Church & Dwight Co Inc.: Dividends Will Satisfy, Total Returns Look Dirty

One of my goals for the year was to increase my exposure to consumer staples companies in my portfolio. Consumer staples tend to have less fluctuations in their operations compared to other sectors of the economy. They also typically have pricing power and a strong baseline demand that doesn't change with the strength of the economy. Their stable nature makes many of them excellent candidates for investment within a dividend growth portfolio.

Identifying high quality consumer staples companies is the easy part. Finding the shares trading at attractive valuations is the hard part. One company that I've been watching for years is Church & Dwight (NYSE:CHD). Their products are likely found within just about every household in America. Looking at companies like Procter & Gamble (NYSE:PG) and Colgate-Palmolive (NYSE:CL), there's no doubt that there's profits and growing dividends within the sector.

What intrigues me most about Church & Dwight is their size. Church & Dwight's market cap sits at just 11.37 B while Procter & Gamble and Colgate-Palmolive sit at 211.74 B and 59.50 B, respectively. This makes them an excellent candidate for outsized growth compared to their competitors that are already behemoths.

Continue reading the Church & Dwight Co., Inc. Valuation Analysis on Seeking Alpha.

To view more of my analyses check out my Stock Analysis page or in the following Google Sheet.

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