© Reuters. Colgate-Palmolive (CL) has the potential to develop above long-term targets – BofA
Colgate-Palmolive (NYSE:) shares are up nearly 1% premarket after BofA upgraded the inventory to Purchase from Impartial, elevating the value goal from $75 to $90 per share.
Analysts informed shoppers in a analysis be aware that the corporate’s gross sales and margin inflection ought to reassure traders of its earnings per share supply.
The funding financial institution raised its FY24 and FY25 EPS estimates for the corporate from $3.38 and $3.66 to $3.48 and $3.76, respectively. It now elements in +4.5% year-over-year natural gross sales development for FY24, up from +3.6% prior.
“We expect sales and EPS revision potential to drive share price differentiation in our Consumer Staples coverage universe in 2024,” analysts mentioned. “In our view, CL holds potential to grow above its long-term targets over the next 12 months, which should serve as a catalyst for the stock.”
Analysts famous that key drivers behind the potential for gross sales and EPS upside in FY24 are US quantity and market share turning optimistic, rising markets development being above common, and margin enlargement as worth continues to maintain up with prices.
