Colgate-Palmolive (NYSE:CL) Hits New 12-Month High on Better-Than-Expected Earnings

Colgate-Palmolive (NYSE:CL)’s share price hit a new 52-week high on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $92.25 and last traded at $90.36, with a volume of 1518931 shares. The stock had previously closed at $89.29.

The company reported $0.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.82 by $0.04. The company had revenue of $5.07 billion for the quarter, compared to analysts’ expectations of $4.96 billion. Colgate-Palmolive had a return on equity of 509.75% and a net margin of 11.82%. The firm’s revenue was up 6.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.73 earnings per share.

Colgate-Palmolive Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, May 15th. Shareholders of record on Monday, April 22nd will be paid a dividend of $0.50 per share. This is an increase from Colgate-Palmolive’s previous quarterly dividend of $0.48. This represents a $2.00 annualized dividend and a yield of 2.22%. The ex-dividend date is Friday, April 19th. Colgate-Palmolive’s payout ratio is 71.94%.

Analyst Ratings Changes

Several research firms have recently commented on CL. Evercore ISI boosted their price target on shares of Colgate-Palmolive from $90.00 to $96.00 and gave the company an “outperform” rating in a report on Monday, April 8th. Morgan Stanley boosted their price target on shares of Colgate-Palmolive from $85.00 to $93.00 and gave the company an “overweight” rating in a report on Monday, January 29th. Raymond James upgraded shares of Colgate-Palmolive from a “market perform” rating to an “outperform” rating and set a $91.00 price target on the stock in a report on Monday, January 29th. JPMorgan Chase & Co. upped their price objective on shares of Colgate-Palmolive from $88.00 to $90.00 and gave the stock an “overweight” rating in a report on Thursday, January 18th. Finally, Wells Fargo & Company upped their price objective on shares of Colgate-Palmolive from $80.00 to $88.00 and gave the stock an “equal weight” rating in a report on Monday, January 29th. Three equities research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $89.50.

Insider Activity

In other news, CEO Noel R. Wallace sold 50,000 shares of Colgate-Palmolive stock in a transaction dated Monday, February 12th. The shares were sold at an average price of $83.15, for a total value of $4,157,500.00. Following the completion of the transaction, the chief executive officer now owns 274,179 shares of the company’s stock, valued at approximately $22,797,983.85. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, CEO Noel R. Wallace sold 29,772 shares of the business’s stock in a transaction on Friday, February 16th. The stock was sold at an average price of $84.06, for a total value of $2,502,634.32. Following the completion of the sale, the chief executive officer now directly owns 301,343 shares in the company, valued at approximately $25,330,892.58. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Noel R. Wallace sold 50,000 shares of Colgate-Palmolive stock in a transaction on Monday, February 12th. The stock was sold at an average price of $83.15, for a total value of $4,157,500.00. Following the sale, the chief executive officer now directly owns 274,179 shares of the company’s stock, valued at approximately $22,797,983.85. The disclosure for this sale can be found here. Insiders sold a total of 232,371 shares of company stock valued at $19,505,099 in the last quarter. Company insiders own 0.34% of the company’s stock.

Hedge Funds Weigh In On Colgate-Palmolive

Several institutional investors and hedge funds have recently modified their holdings of the business. DAVENPORT & Co LLC grew its stake in Colgate-Palmolive by 0.4% during the third quarter. DAVENPORT & Co LLC now owns 43,553 shares of the company’s stock worth $3,097,000 after buying an additional 163 shares in the last quarter. Czech National Bank grew its stake in Colgate-Palmolive by 47.1% during the third quarter. Czech National Bank now owns 144,489 shares of the company’s stock worth $10,275,000 after buying an additional 46,284 shares in the last quarter. Asset Management One Co. Ltd. lifted its holdings in shares of Colgate-Palmolive by 1.4% in the third quarter. Asset Management One Co. Ltd. now owns 413,412 shares of the company’s stock worth $29,398,000 after acquiring an additional 5,552 shares during the last quarter. Handelsbanken Fonder AB lifted its holdings in shares of Colgate-Palmolive by 0.8% in the third quarter. Handelsbanken Fonder AB now owns 409,338 shares of the company’s stock worth $29,108,000 after acquiring an additional 3,233 shares during the last quarter. Finally, Patriot Financial Group Insurance Agency LLC lifted its holdings in shares of Colgate-Palmolive by 12.2% in the third quarter. Patriot Financial Group Insurance Agency LLC now owns 3,034 shares of the company’s stock worth $216,000 after acquiring an additional 329 shares during the last quarter. 80.41% of the stock is currently owned by institutional investors and hedge funds.

Colgate-Palmolive Price Performance

The stock has a market cap of $74.12 billion, a P/E ratio of 32.59, a PEG ratio of 3.34 and a beta of 0.42. The company has a debt-to-equity ratio of 8.59, a current ratio of 1.11 and a quick ratio of 0.71. The business’s fifty day moving average price is $87.51 and its 200 day moving average price is $81.30.

About Colgate-Palmolive

Colgate-Palmolive Company, together with its subsidiaries, manufactures and sells consumer products in the United States and internationally. It operates through two segments: Oral, Personal and Home Care; and Pet Nutrition. The Oral, Personal and Home Care segment offers 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 related items.