Colgate-Palmolive Company (CL)

FairStock Score: 51/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I see Colgate-Palmolive as a durable consumer-staples business: daily-use oral, personal, home care and pet nutrition products, sold internationally, with a FairStock beta of 0.32. The moat rests on repeated-purchase staples and everyday-use categories rather than on rapid growth. Sales are respectable: in fiscal Q2 2026 (quarter ended 2026-06-30), revenue was $5.4B versus $5.1B in fiscal Q2 2025; FY2025 revenue was $20.4B versus $20.1B in FY2024. But the profit record is the problem. FY2025 net income was $2.1B versus $2.9B in FY2024, and fiscal Q2 2026 net income was $693.0M versus $743.0M in fiscal Q2 2025. FairStock's Lynch category is slow grower — shrinking, with profit down 4.6% a year over five years, and profit growth of -6.73%. Cash generation remains solid: TTM FCF $3.9B and FCF yield 5.2%. Financial health looks sound on FairStock's measures: D/E 13.88, Piotroski 8/9, Altman Z 5.56, ROCE 15.84%. FairStock's ROE of 267.37% looks spectacular but pairs with P/B 310.33, so it is not a clean margin-of-safety signal. The valuation is my concern. At the 2026-10-26 close of $93.10, FairStock shows P/E 36.65, EV/EBITDA 21.22, and Graham Number $4.14, leaving a -2171.50% margin of safety. The 2.42% dividend and low beta are supportive, but a 51/100 FairStock score fits a good business priced for better profit momentum than it has recently delivered. I would want evidence of profit stabilization before calling this a Graham-style bargain.

In plain English: Colgate-Palmolive makes everyday personal care, household, oral care and pet nutrition products. Its sales are inching up, but profits have weakened, and the shares look expensive compared with the earnings and accounting value shown here. It is a steady, low-risk business, but the price does not look like a bargain.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer