CLSA has reiterated its ‘Hold’ rating on Colgate-Palmolive, lowering the target price to ₹2,882 from ₹3,237, reflecting a 5.7% upside from the current market price of ₹2,727.
The brokerage noted that FY25 price assumptions have been slightly reduced from 4.0% to 3.5%, with higher expense estimates aligning with elevated Q3 costs for FY25/FY26.
While Colgate is growing faster than peers, CLSA highlighted that the risk-reward remains balanced, as attractive valuation multiples are offset by decelerating growth. Additionally, near-term margins remain under pressure, posing challenges for the company’s financial performance.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Neither the author nor Business Upturn is liable for any losses arising from the use of this information.
