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DCF valuation

What is Colgate Palmolive Co worth?

With the base-case assumptions below, a discounted cash flow model on Colgate Palmolive Co's reported free cash flow gives $72.55 per share. The share price was $98.09 on November 10, 2026, 35% above that value.

Inputs from the filings

Free cash flow, fiscal 2025
$3.63B
Average free cash flow, last 5 years
$2.97B
Cash
$1.53B
balance sheet of September 30, 2026
Debt
$7.18B
balance sheet of September 30, 2026
Diluted shares, fiscal 2025
811,100,000
Revenue growth per year, last 5 years
4.4%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear-0.5%0.5%2.0%10.0%$42.22-57%
Base4.5%3.5%2.5%9.0%$72.55-26%
Bull9.5%6.5%3.0%8.0%$131.60+34%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$94.15$100.71$108.72$118.74$131.62
8.0%$78.06$82.31$87.34$93.37$100.74
9.0%$66.28$69.19$72.55$76.46$81.09
10.0%$57.30$59.37$61.72$64.39$67.48
11.0%$50.23$51.75$53.44$55.35$57.51

Where the presets come from

Base: years 1 to 5 grow at Colgate Palmolive Co's revenue growth rate over the last 5 fiscal years (4.4% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Colgate Palmolive Co company page