Q1 Earnings Highs And Lows: Colgate-Palmolive (NYSE:CL) Vs The Rest Of The Household Products Stocks
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Colgate-Palmolive (NYSE:CL) and the rest of the household products stocks fared in Q1.
Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends.
The 10 household products stocks we track reported a solid Q1; on average, revenues were in line with analyst consensus estimates. while next quarter's revenue guidance was in line with consensus. Stocks--especially those trading at higher multiples--had a strong end of 2023, but 2024 has seen periods of volatility. Mixed signals about inflation have led to uncertainty around rate cuts, and household products stocks have held roughly steady amidst all this, with share prices up 0.6% on average since the previous earnings results.
Colgate-Palmolive (NYSE:CL)
Formed after the 1928 combination between toothpaste maker Colgate and soap maker Palmolive-Peet, Colgate-Palmolive (NYSE:CL) is a consumer products company that focuses on personal, household, and pet products.
Colgate-Palmolive reported revenues of $5.07 billion, up 6.2% year on year, topping analysts' expectations by 2.1%. It was a strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates.
Colgate-Palmolive Company (NYSE:CL) today reported results for first quarter 2024. Noel Wallace, Chairman, President and Chief Executive Officer, commented on the Base Business first quarter results, “We are very pleased to have started 2024 with another quarter of strong top and bottom line performance as we continued to execute our strategy successfully. Net sales increased 6.2% and organic sales grew 9.8%, with organic sales growth in every division and across all categories. We are particularly pleased to have delivered double-digit growth in operating profit, net income and earnings per share for the third consecutive quarter while still investing for the long-term health of our business.
The stock is up 4.5% since the results and currently trades at $93.29.
Best Q1: Spectrum Brands (NYSE:SPB)
A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care.
Spectrum Brands reported revenues of $718.5 million, down 1.5% year on year, outperforming analysts' expectations by 1.4%. It was a stunning quarter for the company, with an impressive beat of analysts' earnings estimates.
The stock is up 9.3% since the results and currently trades at $92.33.
Is now the time to buy Spectrum Brands? Access our full analysis of the earnings results here, it's free.
Weakest Q1: Energizer (NYSE:ENR)
Masterminds behind the viral Energizer Bunny mascot, Energizer (NYSE:ENR) is one of the world's largest manufacturers of batteries.
Energizer reported revenues of $663.3 million, down 3% year on year, falling short of analysts' expectations by 0.1%. It was a weak quarter for the company, with a miss of analysts' organic revenue growth estimates.
The stock is down 2.1% since the results and currently trades at $28.82.
Read our full analysis of Energizer's results here.
Kimberly-Clark (NYSE:KMB)
Originally founded as a Wisconsin paper mill in 1872, Kimberly-Clark (NYSE:KMB) is now a household products powerhouse known for personal care and tissue products.
Kimberly-Clark reported revenues of $5.15 billion, down 0.9% year on year, surpassing analysts' expectations by 1.2%. It was a very strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates.
The stock is up 2.4% since the results and currently trades at $131.94.
Read our full, actionable report on Kimberly-Clark here, it's free.
Central Garden & Pet (NASDAQ:CENT)
Enhancing the lives of both pets and homeowners, Central Garden & Pet (NASDAQGS:CENT) is a leading producer and distributor of essential products for pet care, lawn and garden maintenance, and pest control.
Central Garden & Pet reported revenues of $900.1 million, down 1% year on year, surpassing analysts' expectations by 1.4%. It was a strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates and a solid beat of analysts' earnings estimates.
The stock is up 7.9% since the results and currently trades at $45.04.
Read our full, actionable report on Central Garden & Pet here, it's free.
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