Clorox stock down 10% due to recent quarterly results, but still a good buy now.

From Nasdaq, Inc.: 2025-02-10 21:50:00

Clorox (NYSE: CLX) stock is down 10.1% year to date, mainly due to recent second-quarter fiscal 2025 results. Despite this, Clorox is a solid passive income opportunity with a 3.3% dividend yield and 40 consecutive years of dividend raises. The company is focusing on margin improvement and expects organic sales growth of 3% to 5% for the full fiscal year. Clorox is also investing in advertising and sales promotions to drive profitability. While the turnaround is progressing, the company needs to show that its investments are paying off to sustain strong operating margins in the future.

Investing in Clorox now is a bet on management restructuring the business for long-term growth. By prioritizing gross margin expansion over revenue growth and investing in core brands, Clorox aims to take market share in key categories. The 3.3% dividend yield adds to the appeal of owning the stock as the turnaround progresses. However, it’s essential to consider other investment opportunities as Clorox was not among the 10 best stocks identified by The Motley Fool Stock Advisor analyst team for potential high returns.



Read more at Nasdaq, Inc.: This High-Yield Dividend Stock Is Down 10% in 2025. Here’s Why It’s a Buy Now.