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Colgate-Palmolive: A Dividend King Worth Considering for Stability and Passive Income
ByAinvest
Monday, Sep 29, 2025 12:10 am ET1min read
Colgate-Palmolive, a consumer goods juggernaut and Dividend King, is available to buy at a once-in-a-decade valuation after dipping 26%. The company's category-leading brands and consistent sales make it a stable investment opportunity, despite its high-growth days being behind it. Its essential, repeat-purchase products help drive consistent sales, enabling the company to raise its dividend for 61 straight years.
Colgate-Palmolive Company, a longstanding consumer goods giant, is currently trading at a once-in-a-decade valuation after a significant 26% dip. This presents a compelling opportunity for investors seeking stability and consistent returns. The company's market-leading brands and essential, repeat-purchase products contribute to its robust sales performance and dividend history.Colgate-Palmolive's stock price today stands at $86.84, with a ticker symbol of CL and listed on the NYSE stock exchange [1]. The company's extensive product portfolio, which includes brands like Colgate, Palmolive, and Darlie, spans the oral, personal, and home care segments, as well as pet nutrition. These essential products drive consistent sales, enabling the company to maintain a strong dividend streak of 61 consecutive years.
Despite the recent downturn, Colgate-Palmolive's fundamentals remain solid. The company's gross profit margin of 60.8% and return on equity of 976.7% indicate strong operational efficiency. Furthermore, analysts predict a fair value of $97.96 per share, with an upside of +12.80% [1].
The company's strategic growth initiatives in Latin America and other markets, as highlighted in recent presentations at conferences like the Evercore ISI Consumer and Retail Conference and the 2025 dbAccess Global Consumer Conference, suggest a focus on expanding its global footprint .
Investors should also consider the company's dividend yield of 2.40%, which is attractive for income-focused investors [1]. However, it is essential to evaluate the company's financial health comprehensively, including its market value, financial ratios, and industry benchmarks.
In conclusion, Colgate-Palmolive offers a stable investment opportunity at a once-in-a-decade valuation. Its consistent sales, strong dividend history, and solid fundamentals make it an attractive choice for investors seeking long-term stability. However, it is crucial to conduct thorough research and analysis before making any investment decisions.
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