Buy Recommendation for Colgate-Palmolive Amid Strong Sales Growth and Positive Outlook for 2024

Goldman Sachs analyst Bonnie Herzog has reiterated their bullish stance on CL stock, giving a Buy rating on April 16.

Bonnie Herzog has given his Buy rating due to a combination of factors that showcase Colgate-Palmolive’s robust start to the year. The company has reported a significant increase in organic sales, which indicates a robust market demand for its products. The combination of a 1.3% growth in volume and a strong expansion in gross margin by 314 basis points has led to earnings per share that exceeded expectations. Herzog’s confidence is further bolstered by the company’s ability to raise its forward-looking guidance, reflecting management’s positive outlook for fiscal year 2024.

The Buy rating is also supported by Colgate-Palmolive’s consistent high-level operation and commendable execution in a challenging business environment. The company is not only achieving near-term financial success but is also focusing on reinvestment strategies that are aimed at driving long-term sustainable growth. Herzog highlights the company’s momentum in its global business and its capacity to accelerate bottom-line growth, which together present a compelling case for a positive stock performance, leading to the recommendation to Buy.

Herzog covers the Consumer Defensive sector, focusing on stocks such as Philip Morris, Altria Group, and Boston Beer. According to TipRanks, Herzog has an average return of 3.2% and a 57.03% success rate on recommended stocks.

In another report released on April 16, Citi also maintained a Buy rating on the stock with a $100.00 price target.

TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.

Colgate-Palmolive (CL) Company Description:

Colgate-Palmolive Company is a multinational consumer products name engaged in production and distribution of household, personal care, oral care, health care, and veterinary products. The company sells its products across more than 200 countries and territories. The company’s well known global brands include Colgate, Palmolive, Speed Stick, Lady Speed Stick, Ajax, Softsoap and Hill’s pet Nutrition. It has two operating business segment – Oral, Personal and Home Care, and Pet Nutrition.