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Key Takeaways Clorox's FY26 fourth-quarter gross margin fell 520 basis points y/y to 41.3%.Higher inflation and unfavorable mix more than offset Clorox's cost-saving benefits in the quarter.Clorox expects the FY27 gross margin of 42% as inflation and negative mix remain the key headwinds. The Clorox Company (CLX - Free Report) is leaning on productivity initiatives and cost savings to counter persistent inflationary pressure, but near-term margin protection remains challenging. In the fourth quarter of fiscal 2026, the gross margin contracted 520 basis points year over year to 41.3%. Management attributed the decline mainly to higher-than-normal inflation and unfavorable mix, which more than offset benefits from cost-saving initiatives. The comparison also included about 150 basis points of pressure from lower operating leverage related to the ERP transition and another 150 basis points from GOJO acquisition-related inventory step-up.

Clorox continues to strengthen its cost structure. In fiscal 2026, the company expanded its cost-saving programs and established infrastructure designed to improve operational efficiency and generate funds for reinvestment. With the ERP implementation now completed, management is shifting from stabilization to optimization, with a focus on capturing productivity benefits, removing costs and realizing the system’s full potential.

Still, inflation is likely to remain a significant headwind in fiscal 2027. Clorox expects volatility in energy and commodity markets, elevated logistics expenses, and supply-chain pressures to keep input-cost inflation sticky. The company projects fiscal 2027 gross margin of 42%, with stronger-than-normal inflation and negative mix expected to more than offset holistic margin-management benefits.

Thus, cost savings should provide an important cushion, but they may not fully offset inflation in the near term. Longer term, productivity gains, pricing actions and disciplined margin management could support a gradual margin recovery.

Zacks Rundown for CloroxCLX shares have risen 5.2% in the past three months compared with the industry and the Consumer Staples sector’s growth of 7.1% and 5.8%, respectively. The Zacks Rank #5 (Strong Sell) company has outpaced the S&P 500’s decline of 0.3% in the same period.

Clorox’s 3-Month Price Performance
Image Source: Zacks Investment Research

From a valuation standpoint, CLX is trading at a forward price-to-earnings ratio of 15.97X, lower than the industry’s 18.74X multiple.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Clorox’s fiscal 2027 and 2028 earnings implies year-over-year growth of 6% and 8.9%, respectively. Earnings estimates for fiscal 2027 and 2028 have moved down 2.8% and 1.7% in the past 30 days.

Image Source: Zacks Investment Research

Three Stocks Looking GoodThe Vita Coco Company Inc. (COCO - Free Report) is the leading coconut water brand in the United States, leveraging its strong brand equity, expanding global presence and asset-light business model to capitalize on the growing demand for healthier hydration beverages. The company currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Vita Coco’s current financial-year sales and earnings indicates growth of 31.6% and 64.7%, respectively, from the prior-year reported levels. COCO delivered a trailing four-quarter earnings surprise of 21.9%, on average.

National Vision Holdings, Inc. (EYE - Free Report) is a value-focused optical retailer in the United States. The company currently carries a Zacks Rank of 2 (Buy).

The Zacks Consensus Estimate for National Vision’s current financial-year sales and earnings is expected to rise 3.8% and 22.5%, respectively, from the year-ago reported figures. EYE delivered a trailing four-quarter earnings surprise of 52.5%, on average.

Purple Innovation Inc. (PRPL - Free Report) designs and manufactures products which include mattresses, pillows and cushions, using its patented Hyper-Elastic Polymer. The company currently carries a Zacks Rank of 2.

The Zacks Consensus Estimate for Purple Innovation’s current financial-year sales and earnings indicates growth of 0.4% and 20.8%, respectively, from the year-ago reported numbers. PRPL delivered a trailing four-quarter earnings surprise of 21.3%, on average.

Investors looking for stocks in the Consumer Products - Staples sector might want to consider either Ahold NV (ADRNY) or Clorox (CLX). But which of these two stocks offers value investors a better bang for their buck right now?

Clorox (CLX +0.45%) could be an interesting stock to consider for dividend investors.

*Stock prices used were the afternoon prices of Aug. 22, 2026. The video was published on Aug.24, 2026.

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

Bank of New York Mellon Corp acquired a new position in shares of The Clorox Company (NYSE:CLX – Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm acquired 1,290,384 shares of the company’s stock, valued at approximately $123,154,000. Bank of New York Mellon Corp owned 1.07% of Clorox as of its most recent SEC filing.

Several other hedge funds also recently modified their holdings of CLX. State Street Corp increased its stake in Clorox by 3.5% in the third quarter. State Street Corp now owns 8,434,277 shares of the company’s stock valued at $1,039,946,000 after purchasing an additional 282,794 shares in the last quarter. Invesco Ltd. boosted its position in shares of Clorox by 22.1% during the 4th quarter. Invesco Ltd. now owns 4,880,341 shares of the company’s stock worth $492,085,000 after purchasing an additional 884,751 shares in the last quarter. Geode Capital Management LLC boosted its position in shares of Clorox by 0.3% during the 4th quarter. Geode Capital Management LLC now owns 3,172,233 shares of the company’s stock worth $318,613,000 after purchasing an additional 10,060 shares in the last quarter. Van ECK Associates Corp grew its stake in shares of Clorox by 15.7% in the 4th quarter. Van ECK Associates Corp now owns 3,136,405 shares of the company’s stock valued at $316,244,000 after buying an additional 426,433 shares during the period. Finally, Two Sigma Investments LP grew its stake in shares of Clorox by 33.8% in the 3rd quarter. Two Sigma Investments LP now owns 1,740,175 shares of the company’s stock valued at $214,564,000 after buying an additional 439,797 shares during the period. Institutional investors own 78.53% of the company’s stock.

Wall Street Analysts Forecast Growth A number of research firms recently weighed in on CLX. Wall Street Zen downgraded Clorox from a “hold” rating to a “sell” rating in a research note on Saturday, August 15th. Citigroup boosted their price objective on Clorox from $97.00 to $100.00 and gave the company a “neutral” rating in a report on Tuesday, August 4th. Barclays reaffirmed an “underweight” rating and set a $84.00 target price on shares of Clorox in a research report on Tuesday, August 4th. BNP Paribas Exane cut their target price on Clorox from $97.00 to $95.00 and set a “neutral” rating on the stock in a report on Monday, July 20th. Finally, Evercore set a $99.00 price target on shares of Clorox in a research report on Tuesday, August 4th. Twelve analysts have rated the stock with a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of “Reduce” and a consensus target price of $102.40.

Read Our Latest Stock Analysis on Clorox Clorox Stock Performance Shares of Clorox stock opened at $107.00 on Monday. The business’s fifty day simple moving average is $98.97 and its 200 day simple moving average is $103.07. The firm has a market capitalization of $12.94 billion, a P/E ratio of 22.20, a price-to-earnings-growth ratio of 3.34 and a beta of 0.54. The Clorox Company has a 12 month low of $84.70 and a 12 month high of $128.90. The company has a current ratio of 0.66, a quick ratio of 0.38 and a debt-to-equity ratio of 15.80.

Clorox (NYSE:CLX – Get Free Report) last announced its quarterly earnings data on Monday, August 3rd. The company reported $1.66 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.64 by $0.02. The firm had revenue of $1.95 billion during the quarter, compared to the consensus estimate of $1.91 billion. Clorox had a return on equity of 522.23% and a net margin of 8.74%.The business’s revenue for the quarter was down 2.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.87 EPS. Clorox has set its FY 2027 guidance at 5.700-6.000 EPS. As a group, analysts anticipate that The Clorox Company will post 5.8 EPS for the current year.

Clorox Increases Dividend The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Wednesday, August 12th will be given a $1.25 dividend. This is a positive change from Clorox’s previous quarterly dividend of $1.24. This represents a $5.00 annualized dividend and a yield of 4.7%. The ex-dividend date of this dividend is Wednesday, August 12th. Clorox’s payout ratio is presently 103.73%.

Clorox Company Profile (Free Report)

The Clorox Company is a leading manufacturer and marketer of consumer and professional products designed to help people care for their homes and live healthy, sustainable lives. Its portfolio spans cleaning and household products, food and beverages, water filtration systems and cat litter, serving both retail and institutional customers. The company’s flagship bleach and disinfecting products are well known in the United States and many international markets, where they help prevent the spread of germs in homes, hospitals, schools and businesses.

Clorox’s diverse brand lineup includes liquid bleach and surface cleaners, eco-friendly cleaning tools, food preservation and preparation items, charcoal grills and briquettes, specialty foods and beverages, pet care products and personal care lines.

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Key Takeaways Clorox's rally faces tests from inflation, softer margins and subdued underlying demand.Organic growth is expected to be flat to slightly positive excluding ERP comparison benefits.Clorox faces more than $200 million in inflation, while fiscal 2027 EPS estimates have declined. The Clorox Company (CLX - Free Report) has climbed 13.1% in the past month, rebounding as investors digest its fiscal fourth-quarter results and fiscal 2027 outlook. The advance has come despite pressure from inflation, subdued category demand and softer margins.

Clorox’s recent earnings beat, the GOJO acquisition and completion of its U.S. enterprise resource planning rollout provide reasons for optimism. The durability of the rally, however, will depend on whether those catalysts translate into better underlying sales growth and margin recovery.

What is Fueling CLX's Rebound?Fiscal fourth-quarter adjusted earnings of $1.66 per share topped the Zacks Consensus Estimate of $1.64 by 1.2%. Sales of $1.95 billion also beat the consensus mark by 1.8%, though they fell 2% year over year. GOJO added about 10 percentage points to reported sales growth, partly offsetting a 13% organic sales decline that largely reflected the ERP shipment comparison.

Image Source: Zacks Investment Research

For fiscal 2027, management expects net sales to rise 13-14%, including about 9.5 points from GOJO. Adjusted earnings per share are projected at $5.70-$6.00, up 3-8%. ERP productivity benefits are expected to begin later in the year. Home Care has posted eight consecutive quarters of share growth, while Glad Trash and Hidden Valley Ranch returned to share growth in the fiscal fourth quarter.

The Rally Still Faces Margin and Demand TestsProfitability remains the central challenge. Fiscal 2026 gross margin fell 290 basis points to 42.3%, while fourth-quarter gross margin declined 520 basis points to 41.3%. Management expects fiscal 2027 gross margin of about 42%, with cost savings more than offset by higher-than-normal inflation and negative mix. Inflation is projected to exceed $200 million, more than twice the company's historical $75-$100 million range.

Headline growth also overstates the underlying demand picture. Fiscal 2027 organic sales are expected to increase 3.5-4.5%, but more than 3.5 points of that growth comes from lapping the prior-year ERP inventory drawdown. Excluding that comparison, organic sales are expected to be flat to up slightly. Fresh Step remains early in its reset, while value-seeking consumers and a soft grilling category add risk.

Peer Trends Put CLX's Setup in ContextThe Procter & Gamble Company (PG - Free Report) reported flat organic sales in its fiscal fourth quarter and 1% organic growth for fiscal 2026. Its results show that even large branded peers are navigating a muted growth environment.

Church & Dwight Co., Inc. (CHD - Free Report) , meanwhile, posted second-quarter organic sales growth of 5.8% and a 40-basis-point increase in adjusted gross margin to 45.4%. CLX trades at 17.7X forward 12-month earnings, slightly below its sub-industry's 18.2X multiple but near the consumer staples sector's 17.2X.

Can Clorox Keep the Gains Building?Clorox can extend its rebound if GOJO integration, ERP productivity and improving market shares support healthier underlying organic growth while margins recover. The fiscal 2027 setup offers catalysts, but much of the expected top-line improvement still comes from acquisition and comparison effects rather than broad demand acceleration.

Near-term signals remain cautious. The Zacks Consensus Estimate for fiscal 2027 earnings has declined 3.8% in the past four weeks to $5.82 per share. CLX currently carries a Zacks Rank #4 (Sell), with a Value Score of C, Growth Score of D, Momentum Score of F and VGM Score of D. Recent price strength has not yet been matched by favorable earnings revisions or Style Score support, keeping execution in focus.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Clorox expects GOJO to add 9.5 points to fiscal 2027 sales growth and expand its health platform.GOJO should support earnings, with synergies expected to begin materializing in the fiscal fourth quarter.Clorox faces $200M-plus inflation, negative mix and acquisition costs that could constrain margins. The Clorox Company (CLX - Free Report) enters fiscal 2027 with GOJO Industries as a major new growth contributor. The acquisition, completed in April 2026 and now operating as Clorox Purell, expands the company's health and hygiene platform and is expected to add materially to reported sales.

That growth comes with a near-term trade-off. GOJO should support earnings, but acquisition-related costs and a different business mix arrive as Clorox already faces elevated inflation, negative mix and pressure on gross margin.

GOJO Drives Most of the Reported Sales GrowthClorox expects fiscal 2027 net sales to increase 13-14%, with GOJO contributing about 9.5 percentage points. The combined global health and hygiene portfolio now represents more than half of net sales, giving the acquisition a meaningful role in the company's growth profile.

Image Source: Zacks Investment Research

The first quarter will make GOJO's impact especially visible. Clorox expects net sales to rise 31-32%, including about 15 points from the acquisition. Organic sales are projected to increase 16-17%, but the comparison with last year's enterprise resource planning inventory drawdown adds about 18 points. Excluding that effect, underlying organic sales are expected to decline.

Integration Could Add Earnings Support LaterGOJO is expected to be accretive to adjusted earnings in fiscal 2027. Management said integration progress has been encouraging, the groundwork for synergies is underway and financial benefits are expected to begin materializing in the fiscal fourth quarter.

For the full year, adjusted earnings are projected at $5.70-$6.00 per share, up 3-8%. Reported earnings are expected at $5.41-$5.71 per share, including about 29 cents of GOJO transaction-related costs. The setup means GOJO can help earnings, even while integration expenses remain part of the near-term picture.

Margins Remain the Key ConstraintClorox expects fiscal 2027 gross margin of about 42%, including roughly 20 basis points of pressure mainly from GOJO inventory step-up costs. The first-quarter margin is expected near 40%, with about 50 basis points of acquisition-related inventory step-up pressure. Higher-than-normal inflation and negative mix are expected to more than offset cost savings.

Selling and administrative expenses are projected at about 16% of sales, including around 40 basis points of GOJO transaction-related costs. Clorox also expects inflation to exceed $200 million in fiscal 2027, more than double its historical $75-$100 million range.

The broader staples backdrop shows why margin execution matters. The Procter & Gamble Company (PG - Free Report) expects fiscal 2027 organic sales growth of 1-3% while absorbing about $1 billion after tax from higher raw material, energy and transportation costs. Church & Dwight Co., Inc. (CHD - Free Report) , by contrast, raised its 2026 organic sales outlook to 4-5% and expects adjusted gross margin expansion of 100-120 basis points.

What GOJO Means for CLX in Fiscal 2027GOJO gives Clorox a clear reported-sales catalyst and a path to longer-term revenue synergies. Yet the quality of fiscal 2027 growth will depend on how much improvement comes from the underlying business once acquisition and enterprise resource planning comparison benefits are separated out.

Near-term Zacks signals remain cautious. The Zacks Consensus Estimate for fiscal 2027 earnings is $5.82 per share and has declined 3.8% in the past four weeks. CLX currently carries a Zacks Rank #4 (Sell), with a Value Score of C, Growth Score of D, Momentum Score of F and VGM Score of D. The rank reflects unfavorable earnings estimate revision trends, while the weaker Growth, Momentum and VGM Scores suggest limited support from those investment styles despite a middle-of-the-range Value Score.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

OAKLAND, Calif., Aug. 19, 2026 /PRNewswire/ -- The Clorox Company (NYSE: CLX) today announced that Chair and Chief Executive Officer Linda Rendle and Chief Financial Officer Luc Bellet will participate in a fireside chat at the Barclays Global Consumer Staples Conference on Wednesday, September 9, in Boston.

Key Takeaways Clorox topped Q4 sales and earnings estimates, though both fell y/y.GOJO added about 10 points to sales, while organic sales fell 13% on the ERP shipment comparison.FY27 sales are forecast to grow 13-14%, with adjusted EPS projected at $5.70-$6.00. The Clorox Company (CLX - Free Report) delivered mixed fourth-quarter fiscal 2026 results, with the top and bottom lines surpassing the Zacks Consensus Estimate. However, sales and earnings per share declined year over year due to unfavorable comparison with ERP-related shipments in the prior-year quarter, lower volume and significant gross margin pressure from higher commodity, manufacturing and logistics costs.

Shares of the Zacks Rank #4 (Sell) company have rallied 14.1% in the past three months compared with the industry’s 3.9% rise.

Image Source: Zacks Investment Research

CLX Q4 Key Metrics & InsightsClorox posted adjusted earnings of $1.66 per share for the fourth quarter of fiscal 2026, falling 42% year over year but beating the Zacks Consensus Estimate of $1.64 by 1.2%. Lower sales and gross margin weighed on the bottom line.

Net sales declined 2% to $1.95 billion but surpassed the consensus mark of $1.91 billion by 1.8%. The GOJO acquisition contributed about 10 percentage points to sales, while organic sales fell 13% due mainly to the ERP-related shipment comparison.

CLX Margin Contracts on Costs & Lower VolumeGross profit declined 13% to $804 million from $924 million a year ago. The gross margin declined 520 basis points (bps) year over year to 41.3%. Lower volume, GOJO inventory step-up costs, higher commodity expenses, and elevated manufacturing and logistics costs more than offset savings initiatives.

The comparison with incremental shipments ahead of the prior-year ERP transition reduced the margin by about 150 bps. The GOJO inventory step-up created another roughly 150-bps drag. The adjusted gross margin, excluding acquisition and integration costs, was 42.8%.

Clorox Records Higher Operating ExpensesSelling and administrative expenses increased 0.7% year over year to $298 million from $296 million in the year-ago quarter. These expenses represented 15.3% of net sales and included $21 million of GOJO integration costs.

Advertising costs rose 26.3% year over year to $216 million from $171 million, and represented 11.1% of sales. Research and development expenses were unchanged at $32 million. Interest expenses increased sharply to $55 million from $22 million, reflecting the company’s higher debt burden.

CLX Posts Mixed Segment ResultsHealth and Wellness sales increased 16% year over year to $860 million. The GOJO acquisition contributed about 28 percentage points to growth. Organic sales declined 12% because of the ERP-related shipment comparison, while segment adjusted EBIT fell 15% to $206 million.

Household sales decreased 18% to $524 million, led by a 16-point volume decline and two points of unfavorable price mix. The decrease reflected the ERP comparison and shipments ahead of consumption in the fiscal third quarter. Segmental adjusted EBIT plunged 56% to $69 million amid lower sales and higher commodity costs.

Lifestyle sales declined 17% year over year to $280 million. Volume fell 14 points, while unfavorable price mix reduced growth by another three points. Segment adjusted EBIT decreased 60% to $38 million, mainly because of lower revenues.

International sales increased 4% to $281 million, primarily supported by favorable foreign exchange rates. Organic sales rose 1%. Segment adjusted EBIT advanced 17% to $27 million on higher sales and cost savings.

CLX Highlights Brand & Portfolio ActionsClorox completed the GOJO acquisition during the quarter, adding the Purell brand, and expanding its health and hygiene portfolio to more than half of the company's sales. Management noted that early performance from Clorox Professional and Purell supported the strategic rationale for the transaction.

The company also completed its U.S. ERP implementation after a five-year digital transformation program. Management is shifting its focus from system stabilization to productivity improvements, cost removal and optimization.

Glad Trash returned to market-share growth following stronger innovation, brand investment and revenue growth management. Hidden Valley Ranch also gained share, supported by increased media spending, price-pack initiatives and retail execution. Cat Litter remained challenged as Clorox worked through distribution, shelf execution and consumer adoption following a broad brand reset.

Clorox Issues FY27 OutlookFor fiscal 2027, CLX expects net sales growth of 13-14%, including 9.5 percentage points from GOJO. Organic sales are projected to rise 3.5-4.5%, including more than 3.5 points of benefit from lapping the ERP-related inventory drawdown.

The company expects a gross margin of 42%, as stronger-than-normal inflation and unfavorable mix are anticipated to more than offset cost savings. Selling and administrative expenses are projected at 16% of sales, while advertising spending is expected to be 10%.

Adjusted earnings are forecast between $5.70 and $6.00 per share, implying growth of 3-8% year over year. Reported earnings are expected between $5.41 and $5.71 per share, including 29 cents of GOJO transaction-related costs.

CLX Cash Flow & Balance Sheet UpdateThe fiscal 2026 operating cash flow decreased 38% year over year to $612 million due to the Glad Venture Agreement termination payment. Management expects the fiscal 2027 free cash flow to be 11-13% of net sales.

Clorox ended fiscal 2026 with $143 million in cash and cash equivalents. Long-term debt rose to $3.98 billion from $2.48 billion a year earlier, while notes and loans payable increased to $1.09 billion from $4 million following the GOJO transaction.

Stocks to ConsiderSome better-ranked stocks have been discussed below:

Newell Brands Inc. (NWL - Free Report) is a global manufacturer and marketer of consumer and commercial products, including Paper Mate, Sharpie, Dymo, EXPO, Parker, Oster, Rubbermaid, FoodSaver and Graco. At present, NWL sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Newell Brands’ current fiscal-year sales implies growth of 1%, and earnings estimates suggest flat results from the year-ago reported figures. NWL delivered a trailing four-quarter earnings surprise of 40%, on average.

Purple Innovation Inc. (PRPL - Free Report) designs and manufactures products which include mattresses, pillows and cushions, using its patented Hyper-Elastic Polymer. PRPL currently carries a Zacks Rank #2 (Buy).

The Zacks Consensus Estimate for Purple Innovation’s current fiscal-year sales implies a decline of 0.4% from the year-ago reported figure, while the same for earnings suggests growth of 13.5%. PRPL delivered a trailing four-quarter earnings surprise of 17.4%, on average.

BBB Foods Inc. (TBBB - Free Report) operates grocery retail stores principally in Mexico. It offers food products, drinks, hygiene and beauty products, home cleaning products, coffee, tea and substitutes, jellies and desserts, and baby and pet products. TBBB currently carries a Zacks Rank #2.

The Zacks Consensus Estimate for BBB Foods’ current fiscal-year sales and earnings implies growth of 44.6% and 52.7%, respectively, from the year-ago actual. TBBB delivered a trailing four-quarter negative earnings surprise of 98.9%, on average.

Key Takeaways Clorox beat fourth-quarter profit and revenue estimates as management focused on rebuilding share and margins.Fiscal 2027 inflation is expected above $200 million, with the heaviest impact in the first half.GOJO topped fourth-quarter targets and should remain accretive to adjusted earnings in fiscal 2027. The Clorox Company (CLX - Free Report) framed fiscal 2027 as a year of better execution but continued pressure. ERP comparisons and GOJO should lift reported growth, while value-seeking consumers, muted categories and elevated costs constrain the underlying outlook.

Adjusted earnings of $1.66 per share beat the Zacks Consensus Estimate of $1.64. Revenues of $1.95 billion also surpassed the $1.91 billion consensus, but management focused on rebuilding share and margins.

CLX Outlook Depends on Transitory LiftsFiscal 2027 net sales are projected to rise 13% to 14%, including about 9.5 points from GOJO. Organic sales are expected to grow 3.5% to 4.5%, with more than 3.5 points from lapping the prior-year ERP inventory drawdown.

Chair and chief executive officer Linda Rendle said the outlook assumes muted categories and continued value seeking. A slower first quarter should mainly reflect Kingsford and promotional timing, followed by improved trends later in the year.

Chief financial officer Luc Bellet guided adjusted earnings to $5.7 to $6 per share, growth of 3% to 8%. The range includes the ERP comparison benefit.

Clorox Faces a Cost-Heavy First HalfBellet expects fiscal 2027 inflation above $200 million, more than double the historical range of $75 million to $100 million. The outlook assumes Brent crude averaging about $90 per barrel.

Pressure also spans supplier costs, ocean freight, trucking and other logistics expenses. Bellet expects the inflation impact to be heavier in the first half.

Gross margin is projected at about 42%. Productivity remains the primary offset, with margin recovery expected in the back half but not enough for a full-year recovery.

CLX Balances Pricing With Share RepairA BNP Paribas analyst questioned whether household categories had lost pricing power. Rendle rejected a structural change, but said Clorox is using targeted pricing after four substantial rounds in the prior inflation cycle.

Glad is taking a regular price increase because of resin exposure. Elsewhere, management is leaning more on revenue growth management, price-pack architecture, promotion and innovation. Bellet confirmed positive pricing and negative volume are embedded in the outlook.

An Evercore ISI analyst asked whether pricing could disrupt share gains. Rendle said Clorox will use improved data to monitor results and adjust where needed, while promotions remain elevated near pre-COVID levels.

Clorox Purell Starts Ahead of PlanA JPMorgan analyst asked about GOJO’s performance and integration. Rendle said the business exceeded fourth-quarter targets, with integration proceeding as planned and in some areas slightly ahead.

Bellet said GOJO was accretive rather than dilutive in the quarter and should remain accretive to adjusted earnings in fiscal 2027. He expects mid-single-digit growth, rising to mid- to high-single digits as revenue synergies develop.

GOJO also changes the profit mix. Bellet cited about half a point of gross-margin dilution, less than one point of additional SG&A and roughly one point less advertising than the legacy business.

CLX Turns ERP Completion Into a Productivity TestA TD Cowen analyst asked when the completed ERP program would produce visible benefits. Bellet said Clorox remains in stabilization mode, with broader optimization expected later in fiscal 2027 and into the following year.

Management is seeing better end-to-end data, more responsive demand planning and efficiencies in fulfillment and order-to-cash processes. Greater back-office automation and global business services should follow.

Bellet said comparable SG&A productivity should exceed inflation in fiscal 2027. Larger ERP-enabled savings are weighted toward later periods.

Clorox Keeps Focus on Superiority and ExecutionRendle highlighted share progress in Home Care, Professional and International, along with turnarounds in Glad and Hidden Valley Ranch. Fresh Step remains an early-stage repair effort spanning product, packaging, pricing, e-commerce and back-half innovation.

Management’s closing message centered on improving value superiority, converting ERP investment into productivity, integrating GOJO and restoring profitable growth amid persistent consumer and cost pressure.

Zacks Rank and Style Scores Point to CautionCLX carries a Zacks Rank #4 (Sell), reflecting unfavorable earnings estimate revisions. Its Value Score is C, Growth Score is F, Momentum Score is B and VGM Score is D, making momentum its strongest current style characteristic.

The B Momentum Score is favorable within that style, but the weak Growth and VGM readings do not offset the Zacks Rank, which favors Rank #1 (Strong Buy) or 2 (Buy) stocks paired with A or B Style Scores. The Zacks Rank can change as analyst estimates are revised after the reported results. 

You can see the complete list of today’s Zacks #1 Rank stocks here.

The Clorox Company (CLX) Q4 2026 Earnings Call Transcript

Clorox (CLX - Free Report) reported $1.95 billion in revenue for the quarter ended June 2026, representing a year-over-year decline of 2%. EPS of $1.66 for the same period compares to $2.87 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $1.91 billion, representing a surprise of +2.16%. The company delivered an EPS surprise of +1.22%, with the consensus EPS estimate being $1.64.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Clorox performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Organic sales growth - Health and Wellness: -12% versus -3.6% estimated by four analysts on average.Organic sales growth - International: 1% versus 0.3% estimated by four analysts on average.Organic sales growth - Lifestyle: -17% versus -13.5% estimated by four analysts on average.Organic sales growth - Household: -18% compared to the -17.9% average estimate based on four analysts.Organic sales growth: -13% versus -14.5% estimated by four analysts on average.Net Sales- Health and Wellness: $860 million versus the four-analyst average estimate of $807.26 million. The reported number represents a year-over-year change of +16.1%.Net Sales- International: $281 million compared to the $283.53 million average estimate based on four analysts. The reported number represents a change of +4.5% year over year.Net Sales- Lifestyle: $280 million compared to the $292.3 million average estimate based on four analysts. The reported number represents a change of -17.4% year over year.Net Sales- Household: $524 million compared to the $523.09 million average estimate based on four analysts. The reported number represents a change of -18% year over year.Income before income taxes- Health and Wellness: $206 million versus the two-analyst average estimate of $218.27 million.Income before income taxes- Corporate and Other: $-22 million versus $-74.37 million estimated by two analysts on average.Income before income taxes- International: $27 million versus the two-analyst average estimate of $23.55 million.View all Key Company Metrics for Clorox here>>>

Shares of Clorox have returned -1.8% over the past month versus the Zacks S&P 500 composite's +0.2% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

The company now expects sales to rise between 13% and 14% for the current fiscal year after its fourth-quarter revenue fell to $1.95 billion.

Delivers Q4 results in line with expectations while advancing strategic investments

, /PRNewswire/ -- The Clorox Company (NYSE: CLX) today reported results for the fourth quarter and fiscal year 2026, which ended June 30, 2026.

Fourth-Quarter Fiscal Year 2026 Summary

In April 2026, the company completed the acquisition of GOJO Industries, Inc. (GOJO), which now operates as Clorox Purell and includes the Purell® brand and a portfolio of health and hygiene solutions.

The following is a summary of key fourth-quarter results. All comparisons are with the fourth quarter of fiscal year 2025 unless otherwise stated.

Net sales decreased 2% to $1.95 billion. The GOJO acquisition added about 10 points. Organic sales1 decreased 13%, primarily due to lapping the incremental shipments related to the ERP transition, which is about 13.5 points. Gross margin decreased 520 basis points to 41.3% from 46.5%, primarily driven by lower volume, impact from the inventory step-up of the GOJO acquisition, higher commodity costs and higher manufacturing and logistics costs, partially offset by cost savings. The ERP-related shipment comparison and GOJO inventory step-up each reduced gross margin by about 150 basis points. Diluted net earnings per share (diluted EPS) decreased 50% to $1.34 from $2.68 in the year-ago quarter. The decrease includes GOJO transaction-related costs primarily related to inventory step-up and integration costs, partially offset by the impact of lapping of the company's investment in its digital capabilities and productivity enhancements compared to the prior period. Adjusted EPS1 decreased 42% to $1.66 from $2.87 in the year-ago quarter, primarily due to lower net sales and lower gross margin. The impact of ERP-related shipment comparison was about 90 cents. "Our fourth-quarter results were in line with our expectations and reflect disciplined execution in a dynamic environment," said Chair and CEO Linda Rendle. "Throughout fiscal year 2026, we strengthened our business despite continued consumer and macroeconomic pressures. We expanded our portfolio through the acquisition of GOJO Industries, completed our U.S. ERP implementation, a foundational modernization of the systems and processes that underpin every aspect of our operations, while advancing our digital capabilities. Together, these actions have strengthened our foundation and position us well to navigate a challenging operating environment as we work to return to organic sales growth. We exited the year with improved execution, a stronger innovation pipeline and a clear plan to deliver superior value across our portfolio, better meeting evolving consumer needs and driving long-term growth.

As we begin fiscal year 2027, we expect the operating environment to remain challenging, with continued cost volatility and a value-seeking consumer. Even so, we are starting the year from a stronger position to execute our strategy with discipline, build on the momentum we've created and deliver greater superiority across our portfolio. We are confident that the investments we've made in our brands, capabilities and products position us to deliver long-term value for shareholders."

This press release includes certain Non-GAAP financial measures. See "Non-GAAP Financial Information" at the end of this press release for more details.  

__________________

1 Organic sales growth/(decrease) and adjusted EPS are non-GAAP measures. See Non-GAAP Financial Information at the end of this press release for reconciliations to the most comparable GAAP measures.

Strategic and Operational Highlights

The following are highlights of business achievements for fiscal year 2026:

Completed the acquisition of GOJO, unlocking new growth synergies across the combined portfolio of Clorox Purell and Clorox Professional by bringing together complementary brands and capabilities to strengthen the company's health and hygiene platform. Clorox's global health and hygiene portfolio now represents more than half of net sales. Continued to invest behind value superiority and consumer-centered experiences by nearly doubling innovation across its expanded portfolio in fiscal year 2026, including the launch of Clorox PURE and Clorox Screen+ Sanitizing Wipes, expanded professional hygiene solutions from Clorox Healthcare and Purell, Fresh Step Lightweight Litter, Glad ForceFlex MaxStrength LeakGuard Trash Bags, new lip and body care offerings from Burt's Bees, as well as new flavors and scents across Clorox, Glad, Hidden Valley Ranch and Pine-Sol. Completed its U.S. ERP implementation, marking the conclusion of the company's five-year digital transformation investment, modernizing the business to optimize operations and reduce costs by leveraging end-to-end data and insights to support decision-making. Implemented a simplified operating structure to streamline leadership oversight, align resources to drive the company's strongest growth opportunities, advance portfolio optimization efforts and support faster execution across the enterprise. The company was recognized among America's Best Companies by Time Magazine, as well as America's Best Employers for Company Culture and 2026 Net Zero Leaders by Forbes. Key Segment Results

The following is a summary of key fourth-quarter results by reportable segment. All comparisons are with the fourth quarter of fiscal year 2025, unless otherwise stated.

Health and Wellness (Cleaning; Professional Products, now including Clorox Purell)             

Net sales increased 16%, driven by 10 points of higher volume and 6 points of favorable price mix. The GOJO acquisition contributed approximately 28 points to net sales growth. Organic sales declined 12%, primarily driven by the impact of lapping the incremental shipments related to the ERP transition in the year-ago quarter. Excluding the impact of these incremental shipments, organic sales would have increased in the quarter. Segment adjusted EBIT2 decreased 15%, primarily due to the impact of lapping the incremental shipments related to the ERP transition in the year-ago quarter, higher advertising investments and manufacturing and logistics costs, partially offset by the benefit of the GOJO acquisition. Household (Bags and Wraps; Cat Litter; Grilling)

Net sales decreased 18%, driven by 16 points of lower volume and 2 points of unfavorable price mix. The volume decrease is primarily due to the impact of lapping the incremental shipments related to the ERP transition in the year-ago quarter and shipment ahead of consumption in the third quarter. Segment adjusted EBIT decreased 56%, primarily due to lower net sales and higher commodity costs, partially offset by cost savings. Lifestyle (Food; Water Filtration; Natural Personal Care)

Net sales decreased 17%, driven by 14 points of lower volume and 3 points of unfavorable price mix. The volume decrease is primarily due to the impact of lapping the incremental shipments related to the ERP transition in the year-ago quarter. Segment adjusted EBIT decreased 60%, primarily due to lower net sales. International (Sales Outside the U.S.)

Net sales increased 4%, primarily driven by favorable foreign exchange rates. Organic sales grew 1%. Segment adjusted EBIT increased 17%, primarily due to higher net sales and cost savings. __________________

2 Adjusted EBIT is a non-GAAP measure. See Non-GAAP Financial Information at the end of this press release for reconciliations to the most comparable GAAP measures.

Fiscal Year 2026 Summary

The following is a summary of key fiscal year 2026 results. All comparisons are to fiscal year 2025.

Net sales decreased 5% to $6.72 billion. The GOJO acquisition added about 3 points. Organic sales decreased 8%, mainly due to lapping incremental shipments related to the ERP transition in the fourth quarter, which is about 7.5 points. Gross margin decreased 290 basis points to 42.3% from 45.2% in the year-ago period, primarily driven by lower net sales and higher manufacturing and logistics costs, partially offset by cost savings. The ERP-related shipment comparison reduced gross margin by about 100 basis points. The negative impact from GOJO transaction-related costs was about 50 basis points, primarily behind inventory step-up. Diluted EPS decreased 26% to $4.81 from $6.52 in the year-ago period, which includes lapping the cyberattack insurance recovery benefit from the prior period, GOJO transaction-related costs primarily related to inventory step-up and integration costs, partially offset by lower costs related to the company's investment in its digital capabilities and productivity enhancements in the current period and the loss on sale of the VMS business in the prior period. Adjusted EPS decreased 28% to $5.53 from $7.72, primarily due to lower net sales and higher manufacturing and logistics costs, partially offset by cost savings. The ERP-related shipment comparison reduced adjusted EPS by about 90 cents. Net cash provided by operations was $612 million compared to $981 million in fiscal year 2025, representing a 38% decrease. The decrease was primarily driven by the Glad Venture Agreement termination payment. ERP Transition Impact

During the fourth quarter of fiscal year 2025, retailers placed orders in advance of the company's ERP system transition in the U.S. to minimize any potential inventory impacts during the implementation phase. The shipments of incremental inventory provided a benefit to fourth quarter 2025 net sales. These shipments added about 3.5 points of sales and about 90 cents earnings per share to fiscal year 2025. 

In fiscal year 2026, retailers drew down on this inventory during the company's ERP transition period, resulting in lower shipments. From a year-over-year sales growth perspective, the reduction in sales from this inventory drawdown translates to about 7.5 points of decline as compared to the higher base in fiscal year 2025. Similarly, this inventory drawdown reduced fiscal year 2026 earnings per share by about 90 cents. In comparison to the higher base in fiscal year 2025, this results in a year-over-year reduction of about 28% to fiscal year 2026 diluted earnings per share and about 23% to fiscal year 2026 adjusted earnings per share.

In fiscal year 2027, the company will lap the above-described inventory drawdown, which is expected to result in more than 3.5 points of benefit to net sales growth. This lap is also expected to benefit the company's adjusted EPS growth.

Fiscal Year 2027 Outlook

The following are the key drivers of the company's fiscal year 2027 outlook:

Net sales are expected to be up 13% to 14% compared to the prior year, including about 9.5 points of benefit from the GOJO acquisition. Organic sales are expected to increase about 3.5% to 4.5%, including more than 3.5 points of benefit from lapping the ERP-related drawdown in the prior fiscal year. Gross margin is expected to be about 42%, reflecting higher-than-normal inflationary headwinds and negative mix more than offsetting the benefits from cost savings. This includes about 20 basis points of negative impact primarily related to the GOJO inventory step-up. Selling and administrative expenses are expected to be about 16% of net sales. This includes about 40 basis points of negative impact from GOJO transaction-related costs. Advertising and sales promotion spending is expected to be about 10% of net sales. This assumes over 11% of net sales for its retail businesses. The company's effective tax rate is expected to be about 23%.  Diluted EPS is expected to be between $5.41 and $5.71, a year-over-year increase of 12% to 19%, respectively. This includes about 29 cents of impact from transaction-related costs associated with the GOJO acquisition, which are expected to flow through cost of goods sold as well as selling and administrative expenses. Adjusted EPS is expected to be between $5.70 and $6.00, or an increase between 3% and 8%, respectively. These growth rates include the benefit of lapping the inventory drawdown related to the ERP transition in the prior year.

Net sales (percentage change versus the year-ago period)

Fiscal year
2025 full year

Fiscal year
2026 full year

Fiscal year 2027 full year
outlook

Impact

Impact

Low

High

Net sales growth / (decrease) (GAAP)

0 %

(5) %

13 %

14 %

Add/(Subtract): Divestitures/acquisitions

5

(3)

(9.5)

(9.5)

Organic sales growth / (decrease) (non-GAAP)

5 %

(8) %

3.5 %

4.5 %

Note: Approximate impact from incremental shipments related to ERP transition

3.5 %

(7.5) %

           > 3.5%

> 3.5%

Diluted earnings per share

Fiscal year
2025 full year

Fiscal year
2026 full year

Fiscal year 2027 full year
outlook

Impact

Impact

Low

High

As estimated (GAAP)

$           6.52

$           4.81

$           5.41

$           5.71

Loss on divestiture

0.94

—

—

Acquisition and integration costs

—

0.36

0.29

0.29

Cyberattack costs, net of insurance recoveries

(0.42)

—

—

Digital capabilities and productivity enhancements investment

0.68

0.36

—

—

As adjusted (non-GAAP)

$           7.72

$           5.53

$           5.70

$           6.00

Note: Approximate impact from incremental shipments related to ERP transition

$           0.90

$          (0.90)

$              —

$

Clorox Earnings Conference Call Schedule

At approximately 4:15 p.m. ET today, Clorox will post prepared management remarks regarding its fourth-quarter and fiscal year 2026 results.

At 5 p.m. ET today, the company will host a live Q&A audio webcast with Chair and CEO Linda Rendle and Chief Financial Officer Luc Bellet to discuss the results.

Links to the live (and archived) webcast, press release and prepared remarks can be found at Clorox Quarterly Results.

For More Detailed Financial Information

Visit the company's Quarterly Results for the following: 

Supplemental unaudited volume and sales growth information  Supplemental unaudited gross margin drivers information   Supplemental unaudited cash flow information and free cash flow reconciliation  Supplemental unaudited reconciliation of earnings (losses) before income taxes to EBIT and adjusted EBIT Supplemental unaudited reconciliation of adjusted earnings per share (EPS) and adjusted effective tax rate (ETR) Note: Percentage and basis-point, or point, changes noted in this press release are calculated based on rounded numbers, except for per-share data and the effective tax rate.

About The Clorox Company

The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Headquartered in Oakland, California since 1913, Clorox integrates sustainability into how it does business. Driven by consumer-centric innovation, the company is committed to delivering clearly superior experiences through its trusted brands including Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, PineSol® and Purell® as well as international brands such as Chux®, Clorinda® and Poett®. Visit thecloroxcompany.com to learn more.

CLX-F

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, among others, regarding the acquisition of GOJO, and any such forward-looking statements involve risks, assumptions and uncertainties. Except for historical information, statements about future volumes, sales, organic sales growth, foreign currencies, costs, cost savings, margins, earnings, earnings per share, including as a result of the GOJO acquisition, diluted earnings per share, foreign currency exchange rates, tax rates, cash flows, plans, objectives, expectations, growth or profitability are forward-looking statements based on management's estimates, beliefs, assumptions and projections. Words such as "could," "may," "expects," "anticipates," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," "will," "predicts," and variations on such words, and similar expressions that reflect our current views with respect to future events and operational, economic and financial performance are intended to identify such forward-looking statements. These forward-looking statements are only predictions, subject to risks and uncertainties, and actual results could differ materially from those discussed. Important factors that could affect performance and cause results to differ materially from management's expectations, are described in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2025, as updated from time to time in the company's Securities and Exchange Commission filings. These factors include, but are not limited to: the risks arising from the integration of the GOJO business, including the ability to successfully integrate GOJO's operations, systems, controls, culture, customers, suppliers and personnel, and to realize the anticipated benefits and synergies of the acquisition, including cost savings and growth opportunities, when expected or at all; the risks of adapting to GOJO's business-to-business ("B2B") operating model, including differences in distribution channels, go-to-market strategies, margin profiles and customer requirements, increased exposure to customer concentration and consolidation among distributors, group purchasing organizations, health systems and other institutional customers in B2B channels, and potential channel conflict with the company's consumer business; the risk of increased regulatory exposure resulting from GOJO's portfolio of products subject to U.S. Food and Drug Administration oversight, including products regulated as cosmetics and over-the-counter drugs; the risk of unexpected costs or expenses resulting from the GOJO acquisition; the risk of litigation related to the GOJO acquisition, including resulting expense; the risk of impairment charges related to intangible assets acquired in connection with the GOJO acquisition; the risks related to disruption of the company's ongoing business operations and diversion of management time and resources from the GOJO acquisition; the risk that the GOJO acquisition may have an adverse effect on the company's ability to retain key personnel, customers and suppliers; unfavorable general economic and geopolitical conditions beyond the company's control, including inflation, supply chain disruptions, labor shortages, wage pressures, fuel and energy costs, interest rate fluctuations, foreign currency exchange rate fluctuations, weather events or natural disasters, disease outbreaks or pandemics, terrorism, and unstable geopolitical conditions, including active armed conflicts and military hostilities in the Middle East, such as the ongoing conflict involving Iran, and rising tensions in various parts of the world, as well as macroeconomic and geopolitical volatility and uncertainty resulting from a number of these and other factors, such as actual and potential shifts in U.S. and foreign trade policies, escalating trade tensions between the U.S. and its trading partners, especially China, the potential expansion of sanctions regimes, and disruptions to global markets or transportation routes, particularly due to the imposition of U.S. and retaliatory tariffs; the impact of market and category declines, and the company's product and geographic mix on its ability to meet sales growth targets; the company's ability to successfully execute or realize the anticipated benefits of its strategic or transformational initiatives, including the ERP transition and the related timing and volume of shipment movement related to the ERP transition and the shift towards a simplified operating structure; the impact of the changing retail environment, including the growth of alternative retail channels and business models, and changing consumer preferences; intense competition in the company's markets; volatility and increases in the costs of raw materials, energy, transportation, labor and other necessary supplies or services; risks related to supply chain issues, product shortages and disruptions to the business, as a result of increased supply chain dependencies due to an expanded supplier network and a reliance on certain single-source suppliers; risks related to the company's use of and reliance on information technology systems, including potential and actual security breaches, cyberattacks, privacy breaches or data breaches that result in the unauthorized disclosure of consumer, customer, employee or company information, business, service or operational disruptions, or that impact the company's financial results or financial reporting, or any resulting unfavorable outcomes, increased costs or legal proceedings; the ability of the company to innovate and to develop and introduce commercially successful products, or expand into adjacent categories and countries; the ability of the company to successfully manage global political, legal, tax and regulatory risks, including due to regulatory uncertainty and lack of regulatory convergence among different jurisdictions; lower revenue, increased costs, other financial statement impacts or reputational harm resulting from government actions, compliance with regulations, or any material costs imposed by changes in regulation; the company's ability to maintain its business reputation and the reputation of its brands and products; dependence on key customers and risks related to customer consolidation and ordering patterns; the company's ability to attract and retain key personnel, which may continue to be impacted by challenges in the labor market, such as increasing labor costs and sustained labor shortages, as well as the company's ability to manage leadership transitions, including the previously announced CEO succession, and retain and integrate key employees of acquired businesses; changes to the company's processes and procedures as a result of its digital capabilities and productivity enhancements that may result in changes to the company's internal controls over financial reporting; risks related to the company's continued operation of the Glad business; risks related to international operations and international trade, including changing macroeconomic conditions as a result of inflation, volatile commodity prices and increases in raw and packaging materials prices, labor, energy and logistics; global economic or political instability; foreign currency fluctuations, such as devaluations, and foreign currency exchange rate controls; changes in governmental policies, including trade policy and tariffs, travel or immigration restrictions, new or additional tariffs, and price or other controls; labor claims and civil unrest; potential operational or supply chain disruptions from wars and military conflicts, including active armed conflicts and military hostilities in the Middle East, such as the ongoing conflict involving Iran, and/or Ukraine and rising tensions in various parts of the world, such as between China and Taiwan; potential negative impact and liabilities from the use, storage and transportation of chlorine in certain international markets where chlorine is used in the production of bleach; widespread health emergencies; and the possibility of nationalization, expropriation of assets or other government action or inaction, including the impacts of any prolonged U.S. government shutdown; the impact of climate change and other sustainability issues on sales, operating costs, reputation or stakeholder relationships; the impact of product liability claims, labor claims and other legal, governmental or tax proceedings, including in foreign jurisdictions and in connection with any product recalls; risks relating to acquisitions, new ventures and divestitures, and associated costs, including for asset impairment charges related to, among others, intangible assets, including trademarks and goodwill, and integration costs and potential contingent liabilities related to those transactions; the accuracy of the company's estimates and assumptions on which its financial projections, including any sales or earnings guidance or outlook it may provide from time to time, are based; risks related to the company's reliance on third-party service providers, including inability to meet cost savings or efficiencies, business or systems disruptions, and other liabilities, including legal or regulatory risk; environmental matters, including costs associated with the remediation and monitoring of past contamination, and possible increases in costs resulting from actions by relevant regulators, and the handling and/or transportation of hazardous substances; the company's ability to effectively utilize, assert and defend its intellectual property rights, and any infringement or claimed infringement by the company of third-party intellectual property rights; the effect of the company's indebtedness and credit rating, including increased indebtedness resulting from the GOJO acquisition and Glad joint venture buyout, on its business operations and financial results and the company's ability to access capital markets and other funding sources, as well as the cost of capital to the company; the company's ability to pay and declare dividends or repurchase its stock in the future; and the impacts of potential stockholder activism.

The company's forward-looking statements in this press release are based on management's current views, beliefs, assumptions and expectations regarding future events and speak only as of the date of this press release. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by the federal securities laws.

Non-GAAP Financial Information

This press release contains non-GAAP financial information related to organic sales growth / (decrease), adjusted EPS, and segment adjusted EBIT for the fourth quarter of fiscal year 2026 and for fiscal year 2026; as well as organic sales growth / (decrease) and adjusted EPS outlook for fiscal year 2027. The reasons management believes these measures are useful to investors are described below. Certain non-GAAP financial measures may be considered in determining incentive compensation. Clorox defines organic sales growth / (decrease) as GAAP net sales growth / (decrease) excluding the effect of foreign exchange rate changes and any acquisitions or divestitures. Management believes that the presentation of organic sales growth / (decrease) is useful to investors because it excludes sales from any acquisitions and divestitures, which results in a comparison of sales only from the businesses that the company was operating and expects to continue to operate throughout the relevant periods, and the company's estimate of the impact of foreign exchange rate changes, which are difficult to predict and out of the control of the company and management. However, organic sales growth / (decrease) may not be the same as similar measures provided by other companies due to potential differences in methods of calculation or differences in which items are incorporated into these adjustments. Organic Sales, Adjusted Cost of Products Sold, Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Selling and Administrative expenses, Adjusted Other Income (Expense), Adjusted Net Earnings Attributable to Clorox, and Adjusted Diluted Net Earnings Per Share are calculated in accordance with GAAP, that excludes or has otherwise been adjusted for significant items that are nonrecurring or unusual that are not indicative of the Company's underlying operations. The income tax effect on non-GAAP items is calculated based upon the tax laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment. Non-GAAP measures may not be the same as similar measures provided by other companies due to potential differences in methods of calculation or differences in which items are incorporated into these adjustments. Adjusted EBIT represents earnings (losses) before income taxes excluding interest income, interest expense and other significant items that are nonrecurring or unusual that are not indicative of the Company's underlying operations. The company uses this measure to assess the operating results and performance of its segments, perform analytical comparisons, identify strategies to improve performance, and allocate resources to each segment. Adjusted EBIT may not be the same as similar measures provided by other companies due to potential differences in methods of calculation or differences in which items are incorporated into these adjustments. The Non-GAAP measures listed above are supplemental information that management uses to help evaluate the company's historical and prospective financial performance on a consistent basis over time. Management believes that by adjusting for certain items affecting comparability of performance over time, such as the pension settlement charge, incremental costs and insurance recoveries related to the August 2023 cyberattack, asset impairments, charges related to the digital capabilities and productivity enhancements investment, transaction and integration costs related to acquisitions, significant losses related to divestitures and other nonrecurring or unusual items, investors and management are able to gain additional insight into the company's underlying operating performance on a consistent basis over time. The reconciliation tables below refer to the equivalent GAAP measures adjusted as applicable for the following items: Acquisition and Integration Costs 

On April 1, 2026, the Company completed the previously announced acquisition of GOJO Industries. As a result of this transaction, various acquisition and integration-related costs were and will be incurred related to the acquisition and efforts to integrate the recently acquired business to the Company's systems and processes. These costs include inventory step-up charges representing expense recognition of fair value adjustments in excess of the historical cost basis of inventory obtained through the acquisition, as well as direct acquisition transaction costs and legal-entity, operational, manufacturing, and information technology integration costs.

Due to the nature, scope and magnitude of these costs and recoveries, the company's management believes presenting these costs as an adjustment in the non-GAAP results provides additional information to investors about trends in the company's operations and is useful for period over period comparisons. It also allows investors to view underlying operating results in the same manner as they are viewed by company management.

Digital Capabilities and Productivity Enhancements Investment

As announced in August 2021, the company invested in transformative technologies and processes over a five-year period beginning in fiscal year 2022 and completed during the third quarter of fiscal year 2026. The investment included replacement of the company's ERP system and transitioning to a cloud-based platform as well as the implementation of a suite of other digital technologies. The total incremental transformational investment was approximately $580 million. It is expected that these implementations will generate efficiencies and transform the company's operations in the areas of supply chain, digital commerce, innovation, brand building and more over the long term.

Of the total investment, approximately 75% represented incremental operating costs primarily recorded within selling and administrative expenses to be adjusted from reported EPS for purposes of disclosing adjusted EPS. About 70% of these operating costs were related to the implementation of the ERP, with the remaining costs primarily related to the implementation of complementary technologies.

Due to the nature, scope and magnitude of this investment, these costs were considered by management to represent incremental transformational costs above the historical normal level of spending for information technology to support operations. Since these strategic investments, including incremental operating costs, ceased at the end of the investment period, are not expected to recur in the foreseeable future and are not considered representative of the company's underlying operating performance, the company's management believes presenting these costs as an adjustment in the non-GAAP results provides additional information to investors about trends in the company's operations and is useful for period-over-period comparisons. It also allows investors to view underlying operating results in the same manner as they are viewed by company management.

The following tables provide reconciliations of organic sales growth/(decrease) (non-GAAP) to net sales growth/(decrease), the most comparable GAAP measure:

Three months ended June 30, 2026

Percentage change versus the year-ago period

Health and
Wellness

Household

Lifestyle

International

Total
Company (1)

Net sales growth / (decrease) (GAAP)

16 %

(18) %

(17) %

4 %

(2) %

Add: Foreign Exchange

—

—

—

(3)

(1)

Add/(Subtract): Divestitures/Acquisitions (2)

(28)

—

—

—

(10)

Organic sales growth / (decrease) (non-GAAP)

(12) %

(18) %

(17) %

1 %

(13) %

Twelve months ended June 30, 2026

Percentage change versus the year-ago period

Health and
Wellness

Household

Lifestyle

International

Total
Company (1)

Net sales growth / (decrease) (GAAP)

— %

(11) %

(14) %

5 %

(5) %

Add: Foreign Exchange

—

—

—

(3)

—

Add/(Subtract): Divestitures/Acquisitions (2)

(8)

—

—

—

(3)

Organic sales growth / (decrease) (non-GAAP)

(8) %

(11) %

(14) %

2 %

(8) %

(1) 

Total Company includes Corporate and Other. Corporate and Other includes the results of the Better Health VMS business through the date of divestiture. 

(2) 

The divestiture impact is calculated as net sales from the Better Health VMS business after the sale date in the twelve month year-ago period. The acquisition impact is calculated as net sales from GOJO after the acquisition date in the current three and twelve month periods.

The following tables provide reconciliations of adjusted non-GAAP line items to the most comparable GAAP measure:

Reconciliation of Non-GAAP Measures

Three months ended June 30, 2026

As Reported
GAAP

Acquisition and
integration costs

Adjusted

(non-GAAP)

Cost of products sold

$            1,144

$                (30)

$            1,114

Gross profit

804

30

834

Gross margin

41.3 %

42.8 %

Selling and administrative expenses

298

(21)

277

Percent of net sales

15.3 %

14.2 %

Other (income) expense, net

(10)

—

(10)

Net earnings attributable to Clorox

163

39

202

Diluted net earnings per share

$              1.34

$              0.32

$              1.66

Reconciliation of Non-GAAP Measures

Twelve months ended June 30, 2026

As Reported
GAAP

Acquisition and
integration costs

Digital capabilities
and productivity
enhancements
investment

Adjusted

(non-GAAP)

Cost of products sold

$            3,876

$                (31)

$                 —

$            3,845

Gross profit

2,844

31

—

2,875

Gross margin

42.3 %

42.8 %

Selling and administrative expenses

1,066

(27)

(59)

980

Percent of net sales

15.9 %

14.6 %

Other (income) expense, net

(8)

—

—

(8)

Net earnings attributable to Clorox

587

44

45

676

Diluted net earnings per share

$              4.81

$              0.36

$              0.36

$              5.53

The following tables provide reconciliations of adjusted diluted earnings per share (non-GAAP) to diluted earnings per share, the most comparable GAAP measure:

Adjusted Diluted Earnings Per Share (EPS)

(Dollars in millions except per share data)

Diluted earnings per share

Three months ended

6/30/2026

6/30/2025

% Change

As reported (GAAP)

$         1.34

$         2.68

(50) %

Acquisition and integration costs (2)

0.32

—

Digital capabilities and productivity enhancements investment (4)

—

0.19

As adjusted (Non-GAAP)

$         1.66

$         2.87

(42) %

Diluted earnings per share

Twelve months ended

6/30/2026

6/30/2025

% Change

As reported (GAAP)

$         4.81

$         6.52

(26) %

Loss on divestiture (1)

—

0.94

Acquisition and integration costs (2)

0.36

—

Cyberattack costs, net of insurance recoveries (3)

—

(0.42)

Digital capabilities and productivity enhancements investment (4)

0.36

0.68

As adjusted (Non-GAAP)

$         5.53

$         7.72

(28) %

(1)

During the twelve months ended June 30, 2025, the company incurred an after tax charge of $118 related to the divestiture of the Better Health VMS business.

(2)

During the three and twelve months ended June 30, 2026, the company incurred approximately $51 ($39 after tax) and $58 ($44 after tax), respectively of costs related to the GOJO acquisition.

(3)

During the twelve months ended June 30, 2025, the company recognized approximately $70 ($53 after tax) of insurance recoveries related to the cyberattack.

(4)

During the three and twelve months ended June 30, 2026, the company incurred $0 and approximately $59 ($45 after tax), respectively, and during the three and twelve months ended June 30, 2025, the company incurred approximately $30 ($23 after tax) and $111 ($85 after tax), respectively, of operating expenses related to its digital capabilities and productivity enhancements investment. The expenses relate to the following:

Three months ended

Twelve months ended

6/30/2026

6/30/2025

6/30/2026

6/30/2025

External consulting fees (a)

$           —

$           22

$           46

$           78

IT project personnel costs (b)

—

2

3

7

Other (c)

—

6

10

26

Total

$           —

$           30

$           59

$          111

(a) 

Comprised of third-party consulting fees incurred to assist in the project management and end-to-end systems integration of this transformative investment. The company relies on consultants for certain capabilities required for these programs that the company does not maintain internally. These costs support the implementation of these programs incremental to the company's normal IT costs and will not be incurred following implementation.

(b) 

Comprised of labor costs associated with internal IT project management teams that are utilized to oversee the new system implementations. Given the magnitude and transformative nature of the implementations planned, the necessary project management costs are incremental to the historical levels of spend and will no longer be incurred subsequent to implementation. As a result of this long-term strategic investment, the company considers these costs not reflective of the ongoing costs to operate its business.

(c) 

Comprised of various other expenses associated with the company's new system implementations, including company personnel dedicated to the project that have been backfilled with either permanent or temporary resources in positions that are considered part of normal operating expenses.

The following tables provide reconciliations of adjusted EBIT (non-GAAP) to earnings (losses) before income taxes, the most comparable GAAP measure:

Reconciliation of earnings (losses) before income taxes to adjusted EBIT

Three months ended

Twelve months ended

6/30/2026

6/30/2025

6/30/2026

6/30/2025

Earnings (losses) before income taxes

$        213

$        410

$        791

$      1,078

Interest income

(1)

(2)

(8)

(9)

Interest expense

55

22

130

88

Loss on divestiture

—

—

—

118

Acquisition and integration costs

51

—

58

—

Cyberattack costs, net of insurance recoveries

—

—

—

(70)

Digital capabilities and productivity enhancements investment

—

30

59

111

Adjusted EBIT

$        318

$        460

$      1,030

$      1,316

Full year 2027 outlook
(estimated range)

Diluted earnings per share

Low

High

As estimated (GAAP)

$         5.41

$         5.71

Acquisition and integration costs (1)

0.29

0.29

As adjusted (Non-GAAP)

$         5.70

$         6.00

(1)  In fiscal year 2027, the company expects to incur approximately $46 ($35 after tax) of costs related to the GOJO acquisition.

Condensed Consolidated Statements of Earnings

Dollars in millions, except per share data

Three months ended

Twelve months ended

6/30/2026

6/30/2025

6/30/2026

06/30/2025

(Unaudited)

(Unaudited)

(Unaudited)

Net sales

$        1,948

$        1,988

$        6,720

$        7,104

Cost of products sold

1,144

1,064

3,876

3,891

Gross profit

804

924

2,844

3,213

Selling and administrative expenses

298

296

1,066

1,124

Advertising costs

216

171

749

770

Research and development costs

32

32

116

121

Loss on divestiture

—

—

—

118

Interest expense

55

22

130

88

Other (income) expense, net

(10)

(7)

(8)

(86)

Earnings before income taxes

213

410

791

1,078

Income taxes

46

74

190

254

Net earnings

167

336

601

824

Less: Net earnings attributable to noncontrolling interests

4

4

14

14

Net earnings attributable to Clorox

$          163

$          332

$          587

$          810

Net earnings per share attributable to Clorox

Basic net earnings per share

$          1.34

$          2.70

$          4.82

$          6.56

Diluted net earnings per share

$          1.34

$          2.68

$          4.81

$          6.52

Weighted average shares outstanding (in thousands)

Basic

121,504

123,173

121,775

123,525

Diluted

121,809

123,744

122,132

124,287

Reportable Segment Information

(Unaudited)

Dollars in millions

Net sales

Net sales

Three months ended

Twelve months ended

6/30/2026

6/30/2025

% Change(1)

6/30/2026

6/30/2025

% Change(1)

Health and Wellness 

$       860

$       741

16 %

$     2,697

$     2,697

— %

Household

524

639

(18) %

1,787

2,001

(11) %

Lifestyle

280

339

(17) %

1,123

1,303

(14) %

International

281

269

4 %

1,113

1,065

5 %

Reportable segment total

$     1,945

$     1,988

$     6,720

$     7,066

Corporate and Other (2)

3

—

100 %

—

38

(100) %

Total

$     1,948

$     1,988

(2) %

$     6,720

$     7,104

(5) %

Segment adjusted EBIT

Segment adjusted EBIT

Three months ended

Twelve months ended

6/30/2026

6/30/2025

% Change(1)

6/30/2026

6/30/2025

% Change(1)

Health and Wellness 

$       206

$       243

(15) %

$       678

$       840

(19) %

Household

69

156

(56) %

192

325

(41) %

Lifestyle

38

94

(60) %

208

290

(28) %

International

27

23

17 %

113

110

3 %

Reportable segment total

$       340

$       516

$     1,191

$     1,565

Corporate and Other (2)

(22)

(56)

(161)

(249)

Interest income

1

2

8

9

Interest expense

(55)

(22)

(130)

(88)

Loss on divestiture (3)

—

—

—

(118)

Acquisition and integration costs (4)

(51)

—

(58)

—

Cyberattack costs, net of insurance recoveries (5)

—

—

—

70

Digital capabilities and productivity enhancements investment (6)

—

(30)

(59)

(111)

Earnings (losses) before income taxes

$       213

$       410

(48) %

$       791

$     1,078

(27) %

(1) 

Percentages based on rounded numbers.

(2) 

Corporate and Other includes the Better Health VMS business.

(3) 

Represents the loss on divestiture of the Better Health VMS business of $118 after tax for the twelve months ended June 30, 2025.

(4) 

Represents expenses related to the company's acquisition and integration of GOJO of $51 ($39 after tax) and $58 ($44 after tax) for the three and twelve months ended June 30, 2026, respectively.

(5) 

Represents insurance recoveries related to the cyberattack of approximately $70 ($53 after tax) for the twelve months ended June 30, 2025.

(6) 

Represents expenses related to the company's digital capabilities and productivity enhancements investment of $0 and $59 ($45 after tax) for the three and twelve months ended June 30, 2026, respectively, and $30 ($23 after tax) and $111 ($85 after tax) for the three and twelve months ended June 30, 2025, respectively. 

Condensed Consolidated Balance Sheets

Dollars in millions

6/30/2026

6/30/2025

(Unaudited)

ASSETS

Current assets

Cash and cash equivalents

$

143

$

167

Receivables, net

791

821

Inventories, net

777

523

Prepaid expenses and other current assets

113

97

Total current assets

1,824

1,608

Property, plant and equipment, net

1,512

1,267

Operating lease right-of-use assets

401

333

Goodwill

1,945

1,229

Trademarks, net

989

502

Other intangible assets, net

606

64

Other assets

517

558

Total assets

$

7,794

$

5,561

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities

Notes and loans payable

$

1,086

$

4

Current maturities of long-term debt

1

—

Current operating lease liabilities

86

87

Accounts payable and accrued liabilities

1,600

1,828

Total current liabilities

2,773

1,919

Long-term debt

3,981

2,484

Long-term operating lease liabilities

366

305

Other liabilities

405

351

Deferred income taxes

17

20

Total liabilities

7,542

5,079

Commitments and contingencies

Stockholders' equity

Preferred stock

—

—

Common stock

131

131

Additional paid-in capital

1,312

1,319

Retained earnings

386

432

Treasury stock

(1,582)

(1,404)

Accumulated other comprehensive net (loss) income

(157)

(157)

Total Clorox stockholders' equity

90

321

Noncontrolling interests

162

161

Total stockholders' equity

252

482

Total liabilities and stockholders' equity

$

7,794

$

5,561

SOURCE The Clorox Company

Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- The Clorox Company (NYSE: CLX) announced today that its board of directors has declared an increase to its quarterly dividend from $1.24 to $1.25 per share on the company's common stock. The dividend is payable August 28, 2026, to shareholders of record as of the close of business on August 12, 2026.

Clorox has a long history of providing value to its shareholders through regular dividend payments and annual dividend increases.

About The Clorox Company
The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Headquartered in Oakland, California since 1913, Clorox integrates sustainability into how it does business. Driven by consumer-centric innovation, the company is committed to delivering clearly superior experiences through its trusted brands including Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, Pine-Sol® and Purell® as well as international brands such as Chux®, Clorinda® and Poett®. Visit thecloroxcompany.com to learn more.   

CLX-C

SOURCE The Clorox Company

Also from this source

Posted by Defense World Staff on Jul 29th, 2026

First Trust Advisors LP trimmed its stake in shares of The Clorox Company (NYSE:CLX – Free Report) by 15.5% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 328,132 shares of the company’s stock after selling 60,066 shares during the period. First Trust Advisors LP owned 0.27% of Clorox worth $34,004,000 at the end of the most recent quarter.

Several other institutional investors have also modified their holdings of CLX. Wilkins Investment Counsel Inc. raised its holdings in shares of Clorox by 250.6% during the fourth quarter. Wilkins Investment Counsel Inc. now owns 55,064 shares of the company’s stock valued at $5,552,000 after acquiring an additional 39,360 shares during the last quarter. Morningstar Investment Management LLC boosted its stake in shares of Clorox by 131.8% in the fourth quarter. Morningstar Investment Management LLC now owns 62,454 shares of the company’s stock worth $6,297,000 after acquiring an additional 35,506 shares during the last quarter. National Pension Service increased its position in shares of Clorox by 68.9% during the fourth quarter. National Pension Service now owns 27,537 shares of the company’s stock worth $2,777,000 after purchasing an additional 11,233 shares in the last quarter. Birch Hill Investment Advisors LLC purchased a new stake in shares of Clorox during the fourth quarter worth approximately $22,103,000. Finally, Ilmarinen Mutual Pension Insurance Co acquired a new position in Clorox in the 4th quarter valued at $1,966,000. Institutional investors and hedge funds own 78.53% of the company’s stock.

Clorox Trading Up 3.2% Shares of CLX opened at $100.50 on Wednesday. The Clorox Company has a 12-month low of $84.70 and a 12-month high of $128.90. The firm has a market capitalization of $12.15 billion, a P/E ratio of 16.31 and a beta of 0.54. The firm has a 50-day moving average price of $95.35 and a 200 day moving average price of $103.82. The company has a current ratio of 0.84, a quick ratio of 0.65 and a debt-to-equity ratio of 27.03.

Clorox (NYSE:CLX – Get Free Report) last issued its earnings results on Thursday, April 30th. The company reported $1.64 EPS for the quarter, topping analysts’ consensus estimates of $1.55 by $0.09. The company had revenue of $1.67 billion for the quarter, compared to the consensus estimate of $1.67 billion. Clorox had a net margin of 11.18% and a return on equity of 443.64%. Clorox’s quarterly revenue was up .1% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.45 earnings per share. Clorox has set its FY 2026 guidance at 5.450-5.650 EPS. Sell-side analysts forecast that The Clorox Company will post 5.52 EPS for the current year.

Wall Street Analyst Weigh In A number of research analysts have weighed in on the company. Zacks Research lowered Clorox from a “hold” rating to a “strong sell” rating in a report on Tuesday, May 12th. The Goldman Sachs Group reiterated a “sell” rating and issued a $83.00 target price on shares of Clorox in a research report on Friday, May 1st. BNP Paribas Exane decreased their price target on shares of Clorox from $97.00 to $95.00 and set a “neutral” rating on the stock in a research note on Monday, July 20th. Royal Bank Of Canada lowered their price target on shares of Clorox from $132.00 to $127.00 and set a “sector perform” rating on the stock in a research report on Thursday, April 9th. Finally, Wells Fargo & Company dropped their price objective on shares of Clorox from $100.00 to $95.00 and set an “equal weight” rating for the company in a research note on Monday, May 18th. Twelve analysts have rated the stock with a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat, Clorox has an average rating of “Reduce” and a consensus target price of $101.00.

View Our Latest Stock Analysis on CLX

Insider Activity In other news, Director Pierre R. Breber purchased 5,000 shares of Clorox stock in a transaction dated Tuesday, May 5th. The shares were purchased at an average price of $85.82 per share, with a total value of $429,100.00. Following the transaction, the director owned 18,000 shares in the company, valued at $1,544,760. This represents a 38.46% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.63% of the stock is owned by corporate insiders.

About Clorox (Free Report)

The Clorox Company is a leading manufacturer and marketer of consumer and professional products designed to help people care for their homes and live healthy, sustainable lives. Its portfolio spans cleaning and household products, food and beverages, water filtration systems and cat litter, serving both retail and institutional customers. The company’s flagship bleach and disinfecting products are well known in the United States and many international markets, where they help prevent the spread of germs in homes, hospitals, schools and businesses.

Clorox’s diverse brand lineup includes liquid bleach and surface cleaners, eco-friendly cleaning tools, food preservation and preparation items, charcoal grills and briquettes, specialty foods and beverages, pet care products and personal care lines.

Further Reading Five stocks we like better than Clorox These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains

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The market expects Clorox (CLX - Free Report) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on August 3. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis consumer products maker is expected to post quarterly earnings of $1.64 per share in its upcoming report, which represents a year-over-year change of -42.9%.

Revenues are expected to be $1.91 billion, down 4.1% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.41% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Clorox?For Clorox, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -3.52%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Clorox will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Clorox would post earnings of $1.48 per share when it actually produced earnings of $1.64, delivering a surprise of +10.81%.

Over the last four quarters, the company has beaten consensus EPS estimates three times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Clorox doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Expected Results of an Industry PlayerAnother stock from the Zacks Consumer Products - Staples industry, Church & Dwight (CHD - Free Report) , is soon expected to post earnings of $0.89 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of -5.3%. Revenues for the quarter are expected to be $1.5 billion, down 0.2% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for Church & Dwight has been revised 0.3% down to the current level. Nevertheless, the company now has an Earnings ESP of +0.65%, reflecting a higher Most Accurate Estimate.

When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that Church & Dwight will most likely beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- The Clorox Company (NYSE: CLX) will issue its fourth-quarter and fiscal year 2026 results on August 3, 2026. Timing for the announcement will be as follows:

1:15 p.m. PT / 4:15 p.m. ET: Press release and prepared management remarks posted on the company's website 2 p.m. PT / 5 p.m. ET: Live Q&A audio webcast for analysts with Chair and CEO Linda Rendle and Chief Financial Officer Luc Bellet Links to the webcast, press release and prepared remarks can be found at Clorox quarterly results.

About The Clorox Company
The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Headquartered in Oakland, California since 1913, Clorox integrates sustainability into how it does business. Driven by consumer-centric innovation, the company is committed to delivering clearly superior experiences through its trusted brands including Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, Pine-Sol® and Purell® as well as international brands such as Chux®, Clorinda® and Poett®. Visit thecloroxcompany.com to learn more.   

CLX-F

SOURCE The Clorox Company

Also from this source

It's the right time to jump in on dividend stocks. Clorox, Pfizer, Verizon and Comcast are some of the names to consider.

Clorox remains a defensive dividend play, appealing to long-term income-focused investors despite recent stock weakness. I see the premium valuation as a limiting factor, suggesting potential for price consolidation rather than outperformance. Turnaround potential exists if volatility returns, economic headwinds favor staples, or growth accelerates as analysts anticipate.

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

© PeopleImages / Shutterstock.com

Few consumer staples have been treated as roughly by the higher-for-longer rate regime as Clorox (NYSE:CLX | CLX Price Prediction). The stock sits down 18.6% over the past year, pushing the yield to a level rarely seen for a household-name aristocrat. With Goldman Sachs (NYSE:GS) projecting the Fed to cut another 50 basis points to 3-3.25% in 2026, income investors are starting to look back. The question I want to answer is simple: can Clorox actually afford this payout?

A 5.2% Yield Backed by a Multi-Decade Streak Metric Value Annual Dividend $4.96 Dividend Yield 5.21% Consecutive Years of Increases 51 years Most Recent Increase $1.22 to $1.24 quarterly (Q3 2025) Dividend King Status Yes Payout Ratios Are Stretched, but Cash Flow Still Covers Clorox paid roughly $600 million in dividends against $761 million in FY2025 free cash flow. Trailing EPS of $6.15 against the $4.96 dividend produces an earnings payout ratio in the low 80s, which is elevated for a staples name.

Metric TTM Value Assessment Earnings Payout Ratio ~81% Elevated FCF Payout Ratio ~79% Elevated Operating Cash Flow Coverage 1.64x Adequate The wrinkle: FY2026 adjusted EPS guidance of $5.45 to $5.65 implies the earnings payout climbs near 90% before the ERP transition normalizes. FCF is the better lens here, and it still works.

Thin Equity, but a $1.2 Billion Cash Cushion Metric Value Assessment EBITDA (TTM) $1.274B Stable EV/EBITDA 11.2x Reasonable Cash on Hand $1.187B Solid Buffer Shareholders’ Equity $92M Thin (buyback-driven) The negative book value is optical, the byproduct of decades of buybacks. The cash position, up 425% year-over-year, is the real story and gives management room to absorb GOJO integration costs.

Half a Century of Raises, Now Slowing Year Annual Dividend 2026 $4.96 2025 $4.88 2024 $4.84 2023 $4.72 2022 $4.64 The 5-year dividend CAGR works out to roughly 2.2%, modest but unbroken.

Rendle Stays Measured CEO Linda Rendle told investors on the Q3 FY26 call: “Looking ahead, we recognize there is more work to do in what continues to be a challenging consumer and cost environment.” That tone is measured and capital-allocation focused. Capital allocation language remains anchored to the dividend.

The Verdict: Safe, With a Watch on FY2026 Earnings Dividend Safety Rating: Safe. FCF covers the payout with room, the cash buffer is real, and the streak is intact. The dividend thesis holds together if FY2026 organic sales stabilize and ERP normalization plays out as guided. The setup deteriorates if the earnings payout pushes past 95% on further guidance cuts. For now, the yield is doing its job.

As the market indexes hover near all-time highs, investors appear optimistic, as stocks tied to areas such as artificial intelligence (AI) continue moving higher.

Nonetheless, such moves may worry long-term investors. The Shiller price-to-earnings (P/E) ratio, which averages earnings over a 10-year period adjusted for inflation, is now at around 42. The only other time it reached that level was during the dot-com boom, and as many long-term investors know, that gave way to a dot-com bust.

That history has me concerned. Although I'm not giving up on the stock market, I'm making three moves that I think will protect me should the worst happen.

Image source: Getty Images.

1. Let winners keep winning Leaving my highfliers alone may seem counterintuitive. I own AMD (AMD +4.91%), whose P/E ratio is over 140 at recent prices, and Shopify (SHOP 1.99%), whose P/E ratio is pushing 100 even amid concerns that AI threatens the business models of many software companies.

However, I still believe in the long-term theses of these underlying businesses. With regard to AMD, the company's growth prospects appear to support investors' enthusiasm, as its revenue growth rate closely approximates the 35% annual target over the next three years. In Shopify's case, it has built a nearly comprehensive e-commerce ecosystem. Thus, it will probably take more than an AI application to disrupt that business.

Moreover, history shows that holding to such beliefs over the long term. Perhaps one of the better examples is Amazon (AMZN 1.24%). Although it's up by almost 279,000% since its 1997 IPO, it lost more than 90% of its value during the dot-com bust before its comeback, bringing massive returns that more than make up for any failed investments.

Although enduring those sell-offs can be difficult emotionally, history shows that it pays to keep the faith in a solid investment thesis.

2. Stay liquid Second, I'm keeping significant liquidity on hand. That includes cash and iShares Gold Trust (IAU +0.08%), a gold-tracking stock that I hold as an inflation hedge and can convert to cash quickly.

Here I'm following the example of Berkshire Hathaway (BRKA +0.76%) (BRKB +0.71%). As Warren Buffett was getting ready to retire as CEO, he built a record liquidity position now topping $397 billion, more than the company's current $329 billion in reported holdings.

Buffett spoke of the virtues of buying in down markets. In such times, holding a massive liquidity position may mean that Berkshire, now run by Greg Abel, is gearing up for such an opportunity.

Assuming a downturn occurs, investors will be able to buy bear market stocks at a significant discount. Ultimately, we have no way of knowing when the next bear market will arrive or how severe it will be. That doesn't mean one will find Amazon selling at a 90% discount again, but a sell-off should make more of the market's top businesses trade at attractive prices.

More importantly, investors should remember that every previous bear market eventually ended. That positions long-term investors to benefit because the bear market occurred, and investors should probably position themselves to reap such rewards.

3. Seek bargains, always Despite the high valuations, investors can find stocks to buy in this market. Many stocks don't move with the economy, so they can make great investments at the height of a bull market and could rise even as the overall market plunges.

For example, there's my contrarian take on Clorox (CLX 1.51%). I see it as a high-yield dividend stock with a cash return of around 5.6%, far above the 1.1% average for the S&P 500. It also has a history of annual payout increases, and its P/E ratio of 14 is less than half of the average 32 P/E ratio.

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Admittedly, no individual stock is risk-free, and Clorox -- whose revenue has grown at an annualized rate around 2% over the past decade -- is not for everyone. Nonetheless, it serves as a reminder that investors should always be on the lookout for a buying opportunity.

Investing in today's market environment The market is near record levels, and that leaves some investors wondering what to do. While history shows that bear markets happen eventually, we don't know how long the current bull market will continue.

However, an impending bear market is not a reason to give up on the stock market. As long as investors let winners win, hold some available cash, and always looks for opportunities, they can be in a position to win in the long term, no matter what happens next in the market.

Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- The Clorox Company (NYSE: CLX) today announced that Chair and Chief Executive Officer Linda Rendle and Chief Financial Officer Luc Bellet will participate in a fireside chat at the dbAccess Global Consumer Conference on Wednesday, June 3, in Paris.

A live webcast of the presentation will begin at 12:00 p.m. CEST (6:00 a.m. ET and 3:00 a.m. PT) and can be accessed on the company's website. A replay of the webcast will be available following the event.

About The Clorox Company
The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Headquartered in Oakland, California since 1913, Clorox integrates sustainability into how it does business. Driven by consumer-centric innovation, the company is committed to delivering clearly superior experiences through its trusted brands including Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, Pine-Sol® and Purell® as well as international brands such as Chux®, Clorinda® and Poett®. Visit thecloroxcompany.com to learn more.   

CLX-F

SOURCE The Clorox Company

Also from this source

NEW YORK, May 19, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of The Clorox Company (“Clorox” or the “Company”) (NYSE: CLX).  Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.

The investigation concerns whether Clorox and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. 

[Click here for information about joining the class action]

On April 30, 2026, Clorox reported its third quarter fiscal 2026 financial results and updated its full-year outlook.  Among other things, the Company disclosed that gross margin decreased 140 basis points to 43.2%, compared to 44.6% in the prior-year period.  In addition, Clorox lowered its full-year fiscal 2026 gross margin outlook, stating that gross margin was now expected to decline 250 to 300 basis points, compared to the Company’s prior expectation at the low end of a 50 to 100 basis point decline range.  During the Company’s earnings call, Clorox further disclosed that gross margin came in below expectations due to higher-than-expected supply chain costs and delayed cost savings as the Company prioritized ERP stabilization. 

On this news, Clorox’s stock price fell $9.33 per share, or 9.67%, to close at $87.11 per share on May 1, 2026.

Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.

Attorney advertising. Prior results do not guarantee similar outcomes.

CONTACT:
Danielle Peyton
Pomerantz LLP
[email protected]
646-581-9980 ext. 7980

, /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of The Clorox Company ("Clorox" or the "Company") (NYSE: CLX). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.

The investigation concerns whether Clorox and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. 

[Click here for information about joining the class action]

On April 30, 2026, Clorox reported its third quarter fiscal 2026 financial results and updated its full-year outlook. Among other things, the Company disclosed that gross margin decreased 140 basis points to 43.2%, compared to 44.6% in the prior-year period. In addition, Clorox lowered its full-year fiscal 2026 gross margin outlook, stating that gross margin was now expected to decline 250 to 300 basis points, compared to the Company's prior expectation at the low end of a 50 to 100 basis point decline range. During the Company's earnings call, Clorox further disclosed that gross margin came in below expectations due to higher-than-expected supply chain costs and delayed cost savings as the Company prioritized ERP stabilization. 

On this news, Clorox's stock price fell $9.33 per share, or 9.67%, to close at $87.11 per share on May 1, 2026.

Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.

Attorney advertising. Prior results do not guarantee similar outcomes.

CONTACT:
Danielle Peyton
Pomerantz LLP
[email protected]
646-581-9980 ext. 7980

SOURCE Pomerantz LLP

Chair and CEO Linda Rendle to Step Down Following Appointment of New CEO 

, /PRNewswire/ -- The Clorox Company (NYSE: CLX) today announced that Chair and Chief Executive Officer Linda Rendle has asked the Board of Directors to initiate a CEO search process, as she has made the decision to step down for health reasons. Rendle will remain Chair and CEO while the search is conducted and until the new CEO is appointed. Rendle will also serve in an advisory role for a period following the appointment to drive business performance and a smooth leadership transition. The search will be comprehensive, led by an independent CEO search committee of the Board with the support of a leading executive search firm.

"Linda has been an exceptional CEO for Clorox, steering the company through a period of significant transformation and volatility," said Matthew J. Shattock, lead independent director of The Clorox Company Board of Directors. "She has helped make the company stronger, more agile and better positioned for the future. Linda has modernized our digital and operational foundation, sharpened the portfolio toward faster-growing health and hygiene categories, and accelerated innovation while continuing to invest in our brands, people and growth. While we are saddened by her decision, we are grateful that she will remain in place during the search and as an advisor for a period after the new CEO is appointed. We fully respect and support her personal decision and are confident that the process we are putting in place will result in a strong leader who is well positioned to lead Clorox into its next chapter of growth and value creation."

"Serving as CEO of Clorox for the past six years—and being part of this special company for more than two decades—has truly been the privilege of my career," said Rendle. "This was an incredibly difficult and deeply personal decision but after thoughtful reflection, I believe now is the right time to begin working toward a leadership transition so I can focus more fully on my health and family once a successor is appointed.

I remain fully committed to leading Clorox in the coming months through this transition and ensuring a smooth handoff to the company's next leader. I'm proud of what our team has accomplished during one of the most consequential periods in the company's history. Our experienced management team remains fully focused on strengthening execution, advancing innovation and delivering superior customer value as we continue to restore profitable growth and market share. While the operating environment remains challenging, I'm confident the actions we are executing today are positioning Clorox for long-term success."

Rendle posted a personal message regarding her decision on the company's website.

Rendle and Chief Financial Officer Luc Bellet will participate in a fireside chat at the dbAccess Global Consumer Conference on Wednesday, June 3, in Paris at 12pm CEST. The webcast can be accessed here. 

About The Clorox Company
The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Headquartered in Oakland, California since 1913, Clorox integrates sustainability into how it does business. Driven by consumer-centric innovation, the company is committed to delivering clearly superior experiences through its trusted brands including Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, Pine-Sol® and Purell® as well as international brands such as Chux®, Clorinda® and Poett®. Visit thecloroxcompany.com to learn more.

CLX-F

SOURCE The Clorox Company