Colgate-Palmolive Co. (CL) Stock Rating Lowered by Zacks Investment Research
Colgate-Palmolive Co. (NYSE:CL) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Tuesday.
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 also recently weighed in on the company. Bank of America Corp. upgraded Colgate-Palmolive from a “neutral” rating to a “buy” rating and upped their price target for the stock from $70.86 to $80.00 in a report on Monday, September 12th. KeyCorp assumed coverage on Colgate-Palmolive in a report on Thursday, September 8th. They set a “sector weight” rating on the stock. B. Riley restated a “neutral” rating and set a $71.00 price target on shares of Colgate-Palmolive in a report on Wednesday, August 3rd. JPMorgan Chase & Co. restated a “hold” rating and set a $75.00 price target on shares of Colgate-Palmolive in a report on Friday, July 29th. Finally, Exane BNP Paribas downgraded Colgate-Palmolive from an “outperform” rating to a “neutral” rating in a report on Friday, July 29th. Fifteen analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. Colgate-Palmolive currently has a consensus rating of “Hold” and an average target price of $74.46.
Colgate-Palmolive (NYSE:CL) opened at 73.00 on Tuesday. The company’s 50-day moving average price is $73.90 and its 200 day moving average price is $72.09. The stock has a market capitalization of $65.08 billion, a PE ratio of 47.01 and a beta of 0.59. Colgate-Palmolive has a 12 month low of $61.40 and a 12 month high of $75.38.
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, topping the Thomson Reuters’ 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 company had revenue of $3.85 billion for the quarter, compared to the consensus estimate of $3.86 billion. During the same quarter in the prior year, the business earned $0.70 EPS. Colgate-Palmolive’s revenue was down 5.4% on a year-over-year basis. On average, analysts forecast that Colgate-Palmolive will post $2.79 earnings per share for the current fiscal year.
The firm also recently announced a quarterly dividend, which will be paid on Tuesday, November 15th. Stockholders of record on Monday, October 24th will be paid a dividend of $0.39 per share. This represents a $1.56 dividend on an annualized basis and a dividend yield of 2.14%. The ex-dividend date is Thursday, October 20th. Colgate-Palmolive’s dividend payout ratio (DPR) is 100.65%.
In other news, insider Patricia Verduin sold 3,834 shares of the stock in a transaction that occurred on Thursday, September 15th. The stock was sold at an average price of $71.85, for a total transaction of $275,472.90. Following the completion of the transaction, the insider now directly owns 55,013 shares of the company’s stock, valued at approximately $3,952,684.05. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Stephen I. Sadove sold 8,803 shares of the stock in a transaction that occurred on Monday, August 8th. The stock was sold at an average price of $74.28, for a total value of $653,886.84. Following the transaction, the director now directly owns 26,474 shares of the company’s stock, valued at $1,966,488.72. The disclosure for this sale can be found here. Insiders own 1.05% of the company’s stock.
Several institutional investors have recently modified their holdings of CL. Charter Trust Co. increased its position in Colgate-Palmolive by 0.6% in the first quarter. Charter Trust Co. now owns 371,045 shares of the company’s stock valued at $26,215,000 after buying an additional 2,126 shares during the last quarter. LGT Capital Partners LTD. increased its position in Colgate-Palmolive by 15.2% in the first quarter. LGT Capital Partners LTD. now owns 279,360 shares of the company’s stock valued at $19,737,000 after buying an additional 36,850 shares during the last quarter. CENTRAL TRUST Co purchased a new position in Colgate-Palmolive during the first quarter valued at $1,899,000. Fjarde AP Fonden Fourth Swedish National Pension Fund increased its position in Colgate-Palmolive by 13.4% in the first quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 184,765 shares of the company’s stock valued at $13,054,000 after buying an additional 21,889 shares during the last quarter. Finally, Capstone Asset Management Co. increased its position in Colgate-Palmolive by 9.2% in the first quarter. Capstone Asset Management Co. now owns 135,169 shares of the company’s stock valued at $9,550,000 after buying an additional 11,410 shares during the last quarter. 72.97% of the stock is owned by institutional investors and hedge funds.
Colgate-Palmolive Company Profile
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.
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