WallStSmart

Colgate-Palmolive Company (CL)vsHonest Company Inc (HNST)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Colgate-Palmolive Company generates 5389% more annual revenue ($20.38B vs $371.32M). CL leads profitability with a 10.5% profit margin vs -4.2%. CL earns a higher WallStSmart Score of 56/100 (C).

CL

Buy

56

out of 100

Grade: C

Growth: 4.7Profit: 8.5Value: 4.7Quality: 3.3
Piotroski: 3/9

HNST

Hold

42

out of 100

Grade: D

Growth: 4.0Profit: 3.0Value: 5.0Quality: 6.5
Piotroski: 2/9Altman Z: 0.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CLSignificantly Overvalued (-279.8%)

Margin of Safety

-279.8%

Fair Value

$22.51

Current Price

$85.49

$62.98 premium

UndervaluedFair: $22.51Overvalued

Intrinsic value data unavailable for HNST.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CL4 strengths · Avg: 8.8/10
Return on EquityProfitability
49.7%10/10

Every $100 of equity generates 50 in profit

Market CapQuality
$67.75B9/10

Large-cap with strong market position

Operating MarginProfitability
20.4%8/10

Strong operational efficiency at 20.4%

Free Cash FlowQuality
$1.28B8/10

Generating 1.3B in free cash flow

HNST2 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

CL4 concerns · Avg: 3.3/10
P/E RatioValuation
32.1x4/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
1.1%4/10

1.1% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.262/10

Expensive relative to growth rate

HNST4 concerns · Avg: 3.3/10
EPS GrowthGrowth
3.3%4/10

3.3% earnings growth

Market CapQuality
$300.31M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
1.3%3/10

Operating margin of 1.3%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : CL

The strongest argument for CL centers on Return on Equity, Market Cap, Operating Margin.

Bull Case : HNST

The strongest argument for HNST centers on Debt/Equity, Price/Book.

Bear Case : CL

The primary concerns for CL are P/E Ratio, EPS Growth, Piotroski F-Score. Debt-to-equity of 147.93 is elevated, increasing financial risk.

Bear Case : HNST

The primary concerns for HNST are EPS Growth, Market Cap, Operating Margin.

Key Dynamics to Monitor

CL profiles as a value stock while HNST is a turnaround play — different risk/reward profiles.

HNST carries more volatility with a beta of 2.26 — expect wider price swings.

CL is growing revenue faster at 5.8% — sustainability is the question.

CL generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

CL scores higher overall (56/100 vs 42/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Colgate-Palmolive Company

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

Colgate-Palmolive Company is an American multinational consumer products company headquartered on Park Avenue in Midtown Manhattan, New York City. It specializes in the production, distribution and provision of household, health care, personal care and veterinary products.

Visit Website →

Honest Company Inc

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

The Honest Company, Inc. manufactures and sells baby, beauty and personal care products. The company is headquartered in Los Angeles, California.

Visit Website →

Want to dig deeper into these stocks?