Colgate-Palmolive (CL) Q4 2017 results were better sequentially with organic sales growth of 2.0%, but it was below expectations due to negative pricing of 1%, its worst price performance since 2004. Margin erosion from pricing deleveraging and higher advertising expenses did not help earnings growth. Management provided its initial 2018 outlook that is only slightly better than consensus, and with the new tax rate providing close to half of the growth. Colgate could be reassessing its growth strategy as it recently acquired 2 small skin care companies. We maintain our price target and position size. Continue reading “Colgate 4Q17 earnings results disappointing”