CHURCH & DWIGHT CO INC (CHD) Stock Fundamental Analysis
NYSE:CHD - New York Stock Exchange, Inc. - US1713401024 - Common Stock - Currency: USD
CHD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 12 industry peers in the Household Products industry. Both the profitability and the financial health of CHD get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, CHD is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year CHD was profitable.
In the past year CHD had a positive cash flow from operations.
Each year in the past 5 years CHD has been profitable.
CHD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CHD's Return On Assets of 6.59% is in line compared to the rest of the industry. CHD outperforms 41.67% of its industry peers.
CHD has a Return On Equity of 13.42%. This is comparable to the rest of the industry: CHD outperforms 41.67% of its industry peers.
CHD's Return On Invested Capital of 11.96% is in line compared to the rest of the industry. CHD outperforms 50.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CHD is below the industry average of 15.71%.
The 3 year average ROIC (11.43%) for CHD is below the current ROIC(11.96%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 13.42% | ||
| ROIC | 11.96% |
ROA(3y)6.79%
ROA(5y)8.26%
ROE(3y)14.96%
ROE(5y)19.3%
ROIC(3y)11.43%
ROIC(5y)12.36%
1.3 Margins
CHD has a Profit Margin of 9.58%. This is in the better half of the industry: CHD outperforms 66.67% of its industry peers.
In the last couple of years the Profit Margin of CHD has declined.
With an excellent Operating Margin value of 19.06%, CHD belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
CHD's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 45.69%, CHD is doing good in the industry, outperforming 75.00% of the companies in the same industry.
CHD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.06% | ||
| PM (TTM) | 9.58% | ||
| GM | 45.69% |
OM growth 3Y-5.93%
OM growth 5Y-0.41%
PM growth 3Y-15.6%
PM growth 5Y-7.48%
GM growth 3Y1.56%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CHD is creating some value.
Compared to 1 year ago, CHD has more shares outstanding
The number of shares outstanding for CHD remains at a similar level compared to 5 years ago.
The debt/assets ratio for CHD has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.91 indicates that CHD is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.91, CHD is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
The Debt to FCF ratio of CHD is 2.26, which is a good value as it means it would take CHD, 2.26 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.26, CHD is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
CHD has a Debt/Equity ratio of 0.51. This is a neutral value indicating CHD is somewhat dependend on debt financing.
CHD has a better Debt to Equity ratio (0.51) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.26 | ||
| Altman-Z | 5.91 |
ROIC/WACC1.41
WACC8.51%
2.3 Liquidity
CHD has a Current Ratio of 1.70. This is a normal value and indicates that CHD is financially healthy and should not expect problems in meeting its short term obligations.
CHD has a Current ratio of 1.70. This is comparable to the rest of the industry: CHD outperforms 41.67% of its industry peers.
A Quick Ratio of 1.24 indicates that CHD should not have too much problems paying its short term obligations.
CHD has a Quick ratio of 1.24. This is comparable to the rest of the industry: CHD outperforms 58.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
CHD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.29%, which is quite good.
The Earnings Per Share has been growing slightly by 6.83% on average over the past years.
CHD shows a small growth in Revenue. In the last year, the Revenue has grown by 4.08%.
CHD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.98% yearly.
EPS 1Y (TTM)11.29%
EPS 3Y4.42%
EPS 5Y6.83%
EPS Q2Q%18.46%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y5.57%
Revenue growth 5Y6.98%
Sales Q2Q%3.53%
3.2 Future
Based on estimates for the next years, CHD will show a small growth in Earnings Per Share. The EPS will grow by 6.82% on average per year.
The Revenue is expected to grow by 3.73% on average over the next years.
EPS Next Y8.56%
EPS Next 2Y7.88%
EPS Next 3Y7.77%
EPS Next 5Y6.82%
Revenue Next Year3.25%
Revenue Next 2Y3.52%
Revenue Next 3Y3.65%
Revenue Next 5Y3.73%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 32.56, which means the current valuation is very expensive for CHD.
Based on the Price/Earnings ratio, CHD is valued expensively inside the industry as 83.33% of the companies are valued cheaper.
When comparing the Price/Earnings ratio of CHD to the average of the S&P500 Index (29.35), we can say CHD is valued inline with the index average.
The Price/Forward Earnings ratio is 29.99, which means the current valuation is very expensive for CHD.
CHD's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CHD is more expensive than 75.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.10. CHD is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.56 | ||
| Fwd PE | 29.99 |
4.2 Price Multiples
CHD's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. CHD is more expensive than 83.33% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CHD is valued a bit more expensive than the industry average as 75.00% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.3 | ||
| EV/EBITDA | 20.57 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CHD may justify a higher PE ratio.
PEG (NY)3.81
PEG (5Y)4.77
EPS Next 2Y7.88%
EPS Next 3Y7.77%
5. Dividend
5.1 Amount
CHD has a Yearly Dividend Yield of 1.06%.
Compared to an average industry Dividend Yield of 2.57, CHD is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.33, CHD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
5.2 History
The dividend of CHD has a limited annual growth rate of 4.47%.
CHD has been paying a dividend for at least 10 years, so it has a reliable track record.
CHD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.47%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
47.33% of the earnings are spent on dividend by CHD. This is a bit on the high side, but may be sustainable.
CHD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP47.33%
EPS Next 2Y7.88%
EPS Next 3Y7.77%
112.33
+1.44 (+1.3%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners88.74%
Inst Owner Change0.14%
Ins Owners0.18%
Ins Owner Change5.65%
Market Cap27.63B
Analysts66.67
Price Target110.46 (-1.66%)
Short Float %2.12%
Short Ratio3.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
Yearly Dividend1.13
Dividend Growth(5Y)4.47%
DP47.33%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.08%
Min EPS beat(2)-0.49%
Max EPS beat(2)14.65%
EPS beat(4)3
Avg EPS beat(4)8.16%
Min EPS beat(4)-0.49%
Max EPS beat(4)14.65%
EPS beat(8)6
Avg EPS beat(8)6.64%
EPS beat(12)9
Avg EPS beat(12)-10.85%
EPS beat(16)13
Avg EPS beat(16)-6.49%
Revenue beat(2)2
Avg Revenue beat(2)0.08%
Min Revenue beat(2)0.04%
Max Revenue beat(2)0.13%
Revenue beat(4)2
Avg Revenue beat(4)-0.3%
Min Revenue beat(4)-0.97%
Max Revenue beat(4)0.13%
Revenue beat(8)6
Avg Revenue beat(8)0.52%
Revenue beat(12)7
Avg Revenue beat(12)0.31%
Revenue beat(16)10
Avg Revenue beat(16)0.48%
PT rev (1m)-0.31%
PT rev (3m)1.03%
EPS NQ rev (1m)-0.75%
EPS NQ rev (3m)-7.44%
EPS NY rev (1m)-0.65%
EPS NY rev (3m)-0.59%
Revenue NQ rev (1m)-0.39%
Revenue NQ rev (3m)-2.42%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.56 | ||
| Fwd PE | 29.99 | ||
| P/S | 4.52 | ||
| P/FCF | 28.3 | ||
| P/OCF | 23.9 | ||
| P/B | 6.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.57 |
EPS(TTM)3.45
EY3.07%
EPS(NY)3.75
Fwd EY3.33%
FCF(TTM)3.97
FCFY3.53%
OCF(TTM)4.7
OCFY4.18%
SpS24.83
BVpS17.73
TBVpS-3.91
PEG (NY)3.81
PEG (5Y)4.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 13.42% | ||
| ROCE | 15.38% | ||
| ROIC | 11.96% | ||
| ROICexc | 13.71% | ||
| ROICexgc | 70.64% | ||
| OM | 19.06% | ||
| PM (TTM) | 9.58% | ||
| GM | 45.69% | ||
| FCFM | 15.99% |
ROA(3y)6.79%
ROA(5y)8.26%
ROE(3y)14.96%
ROE(5y)19.3%
ROIC(3y)11.43%
ROIC(5y)12.36%
ROICexc(3y)12.35%
ROICexc(5y)13.1%
ROICexgc(3y)72.7%
ROICexgc(5y)174.51%
ROCE(3y)14.76%
ROCE(5y)16.27%
ROICexcg growth 3Y-49.88%
ROICexcg growth 5Y-2.25%
ROICexc growth 3Y-4.16%
ROICexc growth 5Y3.32%
OM growth 3Y-5.93%
OM growth 5Y-0.41%
PM growth 3Y-15.6%
PM growth 5Y-7.48%
GM growth 3Y1.56%
GM growth 5Y0.07%
F-Score7
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.26 | ||
| Debt/EBITDA | 1.57 | ||
| Cap/Depr | 75.2% | ||
| Cap/Sales | 2.94% | ||
| Interest Coverage | 12.33 | ||
| Cash Conversion | 82.39% | ||
| Profit Quality | 166.82% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.24 | ||
| Altman-Z | 5.91 |
F-Score7
WACC8.51%
ROIC/WACC1.41
Cap/Depr(3y)85.36%
Cap/Depr(5y)72.49%
Cap/Sales(3y)3.36%
Cap/Sales(5y)2.88%
Profit Quality(3y)148.1%
Profit Quality(5y)132.69%
High Growth Momentum
Growth
EPS 1Y (TTM)11.29%
EPS 3Y4.42%
EPS 5Y6.83%
EPS Q2Q%18.46%
EPS Next Y8.56%
EPS Next 2Y7.88%
EPS Next 3Y7.77%
EPS Next 5Y6.82%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y5.57%
Revenue growth 5Y6.98%
Sales Q2Q%3.53%
Revenue Next Year3.25%
Revenue Next 2Y3.52%
Revenue Next 3Y3.65%
Revenue Next 5Y3.73%
EBIT growth 1Y10.1%
EBIT growth 3Y-0.68%
EBIT growth 5Y6.55%
EBIT Next Year28.44%
EBIT Next 3Y12.33%
EBIT Next 5Y8.03%
FCF growth 1Y20.98%
FCF growth 3Y3.72%
FCF growth 5Y4.31%
OCF growth 1Y12.19%
OCF growth 3Y5.17%
OCF growth 5Y5.99%