Colgate-Palmolive Company DCF Stock Analysis.

Here’s my assumptions:

Risk Free Rate (10 Years Interest Rate Swap): 4.08%

Risk Premium (Taken from the Aswath Damodaran equity premium spreadsheet): 4.62%

Interest Rate Spread on The Risk free rate ( For the cost of debt calculation): 4.5%

Historical Data

Revenue growth in the last 10 years (CAGR): 3.45%

Earnings growth in the last 10 years (CAGR): -1.34%

Unlevered Free Cash Flow growth in the last 10 years (CAGR): 1.72%

Future Assumptions

End of Year FCF growth: 2%

Growth until end of 2026: 2%

Growth until end of 2034: 2%

Perpetual growth: 2%

Net Debt: 6.593B

Outstanding Stock Options Present Value Assumption: $0.445B

Assumptions used for the Black & Scholes model:

• Stock Price: $94
• Strike Price: $78
• Time to expiration: 5. years
• Risk Free Rate: 4.08%
• Volatility: 20.5%

Restricted Stock Units Present Value Assumption: $0.097B

Stock Valuation based on these assumptions: $191

Last update 08/02/2026

All the content in this newsletter should be taken as informational content only. THIS IS NOT FINANCIAL ADVICE! Do your own Due Diligence before investing or contact a professional financial advisor.

I don’t have a position in Colgate-Palmolive Company (CL) and I don’t plan to add a position in the coming days.