Church & Dwight Buys Miss Mouth's to Strengthen Digital Fabric Care

Zacks Zacks
Öffnen unter Zacks
Church & Dwight Buys Miss Mouth's to Strengthen Digital Fabric Care

Church & Dwight Company, Inc. CHD has expanded its Fabric Care portfolio through the acquisition of the fast-growing Miss Mouth’s Messy Eater brand for approximately $325 million, with the transaction closing on May 28, 2026. The acquisition aligns closely with the company’s strategy of acquiring leading brands in proven categories that possess strong margins, asset-light business models and the ability to leverage Church & Dwight’s existing sales, distribution, innovation and operational capabilities.

Miss Mouth’s has established a strong market position through its fast-acting, non-toxic stain removal products, gaining significant traction among consumers seeking convenient cleaning solutions across multiple surfaces. The brand’s online sales hashave been a key driver of its success, helping it become the number one stain remover brand on Amazon. Strong customer loyalty and repeat purchases have supported rapid growth, while its success in e-commerce has facilitated expansion into multiple U.S. retail channels during the first half of fiscal 2026.

Management highlighted the brand’s strong appeal among Millennial and Gen Z parents, particularly those seeking safe, effective and eco-friendly cleaning products. The company believes Miss Mouth’s is well- positioned for digital and social media marketing, where authentic online reviews can continue to support gains in market share.

For the 12 months ended Dec. 31, 2025, Miss Mouth’s generated approximately $80 million in net sales and $28 million in EBITDA. Looking ahead, management expects the brand’s net sales to grow at a double-digit rate over the next couple of years, supported by broader distribution and rising household penetration. Despite already achieving leadership in e-commerce, household penetration remains in the low single digits compared with nearly 50% for the broader category, indicating a substantial growth runway.

While the acquisition is expected to be neutral to Church & Dwight’s 2026 earnings per share due to transition costs and acquisition-related expenses, management expects the transaction to become accretive to cash earnings in fiscal 2027. Overall, Miss Mouth’s adds a fast-growing brand with a strong e-commerce presence and expanding retail distribution to Church & Dwight’s Fabric Care portfolio.

The Zacks Rundown for CHD

Shares of CHD have gained 14.4% in the past six months against the industry’s decline of 3.9%. CHD currently carries a Zacks Rank #3 (Hold).

Zacks Investment Research
Image Source: Zacks Investment Research

From a valuation standpoint, CHD trades at a forward price-to-earnings ratio of 24.75, higher than the industry’s average of 17.51.

Zacks Investment Research
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for CHD’s current and next fiscal year earnings implies year-over-year growth of 6.2% and 6.9%, respectively.

Zacks Investment Research
Image Source: Zacks Investment Research

Stocks to Consider

Some better-ranked stocks have been discussed below:

ARKO Corp. ARKO operates a chain of convenience stores in the United States. ARKO currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for ARKO's current fiscal-year sales implies a decline of 2.8%, while the same for current fiscal-year earnings implies growth of 93.3% from the year-ago reported figures. ARKO delivered a trailing four-quarter earnings surprise of 43.2%, on average. 

Nestlé S.A. NSRGY offers family nutrition products, including early childhood, kids and teenagers, and maternal and adult products; cereals; dairy and drink products. At present, NSRGY carries a Zacks Rank of 2 (Buy).

The Zacks Consensus Estimate for NSRGY’s current fiscal-year sales and earnings implies growth of 9.1% and 6.8%, respectively, from the year-ago reported figures. NSRGY delivered a trailing four-quarter negative earnings surprise of 1%, on average.

Ryohin Keikaku Co., Ltd. RYKKY engages in the retail of household goods and food items in Japan and internationally. RYKKY currently carries a Zacks Rank #2.

The Zacks Consensus Estimate for RYKKY's current fiscal-year sales and earnings implies growth of 5.6% and 5.6%, respectively, from the year-ago actuals. 

Radical New Technology Could Hand Investors Huge Gains

Quantum Computing is the next technological revolution, and it could be even more advanced than AI.

While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.

Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power .

Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.

See Top Quantum Stocks Now >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report


 
Church & Dwight Co., Inc. (CHD): Free Stock Analysis Report
 
Nestle SA (NSRGY): Free Stock Analysis Report
 
ARKO Corp. (ARKO): Free Stock Analysis Report
 
Ryohin Keikaku Co. Ltd. (RYKKY): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research