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Colgate-Palmolive Company
🇺🇸 CL · NYSE/NASDAQ · US1941621039
Consumer
Scores
Key Metrics
Powered by EODHDP/E (TTM)
35.8
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Net Debt/EBITDA (TTM)
1.7x
Latest quarter: 5.6x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
Latest quarter (2026-06-30): 5.6x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
ROE
2.7%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
20.6x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Dividend Summary
Powered by EODHDDividend Yield (Fwd)
2.37%
TTM: 2.30%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Forward Yield (estimated): 2.37%
Trailing Yield (TTM, last 12 months): 2.30%
Payout Ratio (Fwd)
55.0% TTM
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Dividend History
EODHD Dividends API| Status | Type | Decl. Date | Ex-Div Date | Pay Date | Currency | Amount |
|---|---|---|---|---|---|---|
| Forecast* | Quarterly | — | 20 Jul 2027 | — | USD | 0.53 |
| Forecast* | Quarterly | — | 20 Apr 2027 | — | USD | 0.53 |
| Forecast* | Quarterly | — | 21 Jan 2027 | — | USD | 0.52 |
| Forecast* | Quarterly | — | 17 Oct 2026 | — | USD | 0.52 |
| Paid | Quarterly | 11 Jun 2026 | 20 Jul 2026 | 14 Aug 2026 | USD | 0.53 |
| Paid | Quarterly | 12 Mar 2026 | 20 Apr 2026 | 15 May 2026 | USD | 0.53 |
| Paid | Quarterly | 10 Dec 2025 | 21 Jan 2026 | 13 Feb 2026 | USD | 0.52 |
| Paid | Quarterly | 11 Sep 2025 | 17 Oct 2025 | 14 Nov 2025 | USD | 0.52 |
* Extrapolated from past dividend history. Not an official announcement — treat as an estimate, not a confirmed date or amount.
Summary
Colgate-Palmolive maintains an exceptionally durable moat with robust free cash flows that easily cover its dividend. However, at a TTM P/E over 35x, the valuation is stretched far beyond our preferred strategy range. Existing holders should maintain, but the stock is currently not recommended for new positions.
Sector Context
Colgate-Palmolive operates in the defensive Consumer Staples sector. Within a DGI strategy, it is valued for steady cash-flow compounding and brand moat, though its legacy structural liabilities require monitoring.
Temporary Opportunity Identified
A $794 million non-cash impairment charge on the skin health business (Filorga) temporarily depressed TTM earnings and skewed the TTM P/E upward, masking base business EPS growth of 4%.
📊 Strategy Analysis
- • Durable global market share translating to a highly secure Cash Flow Payout Ratio of 40.89%.
- • Free Cash Flow covers the dividend 2.12x, ensuring long-term payout sustainability.
- • Core business remains resilient with 5.8% net sales growth, despite challenges in the skin health division.
- • Solid balance sheet with a Net Debt/EBITDA of 1.69x, well within conservative limits.
⚠ What to Watch
- • Valuation multiples are severely stretched with a TTM P/E of 35.82x and a Forward P/E of 23.47x, well above the preferred 8-15x DGI target range.
- • The TTM dividend yield of 2.30% remains below the typical income-focused threshold.
- • Significant exposure to long-term structural liabilities, including legacy asbestos-talc litigation and evolving global environmental packaging mandates (EPR).
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-08-22
Disclaimer: This information is for educational purposes only. Not financial advice.