Colgate-Palmolive stock holds Buy rating at UBS amid mixed sentiment

Published 04/08/2025, 15:26
Colgate-Palmolive stock holds Buy rating at UBS amid mixed sentiment

Investing.com - UBS maintained its Buy rating and $106.00 price target on Colgate-Palmolive Company (NYSE:CL) on Monday, despite investor sentiment becoming more mixed compared to previous quarters. According to InvestingPro data, the stock is currently trading near its 52-week low of $82.70, with analysis suggesting slight undervaluation at current levels.

The consumer goods giant reported organic sales growth and earnings per share that exceeded both UBS and Street expectations for the quarter, according to the investment bank’s analysis. InvestingPro data shows the company maintains impressive gross profit margins of 60.6%, though 6 analysts have recently revised their earnings expectations downward.

Colgate-Palmolive now expects organic sales growth in the lower range of its previously stated 2-4% guidance, citing impacts from costs and tariffs that were finalized on July 31. The company maintained its forecast for low-single-digit EPS growth for the year.

UBS noted that while investors might focus on organic growth trending toward the lower end of guidance, the firm views this adjustment as "prudent given the external volatility" in the market environment.

Colgate-Palmolive shares were indicating a modest 0.4% increase in pre-market trading following the earnings report, after having underperformed the market heading into the announcement.

In other recent news, Colgate-Palmolive Company reported its second-quarter earnings for 2025, surpassing analyst expectations. The company achieved an earnings per share (EPS) of $0.92, slightly above the forecasted $0.90. Additionally, Colgate-Palmolive exceeded revenue forecasts by reaching $5.11 billion, compared to the anticipated $5.03 billion. These results highlight the company’s strong financial performance for the quarter. Despite the positive earnings and revenue outcomes, the stock experienced a decline in pre-market trading. Such movements reflect mixed investor sentiment. These developments indicate the ongoing interest in Colgate-Palmolive’s financial health and market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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