Earnings results often indicate what direction a company will take in the months ahead. With Q1 behind us, let’s have a look at Colgate-Palmolive (NYSE: CL) and its peers.
Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends.
The 10 household products stocks we track reported a slower Q1. As a group, revenues missed analysts’ consensus estimates by 2.2% while next quarter’s revenue guidance was in line.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 8.6% since the latest earnings results.
Best Q1: Colgate-Palmolive (NYSE: CL)
Formed after the 1928 combination between toothpaste maker Colgate and soap maker Palmolive-Peet, Colgate-Palmolive (NYSE: CL) is a consumer products company that focuses on personal, household, and pet products.
Colgate-Palmolive reported revenues of $4.91 billion, down 3.1% year on year. This print exceeded analysts’ expectations by 0.6%. Overall, it was a satisfactory quarter for the company with a solid beat of analysts’ EBITDA estimates.
Colgate-Palmolive Company (NYSE: CL) today reported results for first quarter 2025. Noel Wallace, Chairman, President and Chief Executive Officer, commented on the Base Business first quarter results, “Colgate-Palmolive people delivered another quarter of organic sales and earnings per share growth in the face of very difficult market conditions worldwide. The positive organic sales growth, in a period of slowing category growth in many markets, is a testament to the strength of our brands and our commitment to executing against our strategy.
Colgate-Palmolive achieved the biggest analyst estimates beat of the whole group. Even though it had a relatively good quarter, the market seems discontent with the results. The stock is down 3.9% since reporting and currently trades at $87.50.
Is now the time to buy Colgate-Palmolive? Access our full analysis of the earnings results here, it’s free.
Procter & Gamble (NYSE: PG)
Founded by candle maker William Procter and soap maker James Gamble, Proctor & Gamble (NYSE: PG) is a consumer products behemoth whose product portfolio spans everything from facial tissues to laundry detergent to feminine care to men’s grooming.
Procter & Gamble reported revenues of $19.78 billion, down 2.1% year on year, falling short of analysts’ expectations by 1.9%. The business performed better than its peers, but it was unfortunately a mixed quarter with a decent beat of analysts’ EBITDA estimates but full-year EPS guidance slightly missing analysts’ expectations.
The market seems unhappy with the results as the stock is down 3.9% since reporting. It currently trades at $159.23.
Is now the time to buy Procter & Gamble? Access our full analysis of the earnings results here, it’s free.
Weakest Q1: Spectrum Brands (NYSE: SPB)
A leader in multiple consumer product categories, Spectrum Brands (NYSE: SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care.
Spectrum Brands reported revenues of $675.7 million, down 6% year on year, falling short of analysts’ expectations by 2.2%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates.
As expected, the stock is down 15.4% since the results and currently trades at $52.31.
Read our full analysis of Spectrum Brands’s results here.
Energizer (NYSE: ENR)
Masterminds behind the viral Energizer Bunny mascot, Energizer (NYSE: ENR) is one of the world's largest manufacturers of batteries.
Energizer reported revenues of $662.9 million, flat year on year. This number came in 1% below analysts' expectations. It was a slower quarter as it also produced EPS guidance for next quarter missing analysts’ expectations.
The stock is down 22.9% since reporting and currently trades at $19.96.
Read our full, actionable report on Energizer here, it’s free.
Clorox (NYSE: CLX)
Founded in 1913 with bleach as the sole product offering, Clorox (NYSE: CLX) today is a consumer products giant whose product portfolio spans everything from bleach to skincare to salad dressing to kitty litter.
Clorox reported revenues of $1.67 billion, down 8% year on year. This print lagged analysts' expectations by 3.3%. Overall, it was a softer quarter as it also recorded a miss of analysts’ adjusted operating income and organic revenue estimates.
Clorox had the slowest revenue growth among its peers. The stock is down 13.1% since reporting and currently trades at $120.25.
Read our full, actionable report on Clorox here, it’s free.
Market Update
As a result of the Fed’s rate hikes in 2022 and 2023, inflation has come down from frothy levels post-pandemic. The general rise in the price of goods and services is trending towards the Fed’s 2% goal as of late, which is good news. The higher rates that fought inflation also didn't slow economic activity enough to catalyze a recession. So far, soft landing. This, combined with recent rate cuts (half a percent in September 2024 and a quarter percent in November 2024) have led to strong stock market performance in 2024. The icing on the cake for 2024 returns was Donald Trump’s victory in the U.S. Presidential Election in early November, sending major indices to all-time highs in the week following the election. Still, debates around the health of the economy and the impact of potential tariffs and corporate tax cuts remain, leaving much uncertainty around 2025.
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