13 Best Consumer Staples Dividend Stocks to Invest In Now

4. Colgate-Palmolive Company (NYSE:CL)

Number of Hedge Fund Holders: 56

Dividend Yield as of January 7: 2.56%

Colgate-Palmolive Company (NYSE:CL) is among the best dividend stocks to invest in.

On January 7, Piper Sandler upgraded Colgate-Palmolive Company (NYSE:CL) to Overweight from Neutral and raised its price target to $88 from $82. The firm said the company saw continued softness in Q4, but that weakness is already reflected in the stock. Piper believes Colgate’s growth can pick up in 2026. The analyst also pointed to early signs of improvement in emerging markets. If that momentum builds, Colgate’s current valuation looks attractive, Piper said. The firm also likes Colgate’s lower reliance on the “stretched U.S.,” given its exposure to emerging economies.

Back in October, Colgate cut its annual sales forecast, signaling that rising economic uncertainty was starting to curb spending on higher-priced products. That pullback showed up even in everyday categories like oral and personal care. The company has raised prices in most markets to offset the impact of US tariffs, a move that has pushed some consumers toward cheaper options. Prices increased 2.3% in the third quarter, while volumes fell 1.9% from a year earlier.

CEO Noel Wallace said on the post-earnings call that consumers remain relatively weak across North America. He noted that discount-seeking is rising, Hispanic traffic is still down, and US household products performance in September came in softer than expected and weaker than prior months. Colgate-Palmolive Company (NYSE:CL) also flagged pressure in Canada tied to the “Buy Canadian” movement, along with weaker demand in Colombia, Central America, and India. The company continues to expect roughly $75 million in tariff-related costs. It imports raw materials such as vitamins and amino acids and manufactures toothpaste for the U.S. market in Mexico.

Colgate-Palmolive Company (NYSE:CL) is positioned as a growth company, with operations centered on Oral Care, Personal Care, Home Care, and Pet Nutrition.