Tom Reese/Paul Rubillo, Dividend.com
Consumer products giant Colgate-Palmolive Company (COL) on Thursday reported first quarter profits that beat analyst estimates, but overall revenue fell short of expectations.
The New York City-based company reported fiscal first quarter net income of $507.9 million, or 97 cents per share, up 9% from $466.5 million, or 86 cents per share, in the year-ago period. Analysts expected 96 cents per share, on average.
Revenue fell short of expectations, however, falling 6% to $3.5 billion from $3.71 billion, while analysts had expected $3.6 billion.
U.S. sales rose 3% in the quarter, while Europe and South Pacific sales fell 20%, with Latin American sales falling 4%.
Colgate shares fell 76 cents, or -1.3%, in early afternoon trading Thursday.
The Bottom Line
We had removed shares of CL from our “Recommended” list back on Oct. 6, when shares were trading at $75.50. The company has a 2.95% dividend yield, based on last night’s closing stock price of $59.71. The stock has technical support in the $50-54 price area. If the shares can firm up, we see overhead resistance around the $65-66 zone. We like the brand and are hoping for a good entry point.
Colgate-Palmolive Company (COL) is not recommended at this time, holding a Dividend.com DARS Rating of 3.4 out of 5 stars.
Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.
Related Stories
