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.
Clorox Leverages Digital and Operational Optimization to Aid Growth
Read MoreHide Full Article
Key Takeaways
Clorox boosts growth via innovation and ERP rollout in health and hygiene.
CLX expands international reach with Go Lean strategy focused on efficiency and product innovation.
Clorox sees 2% Health and Wellness sales growth, aided by volume gains and margin efforts.
The Clorox Company (CLX - Free Report) is strengthening its business through a range of initiatives, including operational improvements, innovation and portfolio expansion amid a challenging consumer environment. Its international expansion is emerging as a critical lever for its long-term success. The company aims to unlock greater potential in its International segment by building on the success of its Go Lean strategy, emphasizing product innovation and operational efficiency across key global markets.
A major priority for the company is completing its digital transformation. It has reached a key milestone in its transformation journey with the successful launch of its new enterprise resource planning (ERP) system in the US. The move has bolstered its digital backbone and opened new value streams. The company is focused on resilience and adaptability, navigating effectively with the benefits of ramping up the operations.
Innovation remains a cornerstone of the company’s growth strategy, driving near-term performance and long-term value creation. CLX continues to invest in a robust pipeline of product launches, with a particular focus in the second half of the year. Such innovations aim to deliver superior consumer value through differentiated offerings, enabling Clorox to strengthen market share, expand into adjacent categories and build scalable platforms.
Clorox is expanding its presence in the health and hygiene space through the pending acquisition of GOJO Industries. This move strengthens its position in a category with strong long-term demand and complements its existing Health and Wellness business. The company is taking a disciplined approach to integration, ensuring that core operations remain focused while capturing growth opportunities from the new business. During the second quarter of fiscal 2026, sales at the Health and Wellness segment grew 2% year over year, reflecting a two-point increase in volumes.
The company’s ongoing holistic margin-management efforts, focused on driving efficiencies in manufacturing and logistics, also appear encouraging. Based on the aforesaid factors and a disciplined approach, CLX can position itself as a global consumer staples contender. Hence, the company concentrates on offering superior value to consumers by investing in its brands and making innovations.
CLX’s Price Performance, Valuation & Estimates
Shares of Clorox have gained 3.9% in the past three months compared with the industry’s drop of 1.8%.
Image Source: Zacks Investment Research
From a valuation standpoint, CLX trades at a forward price-to-earnings ratio of 15.66X compared with the industry’s average of 17.59X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for CLX’s fiscal 2026 earnings implies a year-over-year decline of 23.5%, while that of fiscal 2027 shows growth of 15.3%. The company’s EPS estimate for fiscal 2026 and fiscal 2027 has been stable in the past 30 days.
Image Source: Zacks Investment Research
Clorox stock currently carries a Zacks Rank #3 (Hold).
The Zacks Consensus Estimate for Freshpet’s current financial-year sales indicates growth of 8.5% from the prior-year level. FRPT delivered a trailing four-quarter earnings surprise of 50%, on average.
Keurig Dr Pepper Inc. (KDP - Free Report) is a prominent integrated brand owner, manufacturer and distributor of beverages across the United States, Canada, Mexico and the Caribbean. The company currently has a Zacks Rank of 2.
The Zacks Consensus Estimate for KDP’s 2026 EPS indicates growth of 10.7% from the previous year’s reported figure. Keurig Dr Pepper delivered a trailing four-quarter average earnings surprise of 3.1%.
Medifast, Inc. (MED - Free Report) , which is a leading manufacturer and distributor of clinically-proven healthy living products and programs, currently carries a Zacks Rank of 2. MED missed the average earnings surprise by a sharp margin in the trailing four quarters.
The Zacks Consensus Estimate for Medifast’s current financial-year earnings indicates growth of 30.5% from the year-ago number.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
Clorox Leverages Digital and Operational Optimization to Aid Growth
Key Takeaways
The Clorox Company (CLX - Free Report) is strengthening its business through a range of initiatives, including operational improvements, innovation and portfolio expansion amid a challenging consumer environment. Its international expansion is emerging as a critical lever for its long-term success. The company aims to unlock greater potential in its International segment by building on the success of its Go Lean strategy, emphasizing product innovation and operational efficiency across key global markets.
A major priority for the company is completing its digital transformation. It has reached a key milestone in its transformation journey with the successful launch of its new enterprise resource planning (ERP) system in the US. The move has bolstered its digital backbone and opened new value streams. The company is focused on resilience and adaptability, navigating effectively with the benefits of ramping up the operations.
Innovation remains a cornerstone of the company’s growth strategy, driving near-term performance and long-term value creation. CLX continues to invest in a robust pipeline of product launches, with a particular focus in the second half of the year. Such innovations aim to deliver superior consumer value through differentiated offerings, enabling Clorox to strengthen market share, expand into adjacent categories and build scalable platforms.
Clorox is expanding its presence in the health and hygiene space through the pending acquisition of GOJO Industries. This move strengthens its position in a category with strong long-term demand and complements its existing Health and Wellness business. The company is taking a disciplined approach to integration, ensuring that core operations remain focused while capturing growth opportunities from the new business. During the second quarter of fiscal 2026, sales at the Health and Wellness segment grew 2% year over year, reflecting a two-point increase in volumes.
The company’s ongoing holistic margin-management efforts, focused on driving efficiencies in manufacturing and logistics, also appear encouraging. Based on the aforesaid factors and a disciplined approach, CLX can position itself as a global consumer staples contender. Hence, the company concentrates on offering superior value to consumers by investing in its brands and making innovations.
CLX’s Price Performance, Valuation & Estimates
Shares of Clorox have gained 3.9% in the past three months compared with the industry’s drop of 1.8%.
Image Source: Zacks Investment Research
From a valuation standpoint, CLX trades at a forward price-to-earnings ratio of 15.66X compared with the industry’s average of 17.59X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for CLX’s fiscal 2026 earnings implies a year-over-year decline of 23.5%, while that of fiscal 2027 shows growth of 15.3%. The company’s EPS estimate for fiscal 2026 and fiscal 2027 has been stable in the past 30 days.
Image Source: Zacks Investment Research
Clorox stock currently carries a Zacks Rank #3 (Hold).
Stocks to Consider in the Consumer Staples Space
Freshpet, Inc. (FRPT - Free Report) , which is a pet food company, currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Freshpet’s current financial-year sales indicates growth of 8.5% from the prior-year level. FRPT delivered a trailing four-quarter earnings surprise of 50%, on average.
Keurig Dr Pepper Inc. (KDP - Free Report) is a prominent integrated brand owner, manufacturer and distributor of beverages across the United States, Canada, Mexico and the Caribbean. The company currently has a Zacks Rank of 2.
The Zacks Consensus Estimate for KDP’s 2026 EPS indicates growth of 10.7% from the previous year’s reported figure. Keurig Dr Pepper delivered a trailing four-quarter average earnings surprise of 3.1%.
Medifast, Inc. (MED - Free Report) , which is a leading manufacturer and distributor of clinically-proven healthy living products and programs, currently carries a Zacks Rank of 2. MED missed the average earnings surprise by a sharp margin in the trailing four quarters.
The Zacks Consensus Estimate for Medifast’s current financial-year earnings indicates growth of 30.5% from the year-ago number.