COLGATE-PALMOLIVE CO (CPA.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:CPA - US1941621039 - Common Stock
66.56 EUR
-1.31 (-1.93%)
We assign a fundamental rating of 5 out of 10 to CPA. CPA was compared to 11 industry peers in the Household Products industry. CPA has an excellent profitability rating, 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.
With an excellent Return On Equity value of 339.60%, CPA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 29.23%, CPA belongs to the top 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 last Return On Invested Capital (29.23%) for CPA is above the 3 year average (26.58%), which is a sign of increasing profitability.
| 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 has a Profit Margin of 14.46%. This is amongst the best in the industry. CPA outperforms 81.82% of its industry peers.
In the last couple of years the Profit Margin of CPA has remained more or less at the same level.
With a decent Operating Margin value of 21.44%, CPA is doing good in the industry, outperforming 72.73% of the companies in the same industry.
CPA's Operating Margin has declined in the last couple of years.
The Gross Margin of CPA (60.14%) is better than 90.91% 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.
CPA has less shares outstanding than it did 1 year ago.
CPA has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CPA has been reduced compared to a year ago.
2.2 Solvency
CPA has an Altman-Z score of 6.41. This indicates that CPA is financially healthy and has little risk of bankruptcy at the moment.
CPA has a Altman-Z score of 6.41. This is amongst the best in 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.
CPA has a Debt to FCF ratio (2.45) which is in line with its industry peers.
A Debt/Equity ratio of 8.54 is on the high side and indicates that CPA has dependencies on debt financing.
CPA has a worse Debt to Equity ratio (8.54) than 63.64% of its industry peers.
Even though the debt/equity ratio score it not favorable for CPA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.54 | ||
| Debt/FCF | 2.45 | ||
| Altman-Z | 6.41 |
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.
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 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
The Earnings Per Share has been growing slightly by 2.82% over the past year.
The Earnings Per Share has been growing slightly by 4.87% on average over the past years.
The Revenue has decreased by -0.04% in the past 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
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 Y4.89%
EPS Next 2Y4.94%
EPS Next 3Y5.42%
EPS Next 5Y5.87%
Revenue Next Year0.66%
Revenue Next 2Y1.99%
Revenue Next 3Y2.45%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.40, which indicates a rather expensive current valuation of CPA.
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.
The average S&P500 Price/Earnings ratio is at 26.60. CPA is around the same levels.
CPA is valuated rather expensively with a Price/Forward Earnings ratio of 19.78.
Based on the Price/Forward Earnings ratio, CPA is valued a bit more expensive than the industry average as 63.64% of the companies are valued more cheaply.
CPA's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.4 | ||
| Fwd PE | 19.78 |
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 | 18.31 | ||
| EV/EBITDA | 14.46 |
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.
CPA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.37
PEG (5Y)4.39
EPS Next 2Y4.94%
EPS Next 3Y5.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.63%, CPA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.99, CPA is paying slightly less dividend.
CPA's Dividend Yield is a higher than the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.63% |
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 2Y4.94%
EPS Next 3Y5.42%
FRA:CPA (1/2/2026, 7:00:00 PM)
66.56
-1.31 (-1.93%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners86.76%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap53.65B
Revenue(TTM)20.10B
Net Income(TTM)2.91B
Analysts74
Price Target75.82 (13.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.63% |
Yearly Dividend1.86
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)-0.78%
PT rev (3m)-7.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.1%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.58%
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 | 21.4 | ||
| Fwd PE | 19.78 | ||
| P/S | 3.14 | ||
| P/FCF | 18.31 | ||
| P/OCF | 15.71 | ||
| P/B | 73.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.46 |
EPS(TTM)3.11
EY4.67%
EPS(NY)3.36
Fwd EY5.06%
FCF(TTM)3.64
FCFY5.46%
OCF(TTM)4.24
OCFY6.37%
SpS21.22
BVpS0.9
TBVpS-5
PEG (NY)4.37
PEG (5Y)4.39
Graham Number7.95
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 | 6.41 |
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 Y4.89%
EPS Next 2Y4.94%
EPS Next 3Y5.42%
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 2Y1.99%
Revenue Next 3Y2.45%
Revenue Next 5Y2.84%
EBIT growth 1Y-0.62%
EBIT growth 3Y3.62%
EBIT growth 5Y3.04%
EBIT Next Year12.68%
EBIT Next 3Y6.9%
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 for CPA stock?
ChartMill assigns a valuation rating of 3 / 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 21.4 and the Price/Book (PB) ratio is 73.65.
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%.