Colgate Palmolive Intrinsic Value

COLPAL • Consumer Goods
Current Stock Price
₹2214.90
Primary Intrinsic Value
₹1220.00
Market Cap
₹5980 Cr
-30.4% Downside
Median Value
₹1541.67
Value Range
₹664 - ₹5537
Assessment
Trading Above Calculated Value
Safety Margin
-43.7%

COLPAL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹1220.00 ₹976.00 - ₹1464.00 -44.9% EPS: ₹48.80, Sector P/E: 25x
Book Value Method asset ₹1541.67 ₹1387.50 - ₹1695.84 -30.4% Book Value/Share: ₹616.67, P/B: 2.5x
Revenue Multiple Method revenue ₹3330.00 ₹2997.00 - ₹3663.00 +50.3% Revenue/Share: ₹2220.00, P/S: 1.5x
EBITDA Multiple Method earnings ₹4429.80 ₹3986.82 - ₹4872.78 +100.0% EBITDA: ₹1941.00Cr, EV/EBITDA: 12x
Simple DCF (5Y) dcf ₹5537.25 ₹4429.80 - ₹6644.70 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹664.47 ₹598.02 - ₹730.92 -70.0% EPS Growth: 5.3%, Fair P/E: 4.3x
Growth Adjusted P/E growth ₹895.92 ₹806.33 - ₹985.51 -59.6% Revenue Growth: 4.0%, Adj P/E: 18.4x
ROE Based Valuation profitability ₹4429.80 ₹3986.82 - ₹4872.78 +100.0% ROE: 79.7%, P/E Multiple: 16x
Graham Defensive Method conservative ₹822.86 ₹740.57 - ₹905.15 -62.8% EPS: ₹48.80, BVPS: ₹616.67
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check COLPAL share price latest .

Valuation Comparison Chart

COLPAL Intrinsic Value Analysis

What is the intrinsic value of COLPAL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Colgate Palmolive (COLPAL) is ₹1541.67 (median value). With the current market price of ₹2214.90, this represents a -30.4% variance from our estimated fair value.

The valuation range spans from ₹664.47 to ₹5537.25, indicating ₹664.47 - ₹5537.25.

Is COLPAL undervalued or overvalued?

Based on our multi-method analysis, Colgate Palmolive (COLPAL) appears to be trading above calculated value by approximately 30.4%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 22.90 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 79.7% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 31.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 1.99x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹1,395 Cr ₹1,395 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,199 Cr ₹1,199 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,176 Cr ₹1,172 Cr Positive Free Cash Flow 8/10
March 2022 ₹1,626 Cr ₹1,572 Cr Positive Free Cash Flow 8/10
March 2021 ₹784 Cr ₹784 Cr Positive Free Cash Flow 8/10