Church & Dwight Outlook - Bearish Signals and Mixed Analyst Views Weigh on CHD

1. Market Snapshot

Headline Takeaway: Church & Dwight is under pressure with a negative price trend and bearish technical signals suggesting it's best to avoid for now.

The recent performance of Church & Dwight (CHD) has been weak, with a falling price trend of -0.24% and a clear dominance of bearish signals (4 vs. 0 bullish) in the latest technical indicators.

2. News Highlights

Recent headlines have been dominated by developments in household services and retail tech rather than direct news about CHD. Here's what's stood out:

• E-Home Household Service announced a share consolidation to improve its capital structure. While this is not related to CHD, it signals a broader industry focus on restructuring.
• doxo launched doxoBILLS, a new consumer payment platform that could indirectly impact household brands like Church & Dwight. The platform aims to simplify the household bill pay experience, which could influence consumer spending behavior.
• Indian beauty retailer Nykaa saw its profit nearly triple in Q4, driven by high demand for premium products. While unrelated to CHD, it shows strong consumer demand in household and beauty categories, a sector Church & Dwight competes in.

3. Analyst Views & Fundamentals

Average Rating Score: 2.40 (simple mean), and Weighted Rating Score: 2.37 — both pointing to a generally bearish outlook.

The consensus is fairly consistent, with 2 "Neutral" and 3 "Sell" ratings from 4 institutions. These ratings align with the current falling price trend, reinforcing a cautious stance for investors.

Key Fundamental Factors and Internal Diagnostic Scores (0-10):

• ROA (Return on Assets): 2.17% (value) - internal score: 0. This low score indicates poor efficiency in generating profit from assets.
• Quick Ratio: 133% (value) - internal score: 0. A low liquidity score suggests the company has limited liquid assets to meet short-term obligations.
• Operating Cycle: 103.4 days (value) - internal score: 2. A long operating cycle could signal challenges in converting assets into cash.
• Net Cash Flow from Operating Activities (YoY Growth): -16.68% (value) - internal score: 2. A negative growth rate shows declining operating cash flow.
• Shareholders’ Equity Growth (YoY): 0.75% (value) - internal score: 1. A very low growth rate in equity raises concerns about capital strength.
• Interest Coverage Ratio: 19.82% (value) - internal score: 0. A weak score suggests the company may struggle to cover interest expenses.

4. Money-Flow Trends

Big-money players are showing negative sentiment, with the block inflow ratio at 49.81% and an overall inflow ratio of 49.77% across all fund sizes. Retail investors aren't faring better, with Small, Medium, and Extra-large inflow ratios all below 50%. This widespread negative flow is a red flag for CHD.

5. Key Technical Signals

Technical indicators are overwhelmingly bearish, with no bullish signals and 4 bearish signals. The internal technical score is a weak 3.13 out of 10, suggesting the stock is best avoided for now.

Recent Chart Patterns (Last 5 Days):

• 2025-09-04: WR Overbought and Marubozu White signals emerged, suggesting mixed momentum.
• 2025-09-05: WR Overbought again flagged, indicating overbought conditions but without follow-through.
• 2025-09-02: Dividend Payable Date triggered a neutral signal.

Internal Diagnostic Scores for Key Indicators:

• WR Overbought: 2.64 - weak internal strength.
• WR Oversold: 2.21 - even weaker, indicating no strong reversal signal.
• Dividend Payable Date: 3.76 - slightly better but still low.
• Marubozu White: 3.9 - a marginal positive, but not enough to offset the bearish trend.

6. Conclusion

Actionable Takeaway: Investors should consider avoiding Church & Dwight for now given the bearish technical profile and weak fundamental signals. The stock lacks clear upward momentum and has drawn skepticism from analysts. A better strategy might be to wait for a clearer trend or a potential earnings surprise before making a move.