Colgate-Palmolive Named Top Pick for 2026 Recovery Amid Consumer Sector Weakness
Morgan Stanley analysts have designated Colgate-Palmolive (CL) as their top pick in the Household & Personal Care sector, forecasting a sales rebound in 2026 following a disappointing 2025. The firm maintains an 'overweight' rating and an $87 price target, implying a 13% upside from current levels.
The consumer goods giant faced sector-wide headwinds last year, with slowing growth and market share challenges in key categories. Yet its diversified brand portfolio positions it for outperformance as conditions stabilize.
Wall Street consensus aligns with this bullish outlook, viewing the stock's double-digit 2025 decline as overdone. The analysis suggests Colgate-Palmolive will outpace peers in revenue growth this year.