Best Options Strategy for CL
Looking for the best options strategy for Colgate-Palmolive Company (CL)? There is no single answer — the right play depends on your outlook, your risk tolerance and current implied volatility. Below, our free engine shows the highest-scoring defined-risk strategy on the live CL option chain right now, and a simple map from your view on CL to the strategy that fits it. Model any of them in the calculator before you trade.
About CL
Colgate-Palmolive Company (CL) is a major company in Household & Personal Products. Options traders on CL tend to watch , since these can drive large moves in the share price.
About Colgate-Palmolive Company
# About Colgate-Palmolive Company
Colgate-Palmolive manufactures and distributes a broad range of consumer goods across two main business areas. Its Oral, Personal and Home Care segment produces toothpaste, toothbrushes, mouthwash, soaps, shampoos, deodorants, and household cleaning products sold under familiar brands like Colgate and Palmolive, alongside specialty brands such as Tom's of Maine, Irish Spring, and Fabuloso. The company also supplies pharmaceutical products for dental professionals. Its Pet Nutrition segment focuses on pet food and supplements, primarily through the Hill's brand, which offers both everyday nutrition products and prescription diets formulated for specific health conditions in dogs and cats, plus Prime100 fresh pet food in Australia. These products reach consumers via traditional retailers, e-commerce platforms, veterinarians, and specialty pet stores.
The company generates revenue by selling millions of units annually across developed and emerging markets worldwide. Its distribution network spans conventional grocery and drugstore channels, online marketplaces, and professional channels including dental and veterinary offices. With operations in…
Today's top-scoring strategy for CL
Our engine ranks defined-risk strategies on the live CL chain by probability of profit and risk/reward, then surfaces the best-scoring one. It is an educational illustration, not advice.
| Action | Qty | Type | Strike | Premium |
|---|---|---|---|---|
| Sell | 1× | CALL | $97.5 | $1.27 |
| Buy | 1× | CALL | $107.5 | $0.09 |
Simulation
Forward simulation of 6,000 lognormal price paths to expiration — not a historical backtest.
Strategy analysis
Greeks vs price
Price × volatility (today)
| −30% | −15% | IV | +15% | +30% | |
|---|---|---|---|---|---|
| $115 | −$838 | −$806 | −$772 | −$739 | −$708 |
| $111 | −$744 | −$702 | −$664 | −$632 | −$604 |
| $106 | −$559 | −$530 | −$507 | −$488 | −$472 |
| $101 | −$304 | −$311 | −$316 | −$319 | −$321 |
| $97 | −$70 | −$105 | −$133 | −$155 | −$173 |
| $92 | $64 | $34 | $3 | −$24 | −$49 |
| $87 | $109 | $96 | $79 | $59 | $38 |
| $83 | $117 | $115 | $109 | $99 | $87 |
| $78 | $118 | $118 | $117 | $114 | $109 |
| $74 | $118 | $118 | $118 | $117 | $116 |
| $69 | $118 | $118 | $118 | $118 | $118 |
Illustrative example at CL's latest available price, computed with the same engine as the tool. Live option fills and the real IV skew refresh during US market hours.
Implied volatility
CL is currently trading with moderate implied volatility, broadly in line with other large-cap stocks. On the options we scanned that was around 32% implied volatility, and higher implied volatility means richer premiums and wider expected moves.
Options on CL currently price in about 32% implied volatility, versus roughly 24% the stock has actually realised over the past month. That makes options relatively expensive — an edge for strategies that sell premium, such as credit spreads and iron condors.
CL's IV Rank is 100/100: implied volatility sits 100% of the way between its 10-day low (26%) and high (32%), and is above 91% of recorded days. Premium is historically rich, which favours net-credit strategies like credit spreads and iron condors.
Off that volatility, the options market is pricing a move of about ±$8.05 (±9%) in CL by 2026-09-11 — a range of roughly $84.04 to $100. Strikes inside that band hold most of the premium and see most of the action.
Across strikes, downside puts on CL trade at a higher implied volatility than upside calls — the market is paying up for crash protection. That skew favours selling put spreads or buying calls over symmetric trades.
CL insider trading activity (SEC Form 4)
Open-market insider transactions at CL over roughly the last six months, from SEC Form 4 filings. Open-market buys are the rarer, more telling signal — routine selling under pre-arranged plans is common, so read a net-selling figure with that in mind.
| Insider | Action | Shares | Value | Date |
|---|---|---|---|---|
| Wallace Noel R. | Sell | 161,021 | $14.9M | 2026-08-05 |
| Wallace Noel R. | Sell | 161,021 | $14.8M | 2026-08-04 |
| Malcolm Gregory | Sell | 2,300 | $203K | 2026-05-15 |
| Massey Sally | Sell | 8,599 | $752K | 2026-05-07 |
Source: SEC Form 4 filings via Finnhub. Open-market purchases (P) and sales (S) only — grants, option exercises, gifts and tax withholding are excluded. Informational context, not investment advice.
CL congressional trading (STOCK Act)
Recent CL stock trades disclosed by members of the US Congress under the STOCK Act. Lawmakers must report trades within 45 days; amounts are disclosed only as broad ranges, and a trade is not an endorsement — treat it as context, not a signal.
| Member | Chamber | Action | Amount | Date |
|---|---|---|---|---|
| Julie Johnson (TX32) | House | Buy | $1,001 - $15,000 | 2025-09-23 |
| Julie Johnson (TX32) | House | Sell | $1,001 - $15,000 | 2025-09-23 |
Source: US House & Senate financial disclosures via Financial Modeling Prep. Amounts are the disclosed ranges. Informational context, not investment advice.
Earnings & IV crush
CL's next earnings report is due around October 30, 2026. Options that expire after it price in a binary move, so their implied volatility is elevated and usually collapses right after the announcement — an "IV crush". If your expiration falls before this date, the trade sidesteps the event.
Dividend and assignment risk
CL pays a dividend of about 2.3% a year, so short or covered calls on it carry early-assignment risk around each ex-dividend date — in-the-money calls are most exposed just before the stock goes ex-dividend.
Key figures
- Market cap
- $74.4B
- Beta (vs market)
- 0.33
- 52-week range
- $74.55–$99.33 (71% up the range)
- Short interest
- 2.3% of float · 3.2 days to cover
How to choose an options strategy for CL
Start with your outlook on CL, then match it to a defined-risk structure. Here are the most common choices and when each makes sense:
Bullish
Buy a call for leverage with capped risk, or a bull call spread to lower the cost and breakeven when you have a target price.
Long Call → Bull Call Spread →Bearish
Buy a put to profit from a decline with defined risk, or a bear put spread to cheapen the trade when you expect a measured move down.
Long Put → Bear Put Spread →Neutral
Sell an iron condor to collect premium while CL stays between two strikes, or write a covered call against shares you already own.
Iron Condor → Covered Call →⧉ Embed this free calculator on your site →
How we pick the best strategy
For each ticker we pull the live option chain, build every supported strategy around the at-the-money strikes, and score them on probability of profit, risk/reward and capital efficiency — favouring defined-risk structures where the maximum loss is known up front. Methodology →
Open CL in the free calculator →
Frequently asked questions
What is the best options strategy for CL?
It depends on your outlook. Bullish traders often use a long call or bull call spread on CL; bearish traders a long put or bear put spread; neutral traders an iron condor or covered call. Our live scan above shows the current highest-scoring defined-risk play.
Are CL options liquid enough to trade?
Colgate-Palmolive Company (CL) is among the most actively-traded US options, which usually means tight bid/ask spreads and plenty of strikes and expirations — though you should always check the open interest and spread on the exact contract.
How much money do I need to trade CL options?
Buying a single CL call or put can cost as little as the premium (often one to a few hundred dollars), while income strategies like a cash-secured put need enough capital to buy 100 shares if assigned.
Is this financial advice?
No. Everything here is educational and uses delayed, third-party data. It is not a recommendation to trade CL or any security. Do your own research.
What does Colgate-Palmolive Company do?
Colgate-Palmolive Company (CL) operates in the Household & Personal Products industry. The "About Colgate-Palmolive Company" section above gives a fuller picture of what the company does and how it earns money.
Does Colgate-Palmolive Company pay a dividend?
Yes — Colgate-Palmolive Company currently pays a dividend yielding about 2.3%. If you hold the shares (for example to write a covered call), the ex-dividend date can trigger early assignment, so check it beforehand.
When does Colgate-Palmolive Company next report earnings?
Colgate-Palmolive Company's next earnings are expected around October 30, 2026. Implied volatility usually climbs into the report and drops sharply afterwards (IV crush) — important for any options position held over the date.
Tickers related to CL
Comparing CL with similar names can help you choose the best options strategy:
Company information
- Headquarters
- 300 Park Avenue, New York, NY, 10022-7499, United States
- Industry
- Household & Personal Products
- Employees
- 33,600
- CEO
- Mr. Noel R. Wallace
- Phone
- 212 310 2000
- Website
- www.colgatepalmolive.com
- Investor relations
- investor.colgate.com
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