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CL makes toothpaste, toothbrushes, and other consumer products, most of which have natural ingredients. CL’s focus on emphasizing its Naturals line is paying considerable dividends as consumers continue to transition to products with all-natural and organic ingredients. It is particularly interesting to note CL has achieved a worldwide household penetration of more than 61%. This means 6 out of every 10 households in the United States use at least one CL product. As a result, CL raked in $16.5 billion in revenue this past year.
CL has a forward P/E ratio of 25.66. This is a slightly elevated ratio. However, CL has priced just below its 52-week high of $86.41 so the ratio is somewhat justified. CL’s merits include a low beta of 0.61 that indicates the stock will likely retain its value should the market get rocky.
