What Happened?
Shares of consumer products company Colgate-Palmolive (NYSE:CL) fell 5.2% in the morning session after the company reported underwhelming fourth quarter results. Its EBITDA missed, and its organic revenue fell short of Wall Street's estimates. Also, the full-year sales forecast suggests growth might stay weak in the low single-digit range. Overall, this was a weaker quarter.
The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Colgate-Palmolive? Access our full analysis report here, it’s free.
What The Market Is Telling Us
Colgate-Palmolive’s shares are not very volatile and have had no moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
Colgate-Palmolive is down 4% since the beginning of the year, and at $86.92 per share, it is trading 20.1% below its 52-week high of $108.77 from September 2024. Investors who bought $1,000 worth of Colgate-Palmolive’s shares 5 years ago would now be looking at an investment worth $1,178.
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