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CHD (Church & Dwight Co) Financial Strength : 7 (As of Dec. 2024)


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What is Church & Dwight Co Financial Strength?

Church & Dwight Co has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Church & Dwight Co's Interest Coverage for the quarter that ended in Dec. 2024 was 10.97. Church & Dwight Co's debt to revenue ratio for the quarter that ended in Dec. 2024 was 0.35. As of today, Church & Dwight Co's Altman Z-Score is 5.69.


Competitive Comparison of Church & Dwight Co's Financial Strength

For the Household & Personal Products subindustry, Church & Dwight Co's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Church & Dwight Co's Financial Strength Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Church & Dwight Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Church & Dwight Co's Financial Strength falls into.


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Church & Dwight Co Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Church & Dwight Co's Interest Expense for the months ended in Dec. 2024 was $-23 Mil. Its Operating Income for the months ended in Dec. 2024 was $257 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $2,205 Mil.

Church & Dwight Co's Interest Coverage for the quarter that ended in Dec. 2024 is

Interest Coverage=-1*Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*256.7/-23.4
=10.97

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Church & Dwight Co's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 2204.6) / 6328
=0.35

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Church & Dwight Co has a Z-score of 5.69, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 5.69 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Church & Dwight Co  (NYSE:CHD) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Church & Dwight Co has the Financial Strength Rank of 7.


Church & Dwight Co Financial Strength Related Terms

Thank you for viewing the detailed overview of Church & Dwight Co's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Church & Dwight Co Business Description

Address
500 Charles Ewing Boulevard, Ewing, NJ, USA, 08628
Church & Dwight is the leading global producer of baking soda. Its portfolio extends beyond its legacy category to include laundry products, cat litter, oral care, deodorant, and nasal care, all sold under the Arm & Hammer brand. Its mix also includes Batiste, OxiClean, Vitafusion, Waterpik, Hero, and TheraBreath, which together with Arm & Hammer constitute around 70% of its annual sales and profits. Even as it works to grow the reach of its products, Church & Dwight still derives around 80% of its sales from its home market in the US.
Executives
Rene Hemsey officer: E.V.P. HR 500 CHARLES EWING BLVD, EWING NJ 08628
De Maynadier Patrick D officer: EVP, Gen. Counsel & Secretary
Matthew Farrell officer: Vice President Finance and CFO
Michael Read officer: EVP, International 500 CHARLES EWING BLVD, EWING NJ 08628
Ravichandra Krishnamurty Saligram director C/O NEWELL BRANDS INC., 6655 PEACHTREE DUNWOODY ROAD, ATLANTA GA 30328
Bradley C Irwin director 469 NORTH HARRISON STREET, PRINCETON NJ 08543
Rick Spann officer: E.V.P. Global Operations 500 CHARLES EWING BLVD, EWING NJ 08628
Joseph James Longo officer: VP, Controller and CAO 500 CHARLES EWING BLVD, EWING NJ 08628
Arthur B Winkleblack director
Barry A. Bruno officer: EVP, International 500 CHARLES EWING BLVD, EWING NJ 08628
Carlen Hooker officer: EVP, Chief Commercial Officer 500 CHARLES EWING BLVD, EWING NJ 08628
Richard A Dierker officer: E.V.P. Finance & C.F.O. 500 CHARLES EWING BLVD, EWING NJ 08628
Robert K Shearer director 400 NORTH ELM STREET, GREENSBORO NC 27403
Penry W Price director 469 N. HARRISON STREET, PRINCETON NJ 08530
Brian D Buchert officer: EVP of Strategy, M&A, and BP 500 CHARLES EWING BLVD, EWING NJ 08628