Church & Dwight Co., Inc. (CHD), headquartered in Ewing, New Jersey, develops, manufactures, and markets household, personal care, and specialty products. Valued at $25.36 billion by market cap, the company’s key brands include ARM & HAMMER, OXICLEAN, VITAFUSION, BATISTE, WATERPIK, THERABREATH, and HERO. The leading U.S. producer of sodium bicarbonate is expected to announce its fiscal second-quarter earnings for 2024 before the market opens on Friday, Aug. 2.
Ahead of the event, analysts expect CHD to report a profit of $0.84 per share on a diluted basis, down 8.7% from $0.92 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
For fiscal 2024, analysts expect CHD to report EPS of $3.46, up 9.2% from $3.17 in fiscal 2023.
CHD stock has underperformed the S&P 500’s ($SPX) 16.2% gains on a YTD basis, with shares up 8.1% during this period. Similarly, it underperformed the S&P 500 Cons Staples Sector SPDR’s (XLP) 8.8% gains over the same time frame.
On May 2, CHD reported its Q1 results. Its net earnings were $227.70 million, and adjusted EPS was $0.96, beating the consensus estimates of $0.86. The company’s revenue was $1.50 billion, surpassing Wall Street estimates of $1.49 billion. For the current quarter, the company expects an adjusted EPS of $0.83, down 10% compared to the previous quarter’s adjusted EPS. It also expects reported sales growth of approximately 3.5% and organic sales growth of approximately 4%.
CHD expects full-year EPS to be between $3.42 and $3.45, with growth of 8% to 9%, which is up from the previous growth forecast of 7% to 9%. For 2024, the company expects reported and organic sales growth to be approximately 4% to 5%. CHD shares closed down marginally on the day the results were released and have been on a downtrend since then.
Analysts’ consensus opinion on CHD stock is bullish, with a “Moderate Buy” rating overall. Out of 20 analysts covering the stock, seven advise a “Strong Buy” rating, one has a “Moderate Buy” rating, nine recommend a “Hold” rating, and three give a “Strong Sell.” The average analyst price target for CHD is $107.70, indicating a 5.4% potential upside from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
