With higher debt to liquid ratio company has a positive financial health with ability to meet its short-term liabilities with its short-term assets. Based on where the stock is trading today, SMA is at 2.14% higher than current index range, and Company does have strong support at $73.06, acting as a long range sign of index direction.
Pattern indicate stellar 5 years YOY growth of 6.95% compared to current 28.82 PE. While firms next fiscal earnings growth might fail to rise up to analysts forecast , company is still in a better stance to surprise the markets.
Current value of outstanding shares stand at $65753.07 M . Currently CL has gross 18.50% of yield, and is slightly above for the Consumer Goods sector and to explain further considering rate profit in relation to its overall resources, companies assets utilization seems right .
Market expectation for growth is higher than what we think company can actually deliver. Most of the analysts boosted their PT for the Consumer Goods sector, as stock traded above yearly low . Current bullish surge suggests firm could enjoy further stock value growth.
Colgate-Palmolive Company RSI 60.37 does not yet show any divergence and this shows lack of strong pattern , in essence, price action has overruled momentum forming pattern of downtrend, RSI might move between neutral zone in long term.
Due to possibility of a higher rate of return at 0.8% company posses more risk. Firms operative performance already seems to be topped , and we think company has less to be achieved by any further productivity gains , however relative value of the earnings at 24.3, has come in below current P /E of 28.82 but projected growth and EPS estimates have only stabilized now .
Company forward growth are set to be below expected , one street firm noted that with forward PE of 24.3, company is set for lower earnings per share for the fiscal .
Investors have been closely watching the unfolding in Consumer Goods sector as research firms start to see downside. . Societe Generale revised ratings morning as it downgraded shares of Colgate-Palmolive Company from Hold to Sell, and
Low current ratio might be temporary as management often squeeze out near term cash sources to meet its long term outlook .if firms quick ratio stays below at 0.9 for a longer duration , it may be a cause of worry ..
Sector saw $3303.27mn in upwards price movements, while $3509.25mn pulled the index down ending up at $-205.98mn in total money sector flow. With Tick up down ratio robust at 0.78, MF saw a boost of $-199.61mnCurrently the Consumer Goods index is trading at 6251.82 with 9.01 change.
Market Value per Share of 28.82 is supported by high interest of investors in Consumer Goods sector . And despite a PE of 28.82, asset is not fairly valued as its trading at 20.81 times higher to the sector which is high in our opinion .