Colgate-Palmolive Company — Earnings Quality Grade F
CL · Consumer Defensive
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 30 days, change +2 days YoY
AR growth 10.1% exceeds revenue growth 1.4%
Revenue 1.4%, CFFO 2.2%. Cash follows revenue
Expense Quality
Inventory 2.3% vs COGS 2.4%. Normal
CapEx growth 0.5% vs revenue 1.4%. Normal
SG&A/Gross Profit = 64.5%. Normal
Gross margin 60.1%, change -0.4pp. Stable
Cash Flow Quality
CFFO/NI = 1.97. Profits backed by cash
FCF $3.6B, FCF/NI = 1.70
Accruals ratio = -12.7%. Low accruals
Cash $1.3B covers only 15% of debt $8.6B
Balance Sheet Health
Goodwill+Intangibles $4.7B = 8626% of equity. Over 50%
Debt/EBITDA = 2.2x. Healthy
Other assets 1.3% vs revenue 1.4%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -7% YoY. Normal
Manipulation Score
M-Score = -3.02 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-10