Colgate-Palmolive Company

(New York Stock Exchange)
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Bullish +62

Colgate-Palmolive stock gains on fresh dividend and steady valuation

AI-generated analysis

πŸ“ˆ Colgate-Palmolive declared a quarterly cash dividend of $0.53 per share on September 17, 2026, supporting a forward yield of 2.42 percent.

πŸ’° The company has maintained an uninterrupted history of dividend payments since 1895, appealing to income-focused investors.

πŸ“Š GuruFocus estimates the stock's fair value at $95.34, suggesting shares trading near $87.73 are roughly 8 percent undervalued.

πŸ“‰ The trailing P/E ratio of 34.7 times is slightly above the five-year median of 31.58 times, indicating a modest valuation premium.

πŸ“… Shareholders of record on October 20, 2026, will receive the dividend payment on November 13, 2026.

πŸ“ˆ The payout ratio is approximately 55 percent, with annual dividend growth averaging 3.5 percent over the last three years.

Bullish Signals
  • Colgate-Palmolive declared a quarterly cash dividend of $0.53 per share, establishing a forward yield of 2.42 percent based on the current trading price.
  • The company boasts an uninterrupted dividend payment history dating back to 1895, reinforcing its reliability as a consumer staples stock.
  • Analyst estimates suggest the stock is trading approximately 8 percent below its calculated fair value of $95.34 per share.
  • Colgate-Palmolive has demonstrated consistent dividend growth, averaging 3.5 percent annually over the past three years.
Risk Factors
  • The stock trades at a trailing P/E ratio of 34.7 times, which is slightly higher than its five-year median of 31.58 times, indicating a modest valuation premium.
Full Analysis
Colgate-Palmolive shares recently gained value supported by a newly declared quarterly dividend of $0.53 per share, announced on September 17, 2026. This payout establishes a forward dividend yield of 2.42 percent based on the stock's trading price near $87.73. The company maintains an impressive track record of uninterrupted dividend payments dating back to 1895, reinforcing its status as a reliable income generator within the consumer staples sector. Analyst data from GuruFocus indicates that Colgate-Palmolive is currently trading at approximately 8 percent below its estimated fair value of $95.34 per share. While the trailing price-to-earnings ratio stands at 34.7 times, which is slightly elevated compared to the company's five-year median of 31.58 times, the undervaluation relative to the GF Value metric suggests a modest buying opportunity for investors. The declared dividend will be payable on November 13, 2026, to shareholders of record as of October 20, 2026. The payout ratio is estimated at about 55 percent, and the company has demonstrated consistent annual dividend growth averaging 3.5 percent over the past three years, signaling continued commitment to returning cash to shareholders.