Church & Dwight (CHD) Gets Upgrade from Rothschild & Co Redburn on More Attractive Valuation

Church & Dwight Co., Inc. (NYSE:CHD) is included among the 16 Best Dividend Stocks with Rising Payouts.

On February 13, Rothschild & Co Redburn analyst Edward Lewis upgraded Church & Dwight Co., Inc. (NYSE:CHD) to Neutral from Sell. The analyst also raised his price target to $91 from $81 on the stock. He explained that the firm’s earlier cautious view was based on expectations that growth would slow, which did not seem fully reflected in the stock’s premium valuation at the time. With the valuation now more reasonable, the firm said it had become more comfortable with the shares.

Earlier, on January 30, Church & Dwight reported quarterly results that came in ahead of Wall Street expectations. The company benefited from steady demand across both affordable and premium household products, including laundry detergent and personal care items. This steady demand helped support earnings even as consumer conditions remained uneven.

The company also said it expects its gross margin to expand by about 100 basis points in 2026 compared with last year. That outlook reflects ongoing efforts to improve efficiency and strengthen profitability. Consumer goods companies across the US have been adjusting to a more cautious consumer environment. Inflation remains elevated, and economic uncertainty has made shoppers more selective. In response, companies like Church & Dwight have focused on product innovation, increased promotions, and more aggressive marketing to maintain sales momentum.

Over the past year, Church & Dwight has reshaped its business. It exited several slower-growing areas, including dietary supplements, Flawless grooming tools, and Waterpik showerhead products. These moves allowed the company to focus more on categories with stronger growth potential, particularly those that offer both value and premium options.

The company reported adjusted earnings of 86 cents per share for the fourth quarter, ahead of analysts’ estimate of 84 cents per share, according to LSEG data.CEO Rick Dierker said the company’s balanced mix of value and premium products, along with disciplined operations, helped it gain market share in several categories. This progress came even as the broader consumer and economic environment remained mixed.

Church & Dwight Co., Inc. (NYSE:CHD) develops, manufactures, and sells a range of household and personal care products. It also operates in specialty areas related to animal and food production, as well as chemicals and cleaning products.