.3% 8.2% 25% 38.3%
US Market -4.1% -19.1% -23.4% -14.9% 3.5% 14.5%
1 Year Return vs Industry and Market
  • CL underperformed the Household Products industry which returned 8.2% over the past year.
  • CL outperformed the Market in United States of America which returned -14.9% over the past year.
Price Volatility
CL
Industry
5yr Volatility vs Market

Value

 Is Colgate-Palmolive undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Colgate-Palmolive to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Colgate-Palmolive.

NYSE:CL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 16 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:CL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Household Products Unlevered Beta Simply Wall St/ S&P Global 0.39
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.388 (1 + (1- 21%) (14.63%))
0.62
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (0.8 * 5.44%)
6.09%

Discounted Cash Flow Calculation for NYSE:CL using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Colgate-Palmolive is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NYSE:CL DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 6.09%)
2020 2,726.69 Analyst x9 2,570.12
2021 2,824.53 Analyst x9 2,509.47
2022 2,925.40 Analyst x6 2,449.84
2023 3,359.00 Analyst x2 2,651.43
2024 3,585.00 Analyst x2 2,667.33
2025 3,753.67 Est @ 4.7% 2,632.45
2026 3,896.89 Est @ 3.82% 2,575.97
2027 4,021.32 Est @ 3.19% 2,505.57
2028 4,132.18 Est @ 2.76% 2,426.81
2029 4,233.50 Est @ 2.45% 2,343.54
Present value of next 10 years cash flows $25,332.00
NYSE:CL DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $4,233.50 × (1 + 1.74%) ÷ (6.09% – 1.74%)
$98,969.71
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $98,969.71 ÷ (1 + 6.09%)10
$54,786.80
NYSE:CL Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $25,332.00 + $54,786.80
$80,118.80
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $80,118.80 / 857.45
$93.44
NYSE:CL Discount to Share Price
Calculation Result
Value per share (USD) From above. $93.44
Current discount Discount to share price of $67.62
= -1 x ($67.62 - $93.44) / $93.44
27.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Colgate-Palmolive is available for.
Intrinsic value
28%
Share price is $67.62 vs Future cash flow value of $93.44
Current Discount Checks
For Colgate-Palmolive to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Colgate-Palmolive's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Colgate-Palmolive's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Colgate-Palmolive's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Colgate-Palmolive's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:CL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $2.76
NYSE:CL Share Price ** NYSE (2020-04-03) in USD $67.62
United States of America Household Products Industry PE Ratio Median Figure of 8 Publicly-Listed Household Products Companies 26.3x
United States of America Market PE Ratio Median Figure of 2,944 Publicly-Listed Companies 12.5x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Colgate-Palmolive.

NYSE:CL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:CL Share Price ÷ EPS (both in USD)

= 67.62 ÷ 2.76

24.54x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Colgate-Palmolive is good value based on earnings compared to the US Household Products industry average.
  • Colgate-Palmolive is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Colgate-Palmolive's expected growth come at a high price?
Raw Data
NYSE:CL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 24.54x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts
4.7%per year
United States of America Household Products Industry PEG Ratio Median Figure of 6 Publicly-Listed Household Products Companies 4.27x
United States of America Market PEG Ratio Median Figure of 2,008 Publicly-Listed Companies 0.91x

*Line of best fit is calculated by linear regression .

NYSE:CL PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 24.54x ÷ 4.7%

5.28x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Colgate-Palmolive is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Colgate-Palmolive's assets?
Raw Data
NYSE:CL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $0.14
NYSE:CL Share Price * NYSE (2020-04-03) in USD $67.62
United States of America Household Products Industry PB Ratio Median Figure of 12 Publicly-Listed Household Products Companies 2.54x
United States of America Market PB Ratio Median Figure of 5,142 Publicly-Listed Companies 1.22x
NYSE:CL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:CL Share Price ÷ Book Value per Share (both in USD)

= 67.62 ÷ 0.14

493.98x

* Primary Listing of Colgate-Palmolive.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Colgate-Palmolive is overvalued based on assets compared to the US Household Products industry average.
X
Value checks
We assess Colgate-Palmolive's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Household Products industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Household Products industry average (and greater than 0)? (1 check)
  5. Colgate-Palmolive has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Colgate-Palmolive expected to perform in the next 1 to 3 years based on estimates from 16 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
4.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Colgate-Palmolive expected to grow at an attractive rate?
  • Colgate-Palmolive's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Colgate-Palmolive's earnings growth is positive but not above the United States of America market average.
  • Colgate-Palmolive's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:CL Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:CL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts 4.7%
NYSE:CL Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 16 Analysts 2.1%
United States of America Household Products Industry Earnings Growth Rate Market Cap Weighted Average 12%
United States of America Household Products Industry Revenue Growth Rate Market Cap Weighted Average 2.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 12.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:CL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:CL Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31
2023-12-31 15,805 1
2022-12-31 16,840 3,493 2,707 8
2021-12-31 16,485 3,321 2,611 16
2020-12-31 16,025 3,243 2,473 16
2020-04-04
NYSE:CL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 15,693 3,133 2,367
2019-09-30 15,489 3,025 2,330
2019-06-30 15,406 3,008 2,275
2019-03-31 15,426 3,045 2,326
2018-12-31 15,544 3,056 2,400
2018-09-30 15,625 2,953 2,117
2018-06-30 15,754 3,046 2,201
2018-03-31 15,694 2,979 2,088
2017-12-31 15,454 3,054 2,024
2017-09-30 15,283 3,119 2,307
2017-06-30 15,176 3,126 2,402
2017-03-31 15,195 3,218 2,478

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Colgate-Palmolive's earnings are expected to grow by 4.7% yearly, however this is not considered high growth (20% yearly).
  • Colgate-Palmolive's revenue is expected to grow by 2.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:CL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below

All data from Colgate-Palmolive Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:CL Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31 3.21 3.41 3.01 2.00
2021-12-31 3.08 3.23 2.86 6.00
2020-12-31 2.89 3.02 2.72 6.00
2020-04-04
NYSE:CL Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 2.76
2019-09-30 2.70
2019-06-30 2.63
2019-03-31 2.68
2018-12-31 2.76
2018-09-30 2.42
2018-06-30 2.51
2018-03-31 2.37
2017-12-31 2.30
2017-09-30 2.61
2017-06-30 2.71
2017-03-31 2.79

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Colgate-Palmolive is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
X
Future performance checks
We assess Colgate-Palmolive's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Colgate-Palmolive has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Colgate-Palmolive performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Colgate-Palmolive's growth in the last year to its industry (Household Products).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Colgate-Palmolive's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Colgate-Palmolive's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Colgate-Palmolive's 1-year earnings growth is negative, it can't be compared to the US Household Products industry average.
Earnings and Revenue History
Colgate-Palmolive's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Colgate-Palmolive Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:CL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 15,693.00 2,367.00 5,616.00
2019-09-30 15,489.00 2,330.00 5,536.00
2019-06-30 15,406.00 2,275.00 5,486.00
2019-03-31 15,426.00 2,326.00 5,412.00
2018-12-31 15,544.00 2,400.00 5,434.00
2018-09-30 15,625.00 2,117.00 5,442.00
2018-06-30 15,754.00 2,201.00 5,472.00
2018-03-31 15,694.00 2,088.00 5,478.00
2017-12-31 15,454.00 2,024.00 5,412.00
2017-09-30 15,283.00 2,307.00 5,289.00
2017-06-30 15,176.00 2,402.00 5,195.00
2017-03-31 15,195.00 2,478.00 5,185.00
2016-12-31 15,195.00 2,441.00 5,172.00
2016-09-30 15,373.00 2,461.00 5,213.00
2016-06-30 15,505.00 2,485.00 5,232.00
2016-03-31 15,726.00 2,459.00 5,296.00
2015-12-31 16,034.00 2,468.00 5,400.00
2015-09-30 16,356.00 2,470.00 5,548.00
2015-06-30 16,736.00 2,286.00 5,700.00
2015-03-31 17,022.00 2,334.00 5,825.00
2014-12-31 17,277.00 2,180.00 5,920.00
2014-09-30 17,417.00 2,116.00 6,012.00
2014-06-30 17,436.00 2,230.00 6,068.00
2014-03-31 17,430.00 2,169.00 6,085.00
2013-12-31 17,420.00 2,241.00 6,086.00
2013-09-30 17,345.00 2,275.00 6,061.00
2013-06-30 17,279.00 2,273.00 6,020.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Colgate-Palmolive made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
  • Colgate-Palmolive used its assets more efficiently than the US Household Products industry average last year based on Return on Assets.
  • Colgate-Palmolive's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Colgate-Palmolive's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Household Products industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Colgate-Palmolive has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Colgate-Palmolive's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Colgate-Palmolive's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Colgate-Palmolive is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Colgate-Palmolive's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Colgate-Palmolive's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Colgate-Palmolive Company Filings, last reported 3 months ago.

NYSE:CL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 558.00 7,827.00 906.00
2019-09-30 174.00 8,151.00 1,057.00
2019-06-30 -10.00 6,645.00 929.00
2019-03-31 -210.00 6,665.00 880.00
2018-12-31 197.00 6,375.00 736.00
2018-09-30 -68.00 6,622.00 961.00
2018-06-30 -189.00 6,883.00 916.00
2018-03-31 101.00 6,726.00 906.00
2017-12-31 243.00 6,584.00 1,549.00
2017-09-30 267.00 6,529.00 1,602.00
2017-06-30 88.00 6,520.00 1,396.00
2017-03-31 -5.00 6,474.00 1,459.00
2016-12-31 17.00 6,533.00 1,339.00
2016-09-30 228.00 6,523.00 1,488.00
2016-06-30 34.00 6,572.00 1,252.00
2016-03-31 -73.00 6,580.00 1,101.00
2015-12-31 -44.00 6,548.00 1,031.00
2015-09-30 590.00 6,790.00 1,591.00
2015-06-30 757.00 6,683.00 1,308.00
2015-03-31 739.00 6,128.00 1,110.00
2014-12-31 1,385.00 6,150.00 1,290.00
2014-09-30 1,746.00 6,061.00 1,479.00
2014-06-30 2,071.00 6,063.00 1,316.00
2014-03-31 1,900.00 6,666.00 2,038.00
2013-12-31 2,536.00 5,658.00 1,136.00
2013-09-30 2,007.00 5,284.00 868.00
2013-06-30 1,804.00 5,628.00 1,060.00
  • Colgate-Palmolive's level of debt (1402.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (446.3% vs 1402.7% today).
  • Debt is well covered by operating cash flow (40%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 24.9x coverage).
X
Financial health checks
We assess Colgate-Palmolive's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Colgate-Palmolive has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Colgate-Palmolive's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.6%
Current annual income from Colgate-Palmolive dividends. Estimated to be 2.76% next year.
If you bought $2,000 of Colgate-Palmolive shares you are expected to receive $52 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Colgate-Palmolive's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (2.04%).
  • Colgate-Palmolive's dividend is below the markets top 25% of dividend payers in United States of America (5.7%).
Upcoming dividend payment

Purchase Colgate-Palmolive before the 'Ex-dividend' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:CL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
United States of America Household Products Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1941 Stocks 3.1%
United States of America Minimum Threshold Dividend Yield 10th Percentile 1.1%
United States of America Bottom 25% Dividend Yield 25th Percentile 2%
United States of America Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:CL Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31
2023-12-31 1.85 1.00
2022-12-31 1.94 9.00
2021-12-31 1.88 14.00
2020-12-31 1.81 14.00
2020-04-04
NYSE:CL Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2020-03-11 1.760 2.700
2020-01-09 1.720 2.369
2019-09-11 1.720 2.502
2019-03-14 1.720 2.415
2019-01-10 1.680 2.597
2018-09-13 1.680 2.666
2018-06-18 1.680 2.545
2018-03-07 1.680 2.531
2018-01-11 1.600 2.219
2017-09-26 1.600 2.185
2017-06-08 1.600 2.198
2017-03-09 1.600 2.170
2017-01-12 1.560 2.261
2016-09-08 1.560 2.261
2016-06-09 1.560 2.118
2016-03-10 1.560 2.207
2016-01-14 1.520 2.304
2015-09-10 1.520 2.321
2015-06-11 1.520 2.301
2015-02-19 1.520 2.212
2015-01-08 1.440 2.095
2014-09-10 1.440 2.145
2014-06-12 1.440 2.165
2014-03-13 1.440 2.178
2014-01-09 1.360 2.172
2013-09-12 1.360 2.148
2013-06-20 1.360 2.315
2013-03-07 1.360 2.301
2013-01-10 1.240 2.243
2012-10-11 1.240 2.331
2012-07-12 1.240 2.342
2012-03-08 1.240 2.508
2012-01-12 1.160 2.536
2011-10-13 1.160 2.575
2011-07-14 1.160 2.638
2011-02-24 1.160 2.792
2011-01-13 1.060 2.715
2010-10-14 1.060 2.712
2010-07-08 1.060 2.731
2010-02-04 1.060 2.584
2010-01-07 0.880 2.186
2009-10-08 0.880 2.154
2009-07-09 0.880 2.387

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Colgate-Palmolive's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
X
Income/ dividend checks
We assess Colgate-Palmolive's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Colgate-Palmolive afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Colgate-Palmolive has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Colgate-Palmolive's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Noel Wallace
COMPENSATION $10,828,665
AGE 55
TENURE AS CEO 1 years
CEO Bio

Mr. Noel R. Wallace serves as Chief Executive Officer and Director of Colgate-Palmolive Company since April 2, 2019 and has been its President since July 11, 2018. Mr. Wallace serves as Chairman of Colgate-Palmolive Company since April 1, 2020. He served as Chief Operating Officer of Colgate-Palmolive Co., since July 11, 2018 until April 2, 2019. Mr. Wallace was Chief Operating Officer of Global Innovation & Growth and Hill's Pet Nutrition at Colgate-Palmolive Company since November 12, 2016 until 2018. Mr. Wallace served as Chief Operating Officer at Colgate-Palmolive Co. from September 2016 to November 11, 2016. Mr. Wallace served as the Chief Operating Officer of Global Innovation & Growth and Hill’S Pet Nutrition at Colgate-Palmolive Co. from April 1, 2016 to September 2016. Mr. Wallace served as the President of Colgate-Latin America at Colgate-Palmolive Company since 2013 until April 1, 2016. In this position, Mr. Wallace has held responsibilities in Turkey, Russia, Poland, Mexico, South Africa, Puerto Rico and Uruguay and led Colgate-Palmolive North American unit and Global Sustainability Strategy. Mr. Wallace served as President of Colgate-Mexico and General Manager of Colgate-Mexico at Colgate-Palmolive Company since 2002. Mr. Wallace served as Vice President and General Manager for Global Toothbrush Division at Colgate-Palmolive Company. Mr. Wallace served as President of Colgate US. He began his consumer products career at Colgate-Palmolive in 1987 and has gained nearly 30 years of experience building, growing and transforming businesses. He serves on the nonprofit board of Project Sunshine and has previously served on the boards of several nonprofits, including the American Cleaning Institute, Personal Care Product Council and American Chamber of Commerce in Poland and Mexico. He was a Director of Kellogg Company since October 01, 2015 until December 29, 2018. He served as a Member of Board of Directors of The American Cleaning Institute.

CEO Compensation
  • Noel's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.
  • Noel's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Colgate-Palmolive management team in years:

1.3
Average Tenure
57
Average Age
  • The average tenure for the Colgate-Palmolive management team is less than 2 years, this suggests a new team.
Management Team

Noel Wallace

TITLE
Chairman
COMPENSATION
$11M
AGE
55
TENURE
1 yrs

Henning Jakobsen

TITLE
Chief Financial Officer
COMPENSATION
$3M
AGE
59
TENURE
1.9 yrs

Jennifer Daniels

TITLE
Chief Legal Officer & Secretary
COMPENSATION
$3M
AGE
55
TENURE
5.4 yrs

Panagiotis Tsourapas

TITLE
Group President of Latin America & Asia Pacific
COMPENSATION
$3M
AGE
54
TENURE
0.7 yrs

Prabha Parameswaran

TITLE
Group President of Global Innovation Group & Africa-Eurasia
COMPENSATION
$3M
AGE
60
TENURE
0.7 yrs

Pat Verduin

TITLE
Chief Technology Officer
AGE
60

Mike Crowe

TITLE
Chief Information Officer

John Faucher

TITLE
Chief Investor Relations Officer

Valerie Haliburton

TITLE
Vice President of Global Ethics & Compliance
TENURE
1.3 yrs

Paula Davis

TITLE
VP & Chief Communications Officer
TENURE
1.7 yrs
Board of Directors Tenure

Average tenure and age of the Colgate-Palmolive board of directors in years:

4.8
Average Tenure
60.5
Average Age
  • The tenure for the Colgate-Palmolive board of directors is about average.
Board of Directors

Noel Wallace

TITLE
Chairman
COMPENSATION
$11M
AGE
55

John Cahill

TITLE
Independent Director
COMPENSATION
$303K
AGE
62
TENURE
14.5 yrs

Helene Gayle

TITLE
Independent Director
COMPENSATION
$295K
AGE
63
TENURE
10.1 yrs

J.P. Bilbrey

TITLE
Independent Director
COMPENSATION
$295K
AGE
62
TENURE
5.1 yrs

Steve Sadove

TITLE
Lead Independent Director
COMPENSATION
$319K
AGE
67

Mike Polk

TITLE
Independent Director
COMPENSATION
$295K
AGE
58
TENURE
5.8 yrs

Lorrie Norrington

TITLE
Independent Director
COMPENSATION
$290K
AGE
59
TENURE
4.6 yrs

C. Harris

TITLE
Independent Director
COMPENSATION
$290K
AGE
63
TENURE
4.1 yrs

Lisa Edwards

TITLE
Independent Director
COMPENSATION
$236K
AGE
51
TENURE
1.1 yrs

Martina Therese Hund-Mejean

TITLE
Independent Director
AGE
59
TENURE
0.1 yrs
Who owns this company?
Recent Insider Trading
  • Colgate-Palmolive individual insiders have only sold shares in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
10. Feb 20 Sell John Kooyman Individual 06. Feb 20 06. Feb 20 -619 $76.33 $-47,247
14. Aug 19 Sell John Kooyman Individual 12. Aug 19 12. Aug 19 -714 $71.01 $-50,704
13. Aug 19 Sell John Huston Individual 12. Aug 19 12. Aug 19 -10,170 $71.05 $-722,604
08. Aug 19 Sell Prabha Parameswaran Individual 06. Aug 19 06. Aug 19 -5,000 $69.35 $-346,726
09. May 19 Sell John Huston Individual 07. May 19 07. May 19 -14,039 $71.11 $-990,998
X
Management checks
We assess Colgate-Palmolive's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Colgate-Palmolive has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Should You Buy Colgate-Palmolive Company (NYSE:CL) For Its Dividend?

Could Colgate-Palmolive Company (NYSE:CL) be an attractive dividend share to own for the long haul? Investors are often drawn to strong companies with the idea of reinvesting the dividends. On the other hand, investors have been known to buy a stock because of its yield, and then lose money if the company's dividend doesn't live up to expectations. A 2.4% yield is nothing to get excited about, but investors probably think the long payment history suggests Colgate-Palmolive has some staying power. The company also bought back stock equivalent to around 1.2% of market capitalisation this year. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … Dividend Growth Potential While dividend payments have been relatively reliable, it would also be nice if earnings per share (EPS) were growing, as this is essential to maintaining the dividend's purchasing power over the long term. … Earnings growth generally bodes well for the future value of company dividend payments.

Simply Wall St -

Have Insiders Sold Colgate-Palmolive Company (NYSE:CL) Shares Recently?

NYSE:CL Recent Insider Trading, August 12th 2019 Insider Ownership of Colgate-Palmolive Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. … Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. … An insider hasn't bought Colgate-Palmolive stock in the last three months, but there was some selling.

Simply Wall St -

Why Colgate-Palmolive Company’s (NYSE:CL) Return On Capital Employed Is Impressive

And finally, we'll look at how its current liabilities are impacting its ROCE. … The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Colgate-Palmolive: 0.38 = US$3.6b ÷ (US$13b - US$3.8b) (Based on the trailing twelve months to June 2019.) So, Colgate-Palmolive has an ROCE of 38%. … The Bottom Line On Colgate-Palmolive's ROCE Low current liabilities and high ROCE is a good combination, making Colgate-Palmolive look quite interesting.

Simply Wall St -

Colgate-Palmolive Company (NYSE:CL) Goes Ex-Dividend In 4 Days

Colgate-Palmolive's upcoming dividend is US$0.43 a share, following on from the last 12 months, when the company distributed a total of US$1.72 per share to shareholders. … Companies with consistently growing earnings per share generally make the best dividend stocks, as they usually find it easier to grow dividends per share. … Earnings per share have been growing modestly and Colgate-Palmolive paid out a bit over half of its earnings and free cash flow last year.

Simply Wall St -

Here's Why Colgate-Palmolive (NYSE:CL) Can Manage Its Debt Responsibly

NYSE:CL Historical Debt, July 3rd 2019 A Look At Colgate-Palmolive's Liabilities According to the last reported balance sheet, Colgate-Palmolive had liabilities of US$3.87b due within 12 months, and liabilities of US$9.23b due beyond 12 months. … Either way, since Colgate-Palmolive does have more debt than cash, it's worth keeping an eye on its balance sheet. … If you're interested in investing in businesses that can grow profits without the burden of debt, then check out this free list of growing businesses that have net cash on the balance sheet.

Simply Wall St -

If You Had Bought Colgate-Palmolive (NYSE:CL) Stock A Year Ago, You Could Pocket A 15% Gain Today

For example, the Colgate-Palmolive Company (NYSE:CL) share price is up 15% in the last year, clearly besting than the market return of around 1.0% (not including dividends). … When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. … A Different Perspective It's nice to see that Colgate-Palmolive shareholders have received a total shareholder return of 18% over the last year.

Simply Wall St -

Don't Sell Colgate-Palmolive Company (NYSE:CL) Before You Read This

The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Colgate-Palmolive: P/E of 26.09 = $69.97 ÷ $2.68 (Based on the trailing twelve months to March 2019.) Is A High P/E Ratio Good? … A higher P/E ratio means that investors are paying a higher price for each $1 of company earnings. … The Verdict On Colgate-Palmolive's P/E Ratio Colgate-Palmolive trades on a P/E ratio of 26.1, which is above the US market average of 17.3.

Simply Wall St -

Here's How We Evaluate Colgate-Palmolive Company's (NYSE:CL) Dividend

Could Colgate-Palmolive Company (NYSE:CL) be an attractive dividend share to own for the long haul? Investors are often drawn to strong companies with the idea of reinvesting the dividends. If you are hoping to live on your dividends, it's important to be more stringent with your investments than the average punter. Regular readers know we like to apply the same approach to each dividend stock, and we hope you'll find our analysis useful. A 2.4% yield is nothing to get excited about, but investors probably think the long payment history suggests Colgate-Palmolive has some staying power. The company also bought back stock during the year, equivalent to approximately 1.6% of the company's market capitalisation at the time. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … Dividend Growth Potential Dividend payments have been consistent over the past few years, but we should always check if earnings per share (EPS) are growing, as this will help maintain the purchasing power of the dividend. Colgate-Palmolive has grown its earnings per share at 2.2% per annum over the past five years. 2.2% per annum is not a particularly high rate of growth, which we find curious. If the company is struggling to grow, perhaps that's why it elects to pay out more than half of its earnings to shareholders. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing. … Earnings per share growth has been slow, but we respect a company that maintains a relatively stable dividend.

Simply Wall St -

A Look At The Intrinsic Value Of Colgate-Palmolive Company (NYSE:CL)

Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model? … The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period.

Simply Wall St -

How Much Of Colgate-Palmolive Company (NYSE:CL) Do Institutions Own?

A look at the shareholders of Colgate-Palmolive Company (NYSE:CL) can tell us which group is most powerful. … Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … Taking a look at our data on the ownership groups (below), it's seems that.

Simply Wall St -

Company Info

Description

Colgate-Palmolive Company, together with its subsidiaries, manufactures and sells consumer products worldwide. The company operates through two segments, Oral, Personal and Home Care; and Pet Nutrition. The Oral, Personal and Home Care segment products include toothpaste, toothbrushes, mouthwash, bar and liquid hand soaps, shower gels, shampoos, conditioners, deodorants and antiperspirants, skin health products, dishwashing detergents, fabric conditioners, household cleaners, and other similar items. This segment markets and sells its products to various retailers, wholesalers, and distributors. The Pet Nutrition segment offers pet nutrition products for everyday nutritional needs; and a range of therapeutic products to manage disease conditions in dogs and cats. This segment markets and sells its products for dogs and cats through pet supply retailers, veterinarians, and e-commerce retailers. Its principal global and regional trademarks include Colgate, Palmolive, elmex, meridol, Tom’s of Maine, Sorriso, Hello, Speed Stick, Lady Speed Stick, Softsoap, Irish Spring, Protex, Sanex, Filorga, Elta MD, PCA Skin, Ajax, Axion, Fabuloso, Soupline, and Suavitel, as well as Hill’s Science Diet and Hill’s Prescription Diet. Colgate-Palmolive Company was founded in 1806 and is headquartered in New York, New York.

Details
Name: Colgate-Palmolive Company
CL
Exchange: NYSE
Founded: 1806
$57,980,582,571
857,447,243
Website: http://www.colgatepalmolive.com
Address: Colgate-Palmolive Company
300 Park Avenue,
New York,
New York, 10022,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE CL Common Stock New York Stock Exchange US USD 02. Jan 1968
DB CPA Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
XTRA CPA Common Stock XETRA Trading Platform DE EUR 02. Jan 1968
LSE 0P59 Common Stock London Stock Exchange GB USD 02. Jan 1968
SWX CL Common Stock SIX Swiss Exchange CH CHF 02. Jan 1968
WBAG COLG Common Stock Wiener Boerse AG AT EUR 02. Jan 1968
BMV CL * Common Stock Bolsa Mexicana de Valores MX MXN 02. Jan 1968
ETLX CPA Common Stock Eurotlx IT EUR 02. Jan 1968
BOVESPA COLG34 BDR EACH REPR 1 COM USD1 Bolsa de Valores de Sao Paulo BR BRL 28. Sep 2011
BASE CL CEDEAR EACH 3 REP 1 ORD USD1 Buenos Aires Stock Exchange AR ARS 25. Nov 2002
Number of employees
Current staff
Staff numbers
34,300
Colgate-Palmolive employees.
Industry
Household Products
Household
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/04 01:08
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/04/02
Last earnings filing: 2020/02/21
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.