Church & Dwight (NYSE:CHD) EPS Should Increase 10 Percent in 2011

EPS for Church & Dwight Co. Inc. (NYSE:CHD) should grow at a 10 pace in 2011, said Barclays (NYSE:BCS), citing their recent balance sheet.

Barclays said, "While we've acknowledged Church & Dwight's careful management of its P&L over the past 18 months, the balance sheet has been less of a focus other than to recognize the company's building cash balance and newly earned investment grade status this summer. Thanks to actions taken this quarter, the balance sheet should actually become a source of EPS flexibility in 2011, providing the cushion potentially needed for a step-up in marketing & promotional spending.

"What to do with the stock. With visibility into - $0.11/sh of benefit from recent balance sheet actions, we are more comfortable than we had previously been that Church & Dwight can deliver north of 10% earnings growth in 2011. We like seeing the company putting its cash to work in a way that is both opportunistic and productive for shareholders, while not impinging on its ability to fund strategic M&A. We've tweaked our EPS estimate up by $0.02 for 2011 to $4.38/sh, which amounts to - 10-11% earnings growth."

Barclays maintains an "Equalweight" on Church & Dwight Co. Inc., which closed Wednesday at $67.91, up $0.21, or 0.31 percent. They have a price target of $69 on them.