Colgate-Palmolive (NYSE:CL) Releases Quarterly Earnings Results, Beats Expectations By $0.04 EPS

Colgate-Palmolive (NYSE:CL) issued its earnings results on Friday. The company reported $0.97 earnings per share for the quarter, topping the consensus estimate of $0.93 by $0.04, Zacks reports. The business had revenue of $5.37 billion for the quarter, compared to analysts’ expectations of $5.34 billion. Colgate-Palmolive had a return on equity of 464.63% and a net margin of 9.68%. The business’s revenue for the quarter was up 4.6% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.91 EPS.

Here are the key takeaways from Colgate-Palmolive’s conference call:

• Broad-based growth continued: Colgate-Palmolive reported organic sales growth across all four categories and four of five divisions, with emerging markets, Europe, and Hill’s contributing strongly. Free cash flow rose 7%, and the company returned $2.2 billion to shareholders year to date.
• Profitability outperformed despite inflation. Productivity programs, pricing, premium innovation, and manufacturing leverage more than offset roughly 300 basis points of material-cost pressure, prompting the company to raise its full-year gross-margin outlook.
• Hill’s delivered an especially strong quarter, with organic sales up 6.5% excluding private label and notable gains in therapeutic, cat, and wet-food segments. The company is also gradually rolling out its Fresh product line, targeting longer-term growth.
• Cost and macroeconomic pressures remain elevated. Management expects commodity inflation to peak in the fourth quarter, with logistics costs also high and foreign exchange moving unfavorably; these pressures could be a headwind into 2027, when no guidance has yet been provided.
• The U.S. turnaround remains a work in progress. Toothpaste market share showed early improvement, but category demand remains sluggish, and the company plans to rely on increased premium innovation, targeted advertising, AI-enabled marketing, and channel restructuring to drive a broader recovery in 2027.

Colgate-Palmolive Trading Up 2.4%

Shares of CL opened at $95.35 on Friday. Colgate-Palmolive has a fifty-two week low of $74.54 and a fifty-two week high of $99.33. The company has a market capitalization of $76.01 billion, a PE ratio of 37.39, a price-to-earnings-growth ratio of 4.61 and a beta of 0.33. The company has a debt-to-equity ratio of 13.82, a quick ratio of 0.67 and a current ratio of 1.03. The stock has a fifty day moving average of $89.54 and a two-hundred day moving average of $89.65.

Colgate-Palmolive Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Tuesday, October 20th will be given a $0.53 dividend. The ex-dividend date is Tuesday, October 20th. This represents a $2.12 annualized dividend and a dividend yield of 2.2%. Colgate-Palmolive’s payout ratio is currently 84.13%.

Insider Activity at Colgate-Palmolive

In related news, COO Panagiotis Tsourapas sold 10,000 shares of the firm’s stock in a transaction on Monday, August 24th. The shares were sold at an average price of $92.05, for a total transaction of $920,500.00. Following the sale, the chief operating officer directly owned 64,901 shares in the company, valued at $5,974,137.05. This trade represents a 13.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Noel R. Wallace sold 161,021 shares of the business’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $91.92, for a total value of $14,801,050.32. Following the sale, the chief executive officer owned 362,231 shares of the company’s stock, valued at approximately $33,296,273.52. This represents a 30.77% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 175,191 shares of company stock worth $16,110,903 in the last 90 days. 0.43% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several research analysts have recently weighed in on CL shares. Raymond James Financial upped their target price on shares of Colgate-Palmolive from $100.00 to $102.00 and gave the company an “outperform” rating in a research note on Monday, August 3rd. Weiss Ratings lowered Colgate-Palmolive from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, October 2nd. Citigroup lifted their target price on Colgate-Palmolive from $105.00 to $110.00 and gave the stock a “buy” rating in a research note on Tuesday, July 14th. Royal Bank Of Canada reiterated an “outperform” rating and set a $104.00 price objective on shares of Colgate-Palmolive in a research note on Tuesday, September 8th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and set a $101.00 target price (up from $99.00) on shares of Colgate-Palmolive in a research report on Monday, August 3rd. Thirteen analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $98.56.

Trending Headlines about Colgate-Palmolive

Here are the key news stories impacting Colgate-Palmolive this week:

• Positive Sentiment: Third-quarter adjusted earnings were $0.97 per share, above the roughly $0.92–$0.93 analyst consensus and up from $0.91 a year earlier. Revenue increased 4.6% year over year to $5.37 billion, also exceeding expectations. Colgate-Palmolive Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: Organic sales growth, pricing, higher volumes and productivity initiatives supported the quarterly beat. Management raised its 2026 base-business EPS and gross-margin outlook, signaling better profitability despite cost pressures. Colgate Q3 Earnings Beat Estimates on Organic Sales and Pricing Gains
• Positive Sentiment: The company maintained its fiscal 2026 EPS outlook while improving its base-business profitability forecast. The stronger guidance likely explains the favorable investor reaction and elevated trading activity. Colgate-Palmolive Raises FY26 Base-Business EPS View
• Neutral Sentiment: Management narrowed its full-year sales-growth outlook, suggesting that pricing and productivity—not broad-based demand—remain important drivers of performance. Colgate-Palmolive Raises Profit Outlook Despite Weak US Demand
• Negative Sentiment: Weak U.S. demand and rising input costs remain risks. The earnings beat was strong, but investors may question how sustainable margin gains will be if consumer demand softens or cost inflation accelerates. Colgate-Palmolive Q3 Analysis

About Colgate-Palmolive

Colgate-Palmolive Company (NYSE: CL) is a global consumer products company focused on oral care, personal care, home care and pet nutrition. Its portfolio includes toothpaste, toothbrushes, mouthwash, liquid hand soap, body wash, deodorants, household cleaning products and pet food and treats.

The company markets well-known brands such as Colgate, Palmolive, elmex, meridol, Softsoap, Irish Spring, Ajax, Protex and Hill’s Science Diet. Colgate-Palmolive also provides veterinary and nutritional products through Hill’s Pet Nutrition, which serves pet owners and animal health professionals.

Founded in 1806 by William Colgate, the company developed from a soap and candle business into a diversified consumer goods manufacturer.