11:41 AM EDT, 10/23/2024 (MT Newswires) -- Colgate-Palmolive ( CL ) will likely report a strong Q3 print with "solid volumes and share gains" but investors will also be focusing on Latin America amid growing concerns surrounding the region, RBC Capital Markets said in a note to clients Wednesday.

"Overall, we expect a solid quarter for [Colgate-Palmolive ( CL )] but have tempered our expectations for the print relative to some of [Colgate-Palmolive's ( CL )] recent extremely impressive quarters," the note said.

RBC noted that while the company's management "sounded generally positive inter quarter," it also called out a "blip in Mexico in August."

The brokerage said that during this earnings season, "read throughs from international peers also suggest some slowing consumption in [Latin America] driven mainly by Mexico and Brazil."

"While we don't believe this is necessarily a thesis changer on [Colgate-Palmolive's ( CL )] ability in the region given the commentary, YTD performance and valuation, recent underperformance makes sense," the note said.

RBC has a sector perform rating on Colgate-Palmolive ( CL ) and a $101 price target.

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