The Colgate-Palmolive Company (NYSE:CL) bulls won the day, but the reality is that the 0.64 points or 0.98 percent advance gave very little definitive technical indication of where the stock could be headed next. On 08 February, the shares traded at $65.69 with a light trade volume of 3.038 million shares. After opening the session at $64.92, the shares went as high as $65.69 and as low as $64.75, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $57.1 billion and now has 868.8 million shares outstanding. Colgate-Palmolive Company (CL) stock has gained 7.16 percent of market value in 21 trading days.
CL stock has a trailing 3-year beta of 0.77, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $2.84 a share in the trailing twelve months. The stock’s value has surged 10.37 percent year to date (YTD) against a decline of -6.38 percent in 12 month’s time. The company’s shares still trade -9.53 percent away from its 1-year high of $72.61 and 14.42 percent up from 52-week low of $57.41. The average consensus rating on the company is 2.7, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.
Colgate-Palmolive Company (CL) will probably climb -3.21 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $73 price as 12-month high target. This represents a whopping 11.13 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $62, which represents a return potential of -5.62 percent when compared to the closing price of the stock of $65.69 on Friday, February 08. The lowest price target for the stock is $51 — slightly more than -22.36 percent from CL’s current share price.
History has shown that shares in Colgate-Palmolive Company have gone down on 25 different earnings reaction days and are predicted to add 0.02 percent when the company reports upcoming earnings. Investors will get their next glimpse of CL’s Q1 earnings on April 26. Analysts are forecasting revenue to suffer decline of -3.5 percent to $3.86B in the fiscal first quarter, while earnings are seen soaring by nearly -10.81 percent to $0.66 per share. It earned $0.74 per share, better than the $0.73, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $3.81B, better than the $3.77B analysts expected. Earnings are estimated to increase by -4.7 percent this year, 6.82 percent next year and continue to increase by 4.35 percent annually for the next 5 years.
Let’s take a look at some insider activity at Colgate-Palmolive Company (NYSE:CL) and see the pattern. The earliest insider trade took place on 01/31/2019. Cahill John T parted with a total of 5.78 thousand shares of company at average share price of $64.46. The total for the sales was set at $372.58 thousand. After this transaction, the Director account balance stood at 42.67 thousand shares. The stock grew 1.91 percent since that insider sale. On 09/11/2018, Shotts Philip G., Vice President and Controller, sold 0.46 thousand shares at a price per share of $67.05. This removed 30.98 thousand shares from the insider’s fortune and the stock saw a -2.03 percent retreat in value since the news became public. This transaction left 89.27 thousand shares in the Vice President and Controller account.
On 09/11/2018, CFO Jakobsen Henning I performed a sale transaction worth $68.06 thousand. This sale at $67.05 each has eliminated 1.02 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -2.03 percent decrease since the transaction was reported. The insider now is left with 42.38 thousand shares remaining in the account. Hickey Dennis J, who performs the Vice Chairman job, sold 120 thousand shares for $7.89 million. The disposal occurred on 08/14/2018 was priced at $65.72 per share. The share price plunged -0.05 percent since the reporting date. Hickey Dennis J now left with a stake of 480.18 thousand CL stock worth $31.54 million after the insider selling.
The stock is currently hovering around the first support level of $65.06. Below this, the next support is placed in the zone of $64.44. Till the time, the CL stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 66.07 on daily chart, which may remain a cause for concern. If the price breaks below $64.44 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $66 mark may result into a pull-back move towards $66.32 level.
Shares of Colgate-Palmolive Company (CL) are trading at a P/E ratio of 23.13 times earnings reported for the past 12 months. The industry CL operates in has an average P/E of 75.56. Its P/E ratio went as low as 20.95X and as high as 43.79 over the 5-year span.Further, it is sporting a 3.67 on the Price-to-Sales ratio. Compare this with the industry average P/S of 8.5. 59.5 percent is the gross profit margin for Colgate-Palmolive Company and operating margin sits at 24.4 percent. Along with this, the net profit margin is 14.2 percent.