Colgate (CL, $61.84) Lowers Full Year Earnings Guidance, Weighed Down by Raw Material Costs and Currency Headwinds
Colgate-Palmolive reported earnings per share of 74 cents for the fourth quarter, managing to edge past analysts’ expectation of 73 cents. However, the toothpaste maker experienced a -3% year-over-year decline in adjusted net income to $638 million. The company also lowered its projection for the full year profit, citing pressures from increasing raw material costs and dollar appreciation.
Apparently compelled by higher transportation/commodity costs to hike product prices in Brazil and Argentina, Colgate suffered lower demand from these regions. Keen on boosting advertising in fiscal 2019, the company still portends challenges from currency exchange rate uncertainties and higher raw material costs – headwinds that the firm expects would drag down earnings per share by a mid-single-digit for the year. This revelation is all the more a (negative) surprise due to analysts’ prior estimate of a 2.4 percent increase in earnings per share for the year (based on IBES data from Refinitiv).
Colgate reported net sales of $3.81 billion for the fourth quarter, which is -2.1% lower from the year-ago period. But it still beat estimates of $3.77 billion, (according to Refinitiv's IBES).
The company, which accounts 42% of the global toothpaste market, expects its net sales growth for 2019 to be flat to up low-single digits, compared with analysts’ estimate of a 0.1% decline.
CL in upward trend: price rose above 50-day moving average on June 09, 2026
CL moved above its 50-day moving average on June 09, 2026 date and that indicates a change from a downward trend to an upward trend. In of 39 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 15, 2026. You may want to consider a long position or call options on CL as a result. In of 69 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for CL just turned positive on June 15, 2026. Looking at past instances where CL's MACD turned positive, the stock continued to rise in of 44 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CL advanced for three days, in of 314 cases, the price rose further within the following month. The odds of a continued upward trend are .
CL may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 268 cases where CL Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for CL moved out of overbought territory on May 29, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 38 similar instances where the indicator moved out of overbought territory. In of the 38 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CL declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. CL’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 93, placing this stock slightly better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: CL's P/B Ratio (500.000) is very high in comparison to the industry average of (27.029). P/E Ratio (34.368) is within average values for comparable stocks, (56.263). Projected Growth (PEG Ratio) (1.584) is also within normal values, averaging (2.781). Dividend Yield (0.024) settles around the average of (0.036) among similar stocks. P/S Ratio (3.448) is also within normal values, averaging (2.268).
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General Information
a maker of oral, personal, and household products
Industry HouseholdPersonalCare
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