Colgate-Palmolive CoFind Ratings Reports
COLGATE-PALMOLIVE CO's gross profit margin for the third quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its industry. COLGATE-PALMOLIVE CO has weak liquidity. Currently, the Quick Ratio is 0.65 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
At the same time, stockholders' equity ("net worth") has significantly decreased by 152.15% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
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|Income Statement||Q3 FY16||Q3 FY15|
|Net Sales ($mil)||3867.0||3999.0|
|Net Income ($mil)||702.0||726.0|
|Balance Sheet||Q3 FY16||Q3 FY15|
|Cash & Equiv. ($mil)||1486.0||1591.0|
|Total Assets ($mil)||12623.0||13563.0|
|Total Debt ($mil)||6523.0||6790.0|
|Profitability||Q3 FY16||Q3 FY15|
|Gross Profit Margin||63.33||61.57|
|Return on Assets||10.9||18.21|
|Return on Equity||0.0||968.62|
|Debt||Q3 FY16||Q3 FY15|
|Share Data||Q3 FY16||Q3 FY15|
|Shares outstanding (mil)||888.84||896.92|
|Div / share||0.39||0.38|
|Book value / share||-0.15||0.28|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||3439065.0||2802849.0|
HOLD. COLGATE-PALMOLIVE CO's P/E ratio indicates a significant premium compared to an average of 26.16 for the Household Products industry and a significant premium compared to the S&P 500 average of 25.22. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, COLGATE-PALMOLIVE CO seems to be trading at a premium to investment alternatives within the industry.
|CL 42.30||Peers 26.16||CL 18.18||Peers 15.19|
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations.
CL is trading at a significant premium to its peers.
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
CL is trading at a premium to its peers.
|CL 20.88||Peers 21.36||CL 0.49||Peers 1.86|
Average. An average price-to-projected earnings ratio can signify an industry neutral stock price and average future growth expectations.
CL is trading at a valuation on par with its peers.
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
CL trades at a significant discount to its peers.
|CL NM||Peers 24.14||CL -43.34||Peers 39.89|
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
CL's P/B is negative making this valuation measure meaningless.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, CL is expected to significantly trail its peers on the basis of its earnings growth rate.
|CL 3.74||Peers 3.17||CL -6.02||Peers -3.43|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
CL is trading at a premium to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
CL significantly trails its peers on the basis of sales growth