Clorox stock has dropped by 12% in 6 months, facing challenges and caution for investors.

From Zacks Investment Research: 2025-04-10 14:28:00

The Clorox Company (CLX) has seen its stock price drop by 12.1% in the last six months, underperforming the industry and sector averages. The company’s stock is trading below its 200-day and 50-day simple moving averages, indicating a downward trend. Clorox’s performance is weaker compared to its competitors, with revenue declines across key business segments in the second quarter of fiscal 2025. The company is facing challenges from cost inflation, higher advertising expenses, and strategic divestitures. Clorox’s earnings per share estimates for fiscal 2025 and 2026 are stable and show a slight decline, respectively.

Clorox is implementing its IGNITE strategy to accelerate growth and profitability, focusing on innovation and operational efficiency. The company’s streamlined operating model has improved gross margins and pricing strategies. Clorox recently divested its Better Health business to enhance shareholder value and plans to invest in transformative technologies. Despite trading at a discount compared to competitors, Clorox’s recent stock decline and negative estimate revisions suggest caution for new investors. The company currently holds a Zacks Rank #3 (Hold).



Read more at Zacks Investment Research: Here’s How You Should Play Clorox Stock After a 12% Drop in 6 Months – April 10, 2025