Analyst Estimates: Here's What Brokers Think Of Church & Dwight Co., Inc. (NYSE:CHD) After Its Annual Report

Church & Dwight Co., Inc. -0.85%

Church & Dwight Co., Inc.

CHD

107.15

-0.85%

Church & Dwight Co., Inc. (NYSE:CHD) came out with its annual results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Results were roughly in line with estimates, with revenues of US$6.1b and statutory earnings per share of US$2.37. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

earnings-and-revenue-growth
NYSE:CHD Earnings and Revenue Growth February 17th 2025

Taking into account the latest results, the consensus forecast from Church & Dwight's 22 analysts is for revenues of US$6.29b in 2025. This reflects a credible 3.0% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 55% to US$3.69. Before this earnings report, the analysts had been forecasting revenues of US$6.29b and earnings per share (EPS) of US$3.69 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

There were no changes to revenue or earnings estimates or the price target of US$107, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Church & Dwight analyst has a price target of US$126 per share, while the most pessimistic values it at US$68.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Church & Dwight shareholders.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Church & Dwight's past performance and to peers in the same industry. We would highlight that Church & Dwight's revenue growth is expected to slow, with the forecast 3.0% annualised growth rate until the end of 2025 being well below the historical 6.4% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 3.1% annually. Factoring in the forecast slowdown in growth, it looks like Church & Dwight is forecast to grow at about the same rate as the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at US$107, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Church & Dwight analysts - going out to 2027, and you can see them free on our platform here.

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