Colgate Palmolive (CLGT IN) – Q2FY27 Result Update – Beaten down valuations, but lag near term triggers – HOLD
Published on 22 Oct 2026
While CLGT continues to grow ahead of market in premium segments, rising competition and inflation are impacting growth in Colgate strong teeth and Ved shakti. We factor in ~5.3% volume CAGR over FY26–29, driven by strong double-digit growth on premium segments like Colgate Total, Max Fresh, Visible white and renewed thrust on sensitive segment. We estimate 9.1% EPS CAGR over FY26–29. We cut TP to Rs1,837 from Rs2,114, valuing CLGT at 30x Sep’28 EPS vs. 35x Jun’28 EPS earlier, given de-rating of entire consumption segment. However, valuations at 26.6x FY29E earnings and 3% dividend yield limit downside. Retain Hold
