Why is Colgate-Palmolive (India) Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of 4.98% and Operating profit at 7.91% over the last 5 years
2
Negative results in Dec 25
- DEBTORS TURNOVER RATIO(HY) Lowest at 26.36 times
- PBDIT(Q) Lowest at Rs 442.03 cr.
- OPERATING PROFIT TO NET SALES (Q) Lowest at 29.74%
3
With ROE of 84.3, it has a Very Expensive valuation with a 36.6 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -26.48%, its profits have fallen by -8.8%
4
Below par performance in long term as well as near term
- Along with generating -26.48% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Colgate-Palmoliv for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Colgate-Palmoliv
-26.61%
-1.25
21.31%
Sensex
5.37%
0.47
11.36%
Quality key factors
Factor
Value
Sales Growth (5y)
4.98%
EBIT Growth (5y)
7.91%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.81
Sales to Capital Employed (avg)
3.15
Tax Ratio
25.76%
Dividend Payout Ratio
119.18%
Pledged Shares
0
Institutional Holding
28.97%
ROCE (avg)
281.56%
ROE (avg)
73.11%
Valuation Key Factors 
Factor
Value
P/E Ratio
43
Industry P/E
51
Price to Book Value
36.63
EV to EBIT
33.17
EV to EBITDA
30.50
EV to Capital Employed
192.20
EV to Sales
9.60
PEG Ratio
NA
Dividend Yield
1.13%
ROCE (Latest)
582.00%
ROE (Latest)
84.26%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-6What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 26.36 times
PBDIT(Q)
Lowest at Rs 442.03 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 29.74%
PBT LESS OI(Q)
Lowest at Rs 404.81 cr.
Loading Valuation Snapshot...
Here's what is not working for Colgate-Palmoliv
Debtors Turnover Ratio- Half Yearly
Lowest at 26.36 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 442.03 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 29.74%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 404.81 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 404.81 cr has Fallen at -5.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 427.99 CrMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
Highest at Rs 39.28 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






