CHD - Embedded Expectations Analysis - 2021 06 02
Church & Dwight Co., Inc. (CHD:USA) currently trades near historical highs relative to UAFRS-based (Uniform) earnings, with a 27.3x Uniform P/E. At these levels, the market is pricing in bullish expectations for the firm, but management may have concerns about their adjusted EPS and sales growth, commodity headwinds, and managing pandemic-related costsSpecifically, management may lack confidence in their ability to meet their adjusted EPS and sales growth target, sustain International segment and organic sales growth, and manage overall costs. Moreover, they may have concerns about the sustainability of consumer demand for their products, their pricing and promotional actions, and the impact of commodity headwinds on their gross margins. Finally, they may be overstating the sustainability of FEMFRESH and Arm & Hammer brand performance
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