UBS Trims Colgate (CL) Price Target, Maintains Buy Rating

Colgate-Palmolive Company (NYSE:CL) is one of the most profitable consumer stocks to buy now. UBS lowered its price target on Colgate-Palmolive (NYSE: CL) to $106 from $109 while maintaining a Buy rating, citing valuation discipline following the stock’s steady run in recent months. At the current price of $86.80, the revised target still implies an upside potential of roughly 22%.

UBS Trims Colgate (CL) Price Target, Maintains Buy Rating

An array of toothpaste, toothbrushes, and mouthwashes on a bright background, highlighting the company’s oral care products.

The firm continues to see strength in Colgate’s underlying fundamentals, particularly its strong pricing execution across global markets and steady demand for essential personal care and household products. UBS analysts noted that while foreign exchange and cost headwinds remain part of the equation, margin recovery efforts and disciplined brand investments are likely to support earnings growth through the back half of the year.

Colgate has seen consistent performance across its oral care and pet nutrition segments, with emerging markets showing signs of improving volumes. The updated target reflects a more balanced outlook as shares approach levels UBS considers closer to fair value, rather than a change in conviction about the company’s prospects.

Investors will be watching Colgate’s next earnings update for clarity on input cost trends and competitive dynamics, particularly as pricing begins to normalize and volume growth comes back into focus.

While we acknowledge the risk and potential of CL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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