We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The maker of disinfectant wipes and beyond has seen its earnings outlook fade again recently.
The Clorox Company ((CLX - Free Report) ) stock has tanked since the middle of 2020, after its massive, but ultimately unsustainable surge at the start of COVID-19.
The maker of disinfectant wipes and beyond has seen its earnings outlook fade again recently, and its revenue is projected to dip in FY25 and FY26.
Why Investors Might Want to Stay Away from Clorox Stock
Clorox’s portfolio includes its namesake disinfectant wipes and other household and heavy-duty cleaning items such as Pine-Sol. On top of that, the firm’s portfolio features everything from Kingsford charcoal and Brita water filters to Hidden Valley, Burt’s Bees, and beyond.
Clorox breaks up its business into four categories: Health and Wellness (Cleaning; Professional Products), Household (Bags and Wraps; Cat Litter; Grilling), Lifestyle (Food; Natural Personal Care; Water Filtration), and International (Sales Outside the U.S.). CLX had posted rather steady sales growth for much of the last 20 years, until recently.
Image Source: Zacks Investment Research
The household products standout saw its revenue slip in two out of the past three years as it came up against an unsustainable stretch of Covid-boosted sales expansion. Worse still, its GAAP earnings fell off a cliff between its FY21 and FY23. On top of that, the entire Consumer Staples sector has lagged far behind the S&P 500 over the past decade.
Clorox missed our Q3 FY25 (period ended on Mar. 31) earnings estimate by 8% and its downbeat EPS guidance lands it a Zacks Rank #5 (Strong Sell). “Heightened macroeconomic uncertainties drove changes in shopping behaviors, resulting in temporary category slowdowns and lower sales. We expect these slowdowns to persist in the fourth quarter, as reflected in our updated outlook,” CEO Linda Rendle said in prepared remarks.
Image Source: Zacks Investment Research
Clorox’s adjusted earnings are projected to climb 15% in FY25. But its Q1 FY26 EPS is set to dive 19% YoY, with its full-year 2026 earnings expected to fall over 8%.
CLX stock has fallen roughly 45% over the last five years, including a 20% drop in 2025. The stock is trying to hold its ground near its 10-year lows. But it might be best to at least stay away from Clorox until it reports its Q4 FY25 results on July 31 and offers updated guidance.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Bear of the Day: The Clorox Company (CLX)
Key Takeaways
The Clorox Company ((CLX - Free Report) ) stock has tanked since the middle of 2020, after its massive, but ultimately unsustainable surge at the start of COVID-19.
The maker of disinfectant wipes and beyond has seen its earnings outlook fade again recently, and its revenue is projected to dip in FY25 and FY26.
Why Investors Might Want to Stay Away from Clorox Stock
Clorox’s portfolio includes its namesake disinfectant wipes and other household and heavy-duty cleaning items such as Pine-Sol. On top of that, the firm’s portfolio features everything from Kingsford charcoal and Brita water filters to Hidden Valley, Burt’s Bees, and beyond.
Clorox breaks up its business into four categories: Health and Wellness (Cleaning; Professional Products), Household (Bags and Wraps; Cat Litter; Grilling), Lifestyle (Food; Natural Personal Care; Water Filtration), and International (Sales Outside the U.S.). CLX had posted rather steady sales growth for much of the last 20 years, until recently.
Image Source: Zacks Investment Research
The household products standout saw its revenue slip in two out of the past three years as it came up against an unsustainable stretch of Covid-boosted sales expansion. Worse still, its GAAP earnings fell off a cliff between its FY21 and FY23. On top of that, the entire Consumer Staples sector has lagged far behind the S&P 500 over the past decade.
Clorox missed our Q3 FY25 (period ended on Mar. 31) earnings estimate by 8% and its downbeat EPS guidance lands it a Zacks Rank #5 (Strong Sell). “Heightened macroeconomic uncertainties drove changes in shopping behaviors, resulting in temporary category slowdowns and lower sales. We expect these slowdowns to persist in the fourth quarter, as reflected in our updated outlook,” CEO Linda Rendle said in prepared remarks.
Image Source: Zacks Investment Research
Clorox’s adjusted earnings are projected to climb 15% in FY25. But its Q1 FY26 EPS is set to dive 19% YoY, with its full-year 2026 earnings expected to fall over 8%.
CLX stock has fallen roughly 45% over the last five years, including a 20% drop in 2025. The stock is trying to hold its ground near its 10-year lows. But it might be best to at least stay away from Clorox until it reports its Q4 FY25 results on July 31 and offers updated guidance.