Colgate-Palmolive Company (CL): Today's Featured Consumer Non-Durables Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Colgate-Palmolive Company ( CL) pushed the Consumer Non-Durables industry lower today making it today's featured Consumer Non-Durables laggard. The industry as a whole closed the day down 0.3%. By the end of trading, Colgate-Palmolive Company fell $1.96 (-1.8%) to $104.60 on heavy volume. Throughout the day, three million shares of Colgate-Palmolive Company exchanged hands as compared to its average daily volume of 1.7 million shares. The stock ranged in price between $103.05-$107 after having opened the day at $106.75 as compared to the previous trading day's close of $106.56. Other companies within the Consumer Non-Durables industry that declined today were: Crocs ( CROX), down 21.2%, Tandy Brands Accessories ( TBAC), down 10.9%, Cereplast ( CERP), down 10%, and Under Armour ( UA), down 6.5%.
  • ACTIVE STOCK TRADERS: Get full access to Jim Cramer's thoughts for less than $3/week - sometimes before he says them on TV! Start with a 14-Day Free Trial.

Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. Colgate-Palmolive Company has a market cap of $50.51 billion and is part of the consumer goods sector. The company has a P/E ratio of 21.1, equal to the average consumer non-durables industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 15.3% year to date as of the close of trading on Wednesday. Currently there are seven analysts that rate Colgate-Palmolive Company a buy, one analyst rates it a sell, and 14 rate it a hold.

TheStreet Ratings rates Colgate-Palmolive Company as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, good cash flow from operations, growth in earnings per share and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, Titan International ( TWI), up 15.2%, Fifth & Pacific Companies ( FNP), up 11.2%, Graphic Packaging ( GPK), up 5.9%, and Swisher Hygiene ( SWSH), up 4.3%, were all gainers within the consumer non-durables industry with Sealed Air Corporation ( SEE) being today's featured consumer non-durables industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer non-durables industry could consider Consumer Staples Select Sector SPDR ( XLP) while those bearish on the consumer non-durables industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

FREE from Real Money's Jim Cramer: Winners and Losers Election 2012 - Steps to take NOW so you can profit no matter who is in charge! Free download now.
null