01:10 PM EDT, 04/29/2024 (MT Newswires) -- Colgate-Palmolive's ( CL ) strong Q1 results, showcasing balanced growth beyond pricing, with increased ad spend, positive organic sales growth and general merchandise outcomes, support expectations for the company to sustain outperformance compared with peers along with clear 2024 EPS upside, Morgan Stanley said in a note Monday.

"This strong topline and income statement balance both point to sustainability of CL OSG outperformance vs peers over time," according to the note.

Colgate-Palmolive ( CL ) exceeded Visible Alpha consensus with revenue, gross profit, operating profit, and EPS by 2.3%, 4.4%, 4.3%, and 5.3%, respectively, "albeit with unchanged, but seemingly conservative unchanged FY EPS guidance with higher [foreign exchange rates]," Morgan Stanley said.

Morgan Stanley foresees Colgate-Palmolive's ( CL ) long-term growth outpacing peers due to strategic shifts, global oral care gains, robust pricing power, increased ad spend, stronger international presence, attractive geographic and category expansion, and solid trends in the pet market, the report said.

Morgan Stanley reiterated its overweight rating on Colgate-Palmolive ( CL ) with a price target of $101.

Price: 90.13, Change: -0.88, Percent Change: -0.97