Church & Dwight (CHD) AI Stock Analysis

988 Followers

Church & Dwight

(NYSE:CHD)

Select Model

Rating:75Outperform

Price Target:$121.00▲(8.02% Upside)

Action:reiterated

Date:10/31/26

CHD scores well on financial quality and a notably upbeat earnings outlook (raised guidance, margin expansion, strong brand performance), supported by constructive technical momentum. The primary constraint on the score is valuation—P/E is high and dividend yield is modest—reducing margin of safety despite solid fundamentals.

Positive Factors

Brand strength and share gainsLeading brands are gaining share in large household and personal-care categories, indicating durable consumer acceptance and effective innovation. Continued strength in ARM & HAMMER and THERABREATH can support repeat purchases, distribution gains, and sustained revenue growth over coming quarters.

Negative Factors

Inflation and transportation pressureMaterial inflation and freight pressure can compress margins if pricing, productivity, and mix do not fully offset higher costs. Management included approximately $150 million of inflation in its outlook, indicating that cost pressure remains relevant to profitability over the next several quarters.

Church & Dwight Key Performance Indicators (KPIs)

Revenue by SegmentBreaks down revenue by different business segments, highlighting which areas are driving growth and profitability, and where there might be challenges or opportunities for expansion.

Chart Insights

Domestic sales are broadly stable but lumpy and largely a volume/seasonality story; the real growth engine is international, which has accelerated steadily and aligns with management’s Q2 callout of double‑digit international organic strength and upgraded guidance. E‑commerce and recent M&A (MISS MOUTH) are amplifying reach and share gains, while Specialty Products remains small and only modestly contributory. That mix shift — faster international/e‑commerce growth plus targeted acquisitions — underpins the margin and outlook upgrade despite domestic promotional and tariff headwinds.

Data provided by:

The Fly

Church & Dwight (CHD) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $26.38B
Dividend Yield: 1.09%
Average Volume (3M): 1.90M
Price to Earnings (P/E): 34.4
Beta (1Y): 0.09
Revenue Growth: 1.70%
EPS Growth: 2.07%
Country: US
Employees: 5,550
Sector: Consumer Defensive
Sector Strength: 62
Industry: Household & Personal Products

Church & Dwight Business Overview & Revenue Model

Company Description

Church & Dwight Co., Inc. is a company dedicated to the creation, production, and marketing of a diverse portfolio encompassing household, personal care, and specialized industrial goods. Its operations are structured into three principal divisions:...

How the Company Makes Money

Church & Dwight makes money primarily by selling branded consumer products to retailers and distributors, with revenue recognized from product shipments (net of trade promotions, discounts, and returns where applicable). Its core revenue stream is th...

Church & Dwight Earnings Call Summary

Earnings Call Date:Oct 30, 2026(Q3-2026)|% Change Since:5.68%|Next Earnings Date:Jan 29, 2027

Earnings Call SentimentPositive

The call was strongly positive overall. The company delivered broad-based organic growth, exceeded third-quarter expectations, expanded gross margin, increased adjusted EPS by 13.6%, raised its 2026 outlook and reported strong performance across domestic, international and specialty products. The main challenges were inflation, transportation costs, elevated promotional activity, consumer pressure and slower-than-expected TOUCHLAND growth, but management described productivity, innovation, distribution gains and international expansion as important offsets.

Positive Updates

Third-Quarter Results Exceeded Outlook

Net sales increased 1%, ahead of the outlook for a 1% decline. Organic sales grew 5.1%, well above the approximately 3% outlook, with growth across all three divisions. Volume increased 4.6% and price and mix contributed 0.5%.

Negative Updates

Inflation and Transportation Cost Pressure

The company cited challenging conditions, including inflationary pressure related to the Middle East conflict and increasing global transportation rates. The 2026 outlook includes approximately $150 million of inflation, which is $50 million more than the original outlook and $20 million more than the July outlook, assuming roughly $100 crude oil. Inflation and transportation costs were a 180-basis-point gross-margin headwind in the quarter.

Company Guidance

For 2026, Church & Dwight expects organic sales growth of approximately 5% at the high end of its prior range of 4% to 5%, adjusted gross margin to expand approximately 100 basis points, marketing investments to remain at approximately 11% of sales, SG&A as a percentage of sales to remain above 2025 levels, an adjusted tax rate of approximately 21%, adjusted EPS of approximately 7%, tightening on its prior range of 6% to 8%, and cash from operations of approximately $1.175 billion; the outlook includes approximately $150 million of inflation, assumes roughly a crude oil price of $100 a barrel, and the fourth quarter outlook is organic sales growth of approximately 4% and adjusted EPS expected to increase 17% to 19% versus last year. For 2027, the company expects category growth of around 2.5%, another record year for productivity, growth from TOUCHLAND, and growth initiatives to be tailwinds in '27, '28 and '29.

Church & Dwight Financial Statement Overview

Summary

Strong consumer-staples quality overall: healthy TTM profitability (gross margin ~45.6%, net margin ~12.0%), attractive returns (TTM ROE ~17.8%), and robust free cash flow (~$1.06B; ~88% of net income). Offsets include margin volatility versus 2021–2023, meaningful (though improving) leverage, and softer recent free-cash-flow momentum (TTM FCF down ~5.2%).

Income Statement

78Positive

Balance Sheet

74Positive

Cash Flow

71Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.25B	6.20B	6.11B	5.87B	5.38B	5.19B
Gross Profit	2.88B	2.77B	2.79B	2.59B	2.25B	2.26B
EBITDA	1.29B	1.30B	1.09B	1.30B	831.90M	1.31B
Net Income	774.80M	736.80M	585.30M	755.60M	413.90M	827.50M
Balance Sheet
Total Assets	9.34B	8.91B	8.88B	8.57B	8.35B	8.00B
Cash, Cash Equivalents and Short-Term Investments	446.90M	409.00M	964.10M	344.50M	270.30M	240.60M
Total Debt	2.21B	2.21B	2.41B	2.61B	2.85B	2.73B
Total Liabilities	4.85B	4.91B	4.52B	4.71B	4.86B	4.76B
Stockholders Equity	4.48B	4.00B	4.36B	3.86B	3.49B	3.23B
Cash Flow
Free Cash Flow	1.06B	1.09B	976.40M	807.10M	706.40M	875.00M
Operating Cash Flow	1.20B	1.22B	1.16B	1.03B	885.20M	993.80M
Investing Cash Flow	-294.30M	-616.90M	-183.30M	-234.30M	-728.60M	-682.00M
Financing Cash Flow	-766.40M	-1.16B	-343.40M	-725.60M	-120.90M	-252.10M

Church & Dwight Technical Analysis

Technical Analysis SentimentPositive

Last Price112.02

Price Trends

50DMA100.61Positive

100DMA99.74Positive

200DMA98.05Positive

Market Momentum

MACD3.11Negative

RSI67.16Neutral

STOCH63.97Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CHD, the sentiment is Positive. The current price of 112.02 is above the 20-day moving average (MA) of 107.15, above the 50-day MA of 100.61, and above the 200-day MA of 98.05, indicating a bullish trend. The MACD of 3.11 indicates Negative momentum. The RSI at 67.16 is Neutral, neither overbought nor oversold. The STOCH value of 63.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CHD.

Church & Dwight Risk Analysis

Church & Dwight disclosed 35 risk factors in its most recent earnings report. Church & Dwight reported the most risks in the "Legal & Regulatory" category.

Legal & Regulatory - Litigation, compliance, new legislation, and taxation risks

Latest Risks Added

3 New Risks

1.We may be unable to successfully identify, finance, complete and integrate future strategic acquisitions, or successfully complete or realize the anticipated benefits of strategic divestitures.Q4, 2025

2.Investments in our facilities and operations, including investments in new facilities, equipment, technologies and digital transformation, may result in periods of decreased production or increased costs and such investments may not achieve the intended financial benefits.Q4, 2025

3.The estimates and assumptions on which our financial projections are based may prove to be inaccurate, which may cause our actual results to materially differ from such projections, which may adversely affect expectations regarding our future profitability and cash flows, which may impact our stock price.Q4, 2023

Church & Dwight Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

CHD against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHD	75Outperform	$26.38B	34.36	18.21%	1.09%	1.70%	2.07%
PG	72Outperform	$390.92B	24.84	29.55%	2.58%	3.52%	-3.74%
CL	67Neutral	$77.97B	38.07	1135.82%	2.15%	5.91%	-28.30%
CLX	64Neutral	$12.91B	19.22	-1920.57%	4.66%	6.28%	-13.15%
UL	64Neutral	$141.29B	13.84	58.26%	3.38%	-17.45%	8.84%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

* Consumer Defensive Sector Average

Performance Comparison

CHD and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
CHD	Church & Dwight Company	112.02	28.16	33.59%
CLX	Clorox Company	106.86	7.63	7.69%
CL	Colgate-palmolive Company	98.00	21.06	27.37%
PG	Procter & Gamble Company	167.67	23.88	16.61%
UL	Unilever plc	65.78	2.77	4.39%

Church & Dwight Corporate Events

Executive/Board Changes

Church & Dwight Adds Independent Director Jonathon Nudi

Positive

Oct 29, 2026

On October 27, 2026, Church & Dwight’s board elected Masco Corporation CEO Jonathon J. Nudi as an independent director, effective January 1, 2027, expanding the board to 12 members. Nudi, who previously spent more than 30 years in leadership roles at...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 31, 2026

Church & Dwight AI Stock Analysis