Colgate-Palmolive Company (CL)vsPepsiCo Inc (PEP)
CL
Colgate-Palmolive Company
$84.49
+1.03%
CONSUMER DEFENSIVE · Cap: $67.91B
PEP
PepsiCo Inc
$155.29
+2.06%
CONSUMER DEFENSIVE · Cap: $212.27B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 368% more annual revenue ($95.45B vs $20.38B). CL leads profitability with a 10.5% profit margin vs 9.2%. CL appears more attractively valued with a PEG of 1.50. PEP earns a higher WallStSmart Score of 63/100 (C+).
CL
Buy62
out of 100
Grade: C+
PEP
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.8%
Fair Value
$102.75
Current Price
$84.49
$18.26 discount
Margin of Safety
-2.3%
Fair Value
$154.87
Current Price
$155.29
$0.42 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 50 in profit
Large-cap with strong market position
Strong operational efficiency at 20.4%
Generating 1.3B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 44 in profit
Earnings expanding 27.8% YoY
Areas to Watch
Premium valuation, high expectations priced in
1.1% earnings growth
Weak financial health signals
Trading at 1207.0x book value
Expensive relative to growth rate
Trading at 9.9x book value
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CL
The strongest argument for CL centers on Return on Equity, Market Cap, Operating Margin.
Bull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
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 : PEP
The primary concerns for PEP are PEG Ratio, Price/Book, Piotroski F-Score.
Key Dynamics to Monitor
PEP carries more volatility with a beta of 0.41 — expect wider price swings.
PEP is growing revenue faster at 8.5% — sustainability is the question.
CL generates stronger free cash flow (1.3B), providing more financial flexibility.
Monitor HOUSEHOLD & PERSONAL PRODUCTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PEP scores higher overall (63/100 vs 62/100). CL offers better value entry with a 17.8% margin of safety. Both earn "Buy" and "Buy" 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 →PepsiCo Inc
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.
Compare with Other HOUSEHOLD & PERSONAL PRODUCTS Stocks
Want to dig deeper into these stocks?