Colgate-Palmolive (NYSE:CL) to Issue Quarterly Dividend of $0.52

Colgate-Palmolive (NYSE:CL) declared a quarterly dividend on Thursday, March 20th, RTT News reports. Stockholders of record on Thursday, April 17th will be given a dividend of 0.52 per share on Thursday, May 15th. This represents a $2.08 dividend on an annualized basis and a dividend yield of 2.30%. The ex-dividend date is Thursday, April 17th. This is a 4.0% increase from Colgate-Palmolive’s previous quarterly dividend of $0.50.

Colgate-Palmolive has increased its dividend payment by an average of 3.6% per year over the last three years and has increased its dividend annually for the last 62 consecutive years. Colgate-Palmolive has a payout ratio of 49.9% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Colgate-Palmolive to earn $4.03 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 49.6%.

Colgate-Palmolive Stock Performance

NYSE CL opened at $90.30 on Friday. Colgate-Palmolive has a 52-week low of $85.32 and a 52-week high of $109.30. The company has a debt-to-equity ratio of 13.40, a quick ratio of 0.58 and a current ratio of 0.92. The company has a market capitalization of $73.28 billion, a P/E ratio of 25.65, a P/E/G ratio of 4.20 and a beta of 0.40. The company has a fifty day moving average of $89.33 and a 200-day moving average of $94.27.

Colgate-Palmolive (NYSE:CL) last posted its quarterly earnings data on Friday, January 31st. The company reported $0.91 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.90 by $0.01. Colgate-Palmolive had a net margin of 14.38% and a return on equity of 477.77%. During the same quarter in the prior year, the company posted $0.87 earnings per share. As a group, equities research analysts predict that Colgate-Palmolive will post 3.75 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

Several analysts have weighed in on CL shares. JPMorgan Chase & Co. boosted their price target on shares of Colgate-Palmolive from $97.00 to $99.00 and gave the stock an “overweight” rating in a research note on Friday, March 14th. StockNews.com downgraded shares of Colgate-Palmolive from a “buy” rating to a “hold” rating in a research note on Friday, March 14th. Stifel Nicolaus lowered their price target on shares of Colgate-Palmolive from $95.00 to $93.00 and set a “hold” rating for the company in a research note on Monday, February 3rd. Raymond James reissued an “outperform” rating and issued a $105.00 price target (down from $110.00) on shares of Colgate-Palmolive in a research note on Monday, February 3rd. Finally, Royal Bank of Canada reissued a “sector perform” rating and issued a $101.00 price target on shares of Colgate-Palmolive in a research note on Wednesday, January 29th. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating and eleven have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $101.72.

Colgate-Palmolive announced that its board has authorized a stock repurchase program on Thursday, March 20th that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the company to repurchase up to 6.8% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On Colgate-Palmolive

A hedge fund recently raised its stake in Colgate-Palmolive stock. Brighton Jones LLC raised its holdings in shares of Colgate-Palmolive (NYSE:CL) by 4.4% in the fourth quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 10,578 shares of the company’s stock after purchasing an additional 450 shares during the period. Brighton Jones LLC’s holdings in Colgate-Palmolive were worth $962,000 as of its most recent SEC filing. 80.41% of the stock is owned by institutional investors and hedge funds.

About Colgate-Palmolive

Colgate-Palmolive Company, together with its subsidiaries, manufactures and sells consumer products in the United States and internationally. It operates through two segments: Oral, Personal and Home Care; and Pet Nutrition. The Oral, Personal and Home Care segment offers toothpaste, toothbrushes, mouthwash, bar and liquid hand soaps, shower gels, shampoos, conditioners, deodorants and antiperspirants, skin health products, dishwashing detergents, fabric conditioners, household cleaners, and other related items.