Zacks Investment Research upgraded shares of Colgate-Palmolive Co. (NYSE:CL) from a hold rating to a buy rating in a research note released on Monday morning. The firm currently has $83.00 target price on the stock.
According to Zacks, “Colgate is in good shape given its continued focus on product innovation, along with globally recognized brands and presence in both developed and emerging economies, which enables it to capture growth opportunities and boost profitability. Further, the company’s international brand recognition and innovative strategies underscore its inherent strength. The company’s cost savings programs are also delivering impressive results as evident from improving operating margins. In 2016, the company anticipates to deliver robust organic sales growth backed by new products across categories and geographical regions, which should translate into double-digits organic earnings per share growth. However, the company expects macroeconomic headwinds and currency woes to linger in 2016. Also, stiff competition remains a threat. Estimates have been largely stable ahead of the company’s third-quarter earnings release.”
Several other equities research analysts have also recently commented on the company. Bank of America Corp. raised Colgate-Palmolive from a neutral rating to a buy rating and increased their price objective for the company from $70.86 to $80.00 in a research report on Monday, September 12th. KeyCorp began coverage on Colgate-Palmolive in a research report on Thursday, September 8th. They set a sector weight rating on the stock. B. Riley reaffirmed a neutral rating and set a $71.00 price objective on shares of Colgate-Palmolive in a research report on Wednesday, August 3rd. JPMorgan Chase & Co. reaffirmed a hold rating and set a $75.00 price objective on shares of Colgate-Palmolive in a research report on Friday, July 29th. Finally, Exane BNP Paribas cut Colgate-Palmolive from an outperform rating to a neutral rating in a research report on Friday, July 29th. Fourteen equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. Colgate-Palmolive presently has a consensus rating of Hold and an average price target of $74.68.
Shares of Colgate-Palmolive (NYSE:CL) opened at 73.28 on Monday. Colgate-Palmolive has a 12 month low of $61.40 and a 12 month high of $75.38. The company has a market capitalization of $65.33 billion, a PE ratio of 47.19 and a beta of 0.63. The stock’s 50 day moving average price is $73.50 and its 200 day moving average price is $72.45.
Colgate-Palmolive (NYSE:CL) last issued its quarterly earnings results on Thursday, July 28th. The company reported $0.70 earnings per share for the quarter, beating the consensus estimate of $0.69 by $0.01. Colgate-Palmolive had a return on equity of 1,980.28% and a net margin of 9.04%. The firm earned $3.85 billion during the quarter, compared to the consensus estimate of $3.86 billion. During the same period last year, the company earned $0.70 earnings per share. The company’s revenue was down 5.4% on a year-over-year basis. On average, analysts forecast that Colgate-Palmolive will post $2.79 EPS for the current year.
The firm also recently announced a quarterly dividend, which will be paid on Tuesday, November 15th. Investors of record on Monday, October 24th will be paid a dividend of $0.39 per share. This represents a $1.56 annualized dividend and a yield of 2.13%. The ex-dividend date is Thursday, October 20th. Colgate-Palmolive’s dividend payout ratio (DPR) is presently 100.65%.
In other Colgate-Palmolive news, CTO Patricia Verduin sold 3,666 shares of Colgate-Palmolive stock in a transaction that occurred on Friday, July 15th. The stock was sold at an average price of $74.98, for a total value of $274,876.68. Following the sale, the chief technology officer now owns 54,602 shares of the company’s stock, valued at approximately $4,094,057.96. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, COO Noel R. Wallace sold 78,849 shares of Colgate-Palmolive stock in a transaction that occurred on Tuesday, August 2nd. The stock was sold at an average price of $74.69, for a total value of $5,889,231.81. Following the completion of the sale, the chief operating officer now directly owns 236,295 shares in the company, valued at approximately $17,648,873.55. The disclosure for this sale can be found here. Corporate insiders own 1.05% of the company’s stock.
Hedge funds have recently added to or reduced their stakes in the company. Krilogy Financial LLC increased its stake in Colgate-Palmolive by 3.2% in the second quarter. Krilogy Financial LLC now owns 1,504 shares of the company’s stock worth $110,000 after buying an additional 46 shares during the last quarter. Tompkins Financial Corp increased its stake in Colgate-Palmolive by 121.1% in the second quarter. Tompkins Financial Corp now owns 1,698 shares of the company’s stock worth $124,000 after buying an additional 930 shares during the last quarter. Arcadia Investment Management Corp MI increased its stake in Colgate-Palmolive by 28.6% in the second quarter. Arcadia Investment Management Corp MI now owns 1,800 shares of the company’s stock worth $132,000 after buying an additional 400 shares during the last quarter. FCM Investments TX purchased a new stake in Colgate-Palmolive during the second quarter worth about $132,000. Finally, Orrstown Financial Services Inc. increased its stake in Colgate-Palmolive by 26.7% in the second quarter. Orrstown Financial Services Inc. now owns 2,280 shares of the company’s stock worth $167,000 after buying an additional 480 shares during the last quarter. 72.97% of the stock is currently owned by institutional investors and hedge funds.
Colgate-Palmolive Company (Colgate) is a consumer products company, whose products are marketed in over 200 countries and territories throughout the world. The Company’s segments include Oral, Personal and Home Care, and Pet Nutrition. The Oral, Personal and Home Care product segment is operated through over five geographic segments, which include North America, Latin America, Europe/South Pacific, Asia and Africa/Eurasia.