CHDNEUTRAL

Return on Equity (ROE)

16.8%

Updated 368h ago

Sector Performance

59th percentile

CHD

16.8%

Sector Median

13.8%

Sector Avg

31.4%

📊

Deep Analysis

Return on Equity (ROE) measures how efficiently a company generates profit from each dollar of shareholders’ equity, so CHD’s current 16.8% means it earns $0.168 for every $1 of equity.

This figure sits above the sector median of 14.4%, placing CHD in the 57th percentile among peers—slightly better than half of comparable companies. The trend data is not available: the year-over-year change is N/A and the quarter-over-quarter change is N/A, so no directional insight can be drawn from recent movements. The combination of a ROE above the sector median with no observable trend suggests a stable but unexceptional performance, limiting both upside opportunity and downside risk from this metric alone. This supports the overall NEUTRAL verdict, as the metric indicates CHD is performing adequately relative to peers without a clear positive or negative momentum to tilt the assessment.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about CHD?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are CHD's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: MRNA (-36.6%), FICO (-37.3%), XRAY (-37.7%), VRSN (-38.3%), MSCI (-45.3%).

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.