Although Colgate’s long term drivers are intact led by driving core toothpaste brands and premiumization through science-backed innovations (driving growth in urban premium segments), however, any major acceleration in growth looks unlikely.NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.PL Capital ReportWe cut FY26/27 earnings per share by 7.1/7.4% given subdued urban demand, competitive pressures and little scope to increase margins from current elevated levels. Colgate-Palmolive India Ltd. Q1 FY26 was a miss on estimates with 4.4% revenue decline led by 2.8% volume decline (high base, subdued urban demand and intensifying competitive pressures). Near term outlook remains cautious as impact of high base, tepid urban demand, heightened competition and promotions/ discounting will continue to impact in at least Q2 also. We expect slow growth in the near term as the phase of high realization and margin growth is behind (GM and EM expansion of 470/680bps over FY20-25). Although Colgate’s long term drivers are intact led bydriving core toothpaste brands and premiumization through science-backed innovations (driving growth in urban premium segments), however, any major acceleration in growth looks unlikely. We expect volume growth to settle at low to mid-single digits with 7-8% sustainable PAT growth in the long term. We estimate 2.6% EPS CAGR over FY25-27. We value Colgate at 44x March 27 EPS and assign a target of Rs 2453 (Rs 2528 earlier). Retain Hold.Click on the attachment to read the full report:Colgate Palmolive Q1 Review: JPMorgan, HSBC Cut Target PriceDISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.Users have no license to copy, modify, or distribute the content without permission of the Original Owner.. Read more on Research Reports by NDTV Profit.