COLGATE-PALMOLIVE CO (CPA.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:CPA - US1941621039 - Common Stock
72.56 EUR
+0.18 (+0.25%)
CPA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 10 industry peers in the Household Products industry. CPA scores excellent on profitability, but 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
- In the past year CPA was profitable.
- CPA had a positive operating cash flow in the past year.
- In the past 5 years CPA has always been profitable.
- CPA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of CPA (16.60%) is better 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.
- CPA has a better Return On Invested Capital (29.23%) than 100.00% of its industry peers.
- CPA had an Average Return On Invested Capital over the past 3 years of 26.58%. This 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
- CPA's Profit Margin of 14.46% is fine compared to the rest of the industry. CPA outperforms 80.00% of its industry peers.
- In the last couple of years the Profit Margin of CPA has remained more or less at the same level.
- Looking at the Operating Margin, with a value of 21.44%, CPA is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
- In the last couple of years the Operating Margin of CPA has declined.
- The Gross Margin of CPA (60.14%) is better than 90.00% of its industry peers.
- In the last couple of years the Gross Margin of CPA has remained more or less at the same level.
| 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CPA is creating value.
- Compared to 1 year ago, CPA has less shares outstanding
- Compared to 5 years ago, CPA has less shares outstanding
- The debt/assets ratio for CPA has been reduced compared to a year ago.
2.2 Solvency
- CPA has an Altman-Z score of 6.54. This indicates that CPA is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of CPA (6.54) is better than 100.00% of its industry peers.
- CPA has a debt to FCF ratio of 2.45. This is a good value and a sign of high solvency as CPA would need 2.45 years to pay back of all of its debts.
- With a Debt to FCF ratio value of 2.45, CPA perfoms like the industry average, outperforming 50.00% 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 70.00% 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 | 6.54 |
ROIC/WACC3.6
WACC8.12%
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.
- The Current ratio of CPA (0.93) is better than 70.00% of its industry peers.
- CPA has a Quick 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 has a Quick ratio of 0.60. This is in the better half of the industry: CPA outperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 2.82% over the past year.
- 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.
- Looking at the last year, CPA shows a decrease in Revenue. The Revenue has decreased by -0.04% in the last year.
- CPA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.08% yearly.
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
- CPA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.90% yearly.
- Based on estimates for the next years, CPA will show a small growth in Revenue. The Revenue will grow by 2.66% on average per year.
EPS Next Y4.89%
EPS Next 2Y4.94%
EPS Next 3Y5.42%
EPS Next 5Y5.9%
Revenue Next Year0.64%
Revenue Next 2Y1.99%
Revenue Next 3Y2.46%
Revenue Next 5Y2.66%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- 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 23.11, 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 70.00% of the companies listed in the same industry.
- CPA is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.47, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 21.32, the valuation of CPA can be described as rather expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CPA indicates a slightly more expensive valuation: CPA is more expensive than 70.00% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. CPA is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.11 | ||
| Fwd PE | 21.32 |
4.2 Price Multiples
- CPA's Enterprise Value to EBITDA ratio is in line with the industry average.
- CPA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CPA is cheaper than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.73 | ||
| EV/EBITDA | 15.2 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of CPA may justify a higher PE ratio.
PEG (NY)4.72
PEG (5Y)4.74
EPS Next 2Y4.94%
EPS Next 3Y5.42%
5. Dividend
5.1 Amount
- CPA has a Yearly Dividend Yield of 2.47%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 3.20, CPA's dividend is way lower than its industry peers. On top of this 80.00% of the companies listed in the same industry pay a better dividend than CPA!
- Compared to an average S&P500 Dividend Yield of 1.87, CPA pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.47% |
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
- CPA pays out 62.40% of its income as dividend. 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 2Y4.94%
EPS Next 3Y5.42%
FRA:CPA (1/16/2026, 7:00:00 PM)
72.56
+0.18 (+0.25%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)10-31 2025-10-31/bmo
Earnings (Next)01-30 2026-01-30/amc
Inst Owners86.76%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap58.49B
Revenue(TTM)20.10B
Net Income(TTM)2.91B
Analysts73.33
Price Target76.33 (5.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.47% |
Yearly Dividend1.88
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)-0.1%
PT rev (3m)-7.24%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-2.1%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-0.58%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-1.05%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.11 | ||
| Fwd PE | 21.32 | ||
| P/S | 3.38 | ||
| P/FCF | 19.73 | ||
| P/OCF | 16.93 | ||
| P/B | 79.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.2 |
EPS(TTM)3.14
EY4.33%
EPS(NY)3.4
Fwd EY4.69%
FCF(TTM)3.68
FCFY5.07%
OCF(TTM)4.29
OCFY5.91%
SpS21.46
BVpS0.91
TBVpS-5.06
PEG (NY)4.72
PEG (5Y)4.74
Graham Number8.04
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 | 6.54 |
F-Score5
WACC8.12%
ROIC/WACC3.6
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 Y4.89%
EPS Next 2Y4.94%
EPS Next 3Y5.42%
EPS Next 5Y5.9%
Revenue 1Y (TTM)-0.04%
Revenue growth 3Y4.89%
Revenue growth 5Y5.08%
Sales Q2Q%1.95%
Revenue Next Year0.64%
Revenue Next 2Y1.99%
Revenue Next 3Y2.46%
Revenue Next 5Y2.66%
EBIT growth 1Y-0.62%
EBIT growth 3Y3.62%
EBIT growth 5Y3.04%
EBIT Next Year12.68%
EBIT Next 3Y6.9%
EBIT Next 5Y5.95%
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 for CPA stock?
ChartMill assigns a valuation rating of 2 / 10 to COLGATE-PALMOLIVE CO (CPA.DE). This can be considered as Overvalued.
How profitable is COLGATE-PALMOLIVE CO (CPA.DE) stock?
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 23.11 and the Price/Book (PB) ratio is 79.38.
Is the dividend of COLGATE-PALMOLIVE CO sustainable?
The dividend rating of COLGATE-PALMOLIVE CO (CPA.DE) is 4 / 10 and the dividend payout ratio is 62.4%.