Colgate-Palmolive: A Resilient Dividend King Navigating A Tougher Environment
Colgate-Palmolive remains a Buy, supported by resilient fundamentals, an attractive and still sustainable dividend yield while they hold the Dividend King status, and prudent valuation amid macro and geopolitical headwinds. CL posted solid Q1 results, with 8.4% net sales growth, robust free cash flow, and reaffirmed 2026 sales and EPS growth guidance despite Iran-driven margin pressures. Rising input and logistics costs, driven by the Iran conflict, are expected to pressure gross margins, but CL's strong cash flows support ongoing shareholder returns.