COLGATE-PALMOLIVE CO (CPA.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:CPA - US1941621039 - Common Stock
67.94 EUR
+0.44 (+0.65%)
We assign a fundamental rating of 5 out of 10 to CPA. CPA was compared to 11 industry peers in the Household Products industry. While CPA has a great profitability rating, there are some minor concerns on its financial health. CPA is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CPA had positive earnings in the past year.
In the past year CPA had a positive cash flow from operations.
CPA had positive earnings in each of the past 5 years.
In the past 5 years CPA always reported a positive cash flow from operatings.
1.2 Ratios
CPA has a better Return On Assets (16.60%) than 100.00% of its industry peers.
CPA has a Return On Equity of 339.60%. This is amongst the best in the industry. CPA outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 29.23%, CPA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CPA is significantly above the industry average of 17.07%.
The 3 year average ROIC (26.58%) for CPA is below the current ROIC(29.23%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.6% | ||
| ROE | 339.6% | ||
| ROIC | 29.23% |
ROA(3y)14.46%
ROA(5y)14.94%
ROE(3y)728.51%
ROE(5y)580.79%
ROIC(3y)26.58%
ROIC(5y)26.1%
1.3 Margins
Looking at the Profit Margin, with a value of 14.46%, CPA belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
CPA's Profit Margin has been stable in the last couple of years.
CPA's Operating Margin of 21.44% is fine compared to the rest of the industry. CPA outperforms 72.73% of its industry peers.
In the last couple of years the Operating Margin of CPA has declined.
CPA's Gross Margin of 60.14% is amongst the best of the industry. CPA outperforms 90.91% of its industry peers.
CPA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.44% | ||
| PM (TTM) | 14.46% | ||
| GM | 60.14% |
OM growth 3Y-1.21%
OM growth 5Y-1.94%
PM growth 3Y4.95%
PM growth 5Y-0.96%
GM growth 3Y0.53%
GM growth 5Y0.34%
2. Health
2.1 Basic Checks
CPA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, CPA has less shares outstanding
The number of shares outstanding for CPA has been reduced compared to 5 years ago.
Compared to 1 year ago, CPA has an improved debt to assets ratio.
2.2 Solvency
CPA has an Altman-Z score of 6.40. This indicates that CPA is financially healthy and has little risk of bankruptcy at the moment.
CPA's Altman-Z score of 6.40 is amongst the best of the industry. CPA outperforms 100.00% of its industry peers.
The Debt to FCF ratio of CPA is 2.45, which is a good value as it means it would take CPA, 2.45 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.45, CPA is in line with its industry, outperforming 54.55% of the companies in the same industry.
CPA has a Debt/Equity ratio of 8.54. This is a high value indicating a heavy dependency on external financing.
CPA has a worse Debt to Equity ratio (8.54) than 63.64% of its industry peers.
Although CPA does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.54 | ||
| Debt/FCF | 2.45 | ||
| Altman-Z | 6.4 |
ROIC/WACC3.64
WACC8.02%
2.3 Liquidity
CPA has a Current Ratio of 0.93. This is a bad value and indicates that CPA is not financially healthy enough and could expect problems in meeting its short term obligations.
CPA's Current ratio of 0.93 is fine compared to the rest of the industry. CPA outperforms 72.73% of its industry peers.
A Quick Ratio of 0.60 indicates that CPA may have some problems paying its short term obligations.
CPA has a better Quick ratio (0.60) than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
CPA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.82%.
Measured over the past 5 years, CPA shows a small growth in Earnings Per Share. The EPS has been growing by 4.87% on average per year.
The Revenue has decreased by -0.04% in the past year.
The Revenue has been growing slightly by 5.08% on average over the past years.
EPS 1Y (TTM)2.82%
EPS 3Y3.91%
EPS 5Y4.87%
EPS Q2Q%0%
Revenue 1Y (TTM)-0.04%
Revenue growth 3Y4.89%
Revenue growth 5Y5.08%
Sales Q2Q%1.95%
3.2 Future
Based on estimates for the next years, CPA will show a small growth in Earnings Per Share. The EPS will grow by 5.87% on average per year.
The Revenue is expected to grow by 2.84% on average over the next years.
EPS Next Y4.9%
EPS Next 2Y4.97%
EPS Next 3Y5.47%
EPS Next 5Y5.87%
Revenue Next Year0.66%
Revenue Next 2Y2.01%
Revenue Next 3Y2.48%
Revenue Next 5Y2.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.92, CPA is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of CPA indicates a slightly more expensive valuation: CPA is more expensive than 63.64% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.43, CPA is valued at the same level.
CPA is valuated rather expensively with a Price/Forward Earnings ratio of 20.23.
CPA's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CPA is more expensive than 63.64% of the companies in the same industry.
CPA's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.66.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.23 |
4.2 Price Multiples
CPA's Enterprise Value to EBITDA is on the same level as the industry average.
CPA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CPA is cheaper than 81.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.73 | ||
| EV/EBITDA | 14.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CPA does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of CPA may justify a higher PE ratio.
PEG (NY)4.47
PEG (5Y)4.5
EPS Next 2Y4.97%
EPS Next 3Y5.47%
5. Dividend
5.1 Amount
CPA has a Yearly Dividend Yield of 2.69%.
Compared to an average industry Dividend Yield of 2.98, CPA is paying slightly less dividend.
CPA's Dividend Yield is a higher than the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
5.2 History
The dividend of CPA has a limited annual growth rate of 3.11%.
Dividend Growth(5Y)3.11%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
62.40% of the earnings are spent on dividend by CPA. This is not a sustainable payout ratio.
The dividend of CPA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP62.4%
EPS Next 2Y4.97%
EPS Next 3Y5.47%
FRA:CPA (12/17/2025, 5:12:13 PM)
67.94
+0.44 (+0.65%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners86.75%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap54.76B
Revenue(TTM)20.10B
Net Income(TTM)2.91B
Analysts74
Price Target76.41 (12.47%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
Yearly Dividend1.87
Dividend Growth(5Y)3.11%
DP62.4%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.44%
Min EPS beat(2)-0.54%
Max EPS beat(2)-0.33%
EPS beat(4)1
Avg EPS beat(4)0.3%
Min EPS beat(4)-0.87%
Max EPS beat(4)2.94%
EPS beat(8)3
Avg EPS beat(8)0.62%
EPS beat(12)6
Avg EPS beat(12)0.68%
EPS beat(16)6
Avg EPS beat(16)-0.06%
Revenue beat(2)0
Avg Revenue beat(2)-2.13%
Min Revenue beat(2)-2.91%
Max Revenue beat(2)-1.35%
Revenue beat(4)0
Avg Revenue beat(4)-2.43%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-1.35%
Revenue beat(8)0
Avg Revenue beat(8)-2.08%
Revenue beat(12)1
Avg Revenue beat(12)-1.56%
Revenue beat(16)2
Avg Revenue beat(16)-1.75%
PT rev (1m)-3.72%
PT rev (3m)-7.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.1%
EPS NY rev (1m)0.03%
EPS NY rev (3m)-0.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.55%
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.23 | ||
| P/S | 3.21 | ||
| P/FCF | 18.73 | ||
| P/OCF | 16.07 | ||
| P/B | 75.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.41 |
EPS(TTM)3.1
EY4.56%
EPS(NY)3.36
Fwd EY4.94%
FCF(TTM)3.63
FCFY5.34%
OCF(TTM)4.23
OCFY6.22%
SpS21.17
BVpS0.9
TBVpS-4.99
PEG (NY)4.47
PEG (5Y)4.5
Graham Number7.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.6% | ||
| ROE | 339.6% | ||
| ROCE | 39.11% | ||
| ROIC | 29.23% | ||
| ROICexc | 33.73% | ||
| ROICexgc | 81.43% | ||
| OM | 21.44% | ||
| PM (TTM) | 14.46% | ||
| GM | 60.14% | ||
| FCFM | 17.13% |
ROA(3y)14.46%
ROA(5y)14.94%
ROE(3y)728.51%
ROE(5y)580.79%
ROIC(3y)26.58%
ROIC(5y)26.1%
ROICexc(3y)29.6%
ROICexc(5y)28.78%
ROICexgc(3y)61.47%
ROICexgc(5y)63.97%
ROCE(3y)35.89%
ROCE(5y)35.3%
ROICexgc growth 3Y6.99%
ROICexgc growth 5Y3.87%
ROICexc growth 3Y7.74%
ROICexc growth 5Y5.87%
OM growth 3Y-1.21%
OM growth 5Y-1.94%
PM growth 3Y4.95%
PM growth 5Y-0.96%
GM growth 3Y0.53%
GM growth 5Y0.34%
F-Score5
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.54 | ||
| Debt/FCF | 2.45 | ||
| Debt/EBITDA | 1.49 | ||
| Cap/Depr | 94.38% | ||
| Cap/Sales | 2.84% | ||
| Interest Coverage | 15.96 | ||
| Cash Conversion | 81.69% | ||
| Profit Quality | 118.44% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 6.4 |
F-Score5
WACC8.02%
ROIC/WACC3.64
Cap/Depr(3y)114.92%
Cap/Depr(5y)104.56%
Cap/Sales(3y)3.43%
Cap/Sales(5y)3.21%
Profit Quality(3y)119.71%
Profit Quality(5y)121.85%
High Growth Momentum
Growth
EPS 1Y (TTM)2.82%
EPS 3Y3.91%
EPS 5Y4.87%
EPS Q2Q%0%
EPS Next Y4.9%
EPS Next 2Y4.97%
EPS Next 3Y5.47%
EPS Next 5Y5.87%
Revenue 1Y (TTM)-0.04%
Revenue growth 3Y4.89%
Revenue growth 5Y5.08%
Sales Q2Q%1.95%
Revenue Next Year0.66%
Revenue Next 2Y2.01%
Revenue Next 3Y2.48%
Revenue Next 5Y2.84%
EBIT growth 1Y-0.62%
EBIT growth 3Y3.62%
EBIT growth 5Y3.04%
EBIT Next Year12.68%
EBIT Next 3Y6.94%
EBIT Next 5Y6%
FCF growth 1Y34.86%
FCF growth 3Y8.74%
FCF growth 5Y4.85%
OCF growth 1Y22.3%
OCF growth 3Y7.29%
OCF growth 5Y5.56%
COLGATE-PALMOLIVE CO / CPA.DE FAQ
What is the fundamental rating for CPA stock?
ChartMill assigns a fundamental rating of 5 / 10 to CPA.DE.
What is the valuation status of COLGATE-PALMOLIVE CO (CPA.DE) stock?
ChartMill assigns a valuation rating of 3 / 10 to COLGATE-PALMOLIVE CO (CPA.DE). This can be considered as Overvalued.
Can you provide the profitability details for COLGATE-PALMOLIVE CO?
COLGATE-PALMOLIVE CO (CPA.DE) has a profitability rating of 8 / 10.
What is the valuation of COLGATE-PALMOLIVE CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for COLGATE-PALMOLIVE CO (CPA.DE) is 21.92 and the Price/Book (PB) ratio is 75.34.
Can you provide the financial health for CPA stock?
The financial health rating of COLGATE-PALMOLIVE CO (CPA.DE) is 6 / 10.