Even though I’ve generally anointed The Coca-Cola Company as the signature stock that I associate this website with, I’m opening myself to the possibility that perhaps Colgate-Palmolive should be the quintessential company that I reference here.
At this point, I realize we’re arguing degrees of perfection in the business model. But the reason why I’m considering the possibility that Colgate-Palmolive should become my primary exemplar is this: there are two factors that make a company a quality investment. First, there is the quality of current profits. And secondly, there is the long-term growth prospects for those profits.
In terms of quality of the business model, Coca-Cola and Colgate-Palmolive are nearly identical. They sell … Read the rest of this article!