Baking soda, laundry detergent, toothpaste and other home products are in demand when the economy is booming and when it's on the brink (or perhaps in) a recession. A leading provider of such home products, Church & Dwight is outperforming the market. On Thursday, the Relative Strength (RS) Rating, for Church & Dwight stock rose into the elite 90-plus level as it climbed to 91. That puts its stock in the top 9% of all stocks for price performance.
Research shows that stocks that go on to make the biggest gains tend to have an 80 or higher RS Rating in the early stages of their moves.
Church & Dwight Other Ratings Also Shine
Church & Dwight sells Arm & Hammer baking soda, OxiClean cleaning products, Orajel tooth and gum pain reliever and a host of other home and business products.
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Among its other ratings, Church & Dwight stock also has an 84 Composite Rating. The IBD Composite Rating helps investors easily measure the quality of a stock's fundamental and technical metrics. The best growth stocks have a Composite Rating of 90 or better.
Additionally Ewing, N.J.-based Church & Dwight carries an 82 EPS Rating and has a C+ Accumulation/Distribution Rating. The C+ A/D Rating indicates institutional investors are buying more shares than selling, a bullish sign. And its relative strength line, which compares a stock's performance vs. the S&P 500, is at the highest point since the end of 2020.
Working On Fresh Base
In terms of fundamentals, Church & Dwight stock is working on a cup-without-handle base with a 105.38 entry. See if the stock can break out in volume at least 40% higher than normal. Thursday midday, it was trading down a little more than 1% amid market contraction. It's risen about 19% from a mid-June low as it forms the right side of the base.
Church & Dwight earnings growth was flat, vs. the same quarter a year ago, in its most recent report at 83 cents per share. The prior two quarters its EPS rose 14%, then 21%. Revenue increased 5% last quarter to near $1.3 billion. The next quarterly results are expected on the morning of July 29.
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Church & Dwight earns the No. 2 rank among its peers in the Soap & Cleaning Preparation industry group. Ocean Bio Chem is the top-ranked stock within the group.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength. This unique rating measures market leadership by using a 1 (worst) to 99 (best) score that shows how a stock's price action over the last 52 weeks matches up against all other stocks in our database.
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