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. CHD has only an average score on both its financial health and profitability. While showing a medium growth rate, CHD is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
CHD had positive earnings in the past year.
CHD had a positive operating cash flow in the past year.
Each year in the past 5 years CHD has been profitable.
In the past 5 years CHD always reported a positive cash flow from operatings.
1.2 Ratios
CHD has a Return On Assets (6.59%) which is in line with its industry peers.
The Return On Equity of CHD (13.42%) is comparable to the rest of the industry.
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 15.46%.
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
With a decent Profit Margin value of 9.58%, CHD is doing good in the industry, outperforming 66.67% of the companies in the same industry.
CHD's Profit Margin has declined in the last couple of years.
The Operating Margin of CHD (19.06%) is better than 83.33% of its industry peers.
In the last couple of years the Operating Margin of CHD has remained more or less at the same level.
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.
In the last couple of years the Gross Margin of CHD has remained more or less at the same level.
| 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.
The number of shares outstanding for CHD has been increased compared to 1 year ago.
CHD has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, CHD has an improved debt to assets ratio.
2.2 Solvency
CHD has an Altman-Z score of 5.47. This indicates that CHD is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of CHD (5.47) is better than 66.67% of its industry peers.
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.
CHD has a Debt to FCF ratio of 2.26. This is in the better half of the industry: CHD outperforms 75.00% of its industry peers.
CHD has a Debt/Equity ratio of 0.51. This is a neutral value indicating CHD is somewhat dependend on debt financing.
The Debt to Equity ratio of CHD (0.51) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.26 | ||
| Altman-Z | 5.47 |
ROIC/WACC1.42
WACC8.43%
2.3 Liquidity
A Current Ratio of 1.70 indicates that CHD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.70, CHD is in line with its industry, outperforming 41.67% of the companies in the same industry.
CHD has a Quick Ratio of 1.24. 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 Quick ratio (1.24) which is comparable to the rest of the industry.
| 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.
CHD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.83% yearly.
Looking at the last year, CHD shows a small growth in Revenue. The Revenue has grown by 4.08% in the last year.
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
CHD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.88% yearly.
Based on estimates for the next years, CHD will show a small growth in Revenue. The Revenue will grow by 3.39% on average per year.
EPS Next Y8.13%
EPS Next 2Y7.62%
EPS Next 3Y7.51%
EPS Next 5Y6.88%
Revenue Next Year3.09%
Revenue Next 2Y3.43%
Revenue Next 3Y3.56%
Revenue Next 5Y3.39%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.64, which means the current valuation is very expensive for CHD.
Compared to the rest of the industry, the Price/Earnings ratio of CHD indicates a rather expensive valuation: CHD more expensive than 83.33% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of CHD to the average of the S&P500 Index (28.87), we can say CHD is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 26.49, the valuation of CHD can be described as expensive.
Based on the Price/Forward Earnings ratio, CHD is valued a bit more expensive than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, CHD is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.64 | ||
| Fwd PE | 26.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHD is valued more expensive than 83.33% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHD indicates a slightly more expensive valuation: CHD is more expensive than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.91 | ||
| EV/EBITDA | 18.21 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CHD does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CHD may justify a higher PE ratio.
PEG (NY)3.52
PEG (5Y)4.2
EPS Next 2Y7.62%
EPS Next 3Y7.51%
5. Dividend
5.1 Amount
CHD has a Yearly Dividend Yield of 1.18%.
Compared to an average industry Dividend Yield of 2.79, CHD is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.46, CHD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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
CHD pays out 47.33% of its income as dividend. 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 2Y7.62%
EPS Next 3Y7.51%
98.81
-0.5 (-0.5%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners88.74%
Inst Owner Change0.72%
Ins Owners0.18%
Ins Owner Change10.5%
Market Cap24.32B
Analysts66.67
Price Target111.33 (12.67%)
Short Float %2.11%
Short Ratio2.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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)0.79%
PT rev (3m)1.4%
EPS NQ rev (1m)-0.39%
EPS NQ rev (3m)-7.97%
EPS NY rev (1m)-0.21%
EPS NY rev (3m)-0.98%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)-2.74%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.64 | ||
| Fwd PE | 26.49 | ||
| P/S | 3.98 | ||
| P/FCF | 24.91 | ||
| P/OCF | 21.03 | ||
| P/B | 5.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.21 |
EPS(TTM)3.45
EY3.49%
EPS(NY)3.73
Fwd EY3.78%
FCF(TTM)3.97
FCFY4.02%
OCF(TTM)4.7
OCFY4.75%
SpS24.81
BVpS17.72
TBVpS-3.9
PEG (NY)3.52
PEG (5Y)4.2
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 | 5.47 |
F-Score7
WACC8.43%
ROIC/WACC1.42
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 Y8.13%
EPS Next 2Y7.62%
EPS Next 3Y7.51%
EPS Next 5Y6.88%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y5.57%
Revenue growth 5Y6.98%
Sales Q2Q%3.53%
Revenue Next Year3.09%
Revenue Next 2Y3.43%
Revenue Next 3Y3.56%
Revenue Next 5Y3.39%
EBIT growth 1Y10.1%
EBIT growth 3Y-0.68%
EBIT growth 5Y6.55%
EBIT Next Year28.26%
EBIT Next 3Y12.26%
EBIT Next 5Y8.7%
FCF growth 1Y20.98%
FCF growth 3Y3.72%
FCF growth 5Y4.31%
OCF growth 1Y12.19%
OCF growth 3Y5.17%
OCF growth 5Y5.99%