olivLaw · US equity research
The Clorox Company CLX
Specialty Cleaning, Polishing and Sanitation Preparations · SIC 2842 · Vertical: Chemicals and allied products (SIC 284x)
The Clorox Company makes and sells cleaning, health and hygiene, household and food products, mostly through mass retailers. Net sales fell slightly in fiscal 2026, and the GOJO acquisition, which brings the Purell brand, expanded its health and hygiene business, a key factor for the period ahead.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, The Clorox Company (CLX) stock was 99.16 USD (+5.71% on the day), with market capitalisation 12.0 bn USD, P/E 15.2 on diluted EPS of 6.52 USD over the last 12 months, dividend yield 5.00%, beta 0.27, 52-week range 80.41–127.16 USD. Latest reported quarter (Q1 2027): revenue of 1.9 bn USD (+33.3% YoY), net income of 170.0 m USD (+112.5% YoY), diluted EPS 1.39 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 73.1
- overbought (≥ 70)
- Bollinger (20, 2)
- 80.24 – 94.53
- above the upper band · %B 1.32 · band width 16.4%
- SMA 50 / 200
- 87.88 / 99.53
- mixed trend
- MACD (12, 26, 9)
- 1.72 / 0.34
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +20.9% | −1.1% | +22.0 pp | — |
| 3 months | −6.3% | −0.5% | −5.9 pp | — |
| 6 months | +10.2% | +4.4% | +5.8 pp | — |
| Year to date | −1.7% | +12.3% | −14.0 pp | — |
| 1 year | −10.2% | +13.5% | −23.7 pp | +11.3% |
| 3 years | −21.0% | +76.4% | −97.4 pp | −8.0% |
| 5 years | −39.3% | +63.7% | −102.9 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q1 2027 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | Q1 '27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.8 bn | 1.7 bn | 1.7 bn | 2.0 bn | 1.4 bn | 1.7 bn | 1.7 bn | 1.9 bn |
| Cost of revenue | 955.0 m | 948.0 m | 924.0 m | 1.1 bn | 833.0 m | 951.0 m | 948.0 m | 1.1 bn |
| Gross profit | 807.0 m | 738.0 m | 744.0 m | 924.0 m | 596.0 m | 722.0 m | 722.0 m | 770.0 m |
| Research & development | 31.0 m | 31.0 m | 27.0 m | 32.0 m | 28.0 m | 29.0 m | 27.0 m | 29.0 m |
| SG&A | 281.0 m | 280.0 m | 267.0 m | 296.0 m | 277.0 m | 262.0 m | 229.0 m | 290.0 m |
| Depreciation & amortisation | 54.0 m | 53.0 m | 55.0 m | 57.0 m | 56.0 m | 55.0 m | 58.0 m | 74.0 m |
| Interest expense | 21.0 m | 22.0 m | 23.0 m | 22.0 m | 23.0 m | 25.0 m | 27.0 m | 52.0 m |
| Pre-tax income | 177.0 m | 237.0 m | 254.0 m | 410.0 m | 107.0 m | 215.0 m | 256.0 m | 207.0 m |
| Income tax | 74.0 m | 43.0 m | 63.0 m | 74.0 m | 25.0 m | 54.0 m | 65.0 m | 34.0 m |
| Net income | 99.0 m | 193.0 m | 186.0 m | 332.0 m | 80.0 m | 157.0 m | 187.0 m | 170.0 m |
| Diluted EPS | 0.80 | 1.54 | 1.50 | 2.68 ≈ | 0.65 | 1.29 | 1.54 | 1.39 |
| Operating cash flow | 221.0 m | 180.0 m ≈ | 286.0 m ≈ | 294.0 m | 93.0 m | 311.0 m ≈ | -122.0 m ≈ | 143.0 m |
| Capex | 39.0 m | 53.0 m ≈ | 53.0 m ≈ | 75.0 m | 36.0 m | 42.0 m ≈ | 43.0 m ≈ | 38.0 m |
| Dividends paid | 151.0 m | 151.0 m ≈ | 150.0 m ≈ | 150.0 m | 151.0 m | 151.0 m ≈ | 150.0 m ≈ | 151.0 m |
| Share repurchases | 107.0 m | 150.0 m ≈ | 0 ≈ | 75.0 m | 129.0 m | 127.0 m ≈ | 0 ≈ | 0 |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 0 percentile of its own 38-quarter history (min 16.5, median 26.3, max 270.1; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 6.1 bn | 6.2 bn | 6.7 bn | 7.3 bn | 7.1 bn | 7.4 bn | 7.1 bn | 7.1 bn |
| Revenue YoY | +2.5% | +1.5% | +8.2% | +9.2% | −3.2% | +4.0% | −4.0% | +0.2% |
| Net income | 823.0 m | 820.0 m | 939.0 m | 710.0 m | 462.0 m | 149.0 m | 280.0 m | 810.0 m |
| Net income YoY | +17.4% | −0.4% | +14.5% | −24.4% | −34.9% | −67.7% | +87.9% | +189.3% |
| Diluted EPS | 6.26 | 6.32 | 7.36 | 5.58 | 3.73 | 1.20 | 2.25 | 6.52 |
| Diluted EPS YoY | +17.4% | +1.0% | +16.5% | −24.2% | −33.2% | −67.8% | +87.5% | +189.8% |
| net % | 13.4% | 13.2% | 14.0% | 9.7% | 6.5% | 2.0% | 3.9% | 11.4% |
| Free cash flow | 782.0 m | 786.0 m | 1.3 bn | 945.0 m | 535.0 m | 930.0 m | 483.0 m | 761.0 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 30 Jun 2025
- Cash
- 167.0 m USD
- Financial debt
- 2.5 bn USD
- Net debt
- 2.3 bn USD
- Equity
- 482.0 m USD
- Total assets
- 5.6 bn USD
- Debt / equity
- 5.15x
- Current ratio
- 0.84x
- ROE
- 166.3%
- ROA
- 14.3%
- FCF margin
- 10.7%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 6.7 bn | 7.3 bn | 7.1 bn | 7.4 bn | 7.1 bn | 7.1 bn | SEC (XBRL)· 08 Aug 2025verified |
| Cost of revenue | 3.7 bn | 4.1 bn | 4.6 bn | 4.5 bn | 4.0 bn | 3.9 bn | SEC (XBRL)· 08 Aug 2025verified |
| Gross profit | 3.1 bn | 3.2 bn | 2.5 bn | 2.9 bn | 3.0 bn | 3.2 bn | SEC (XBRL)· 08 Aug 2025verified |
| Research & development | 145.0 m | 149.0 m | 132.0 m | 138.0 m | 126.0 m | 121.0 m | SEC (XBRL)· 08 Aug 2025verified |
| SG&A | 969.0 m | 1.0 bn | 954.0 m | 1.2 bn | 1.2 bn | 1.1 bn | SEC (XBRL)· 08 Aug 2025verified |
| Depreciation & amortisation | 180.0 m | 211.0 m | 224.0 m | 236.0 m | 235.0 m | 219.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Interest expense | 99.0 m | 99.0 m | 106.0 m | 90.0 m | 90.0 m | 88.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Pre-tax income | 1.2 bn | 900.0 m | 607.0 m | 238.0 m | 398.0 m | 1.1 bn | SEC (XBRL)· 08 Aug 2025verified |
| Income tax | 246.0 m | 181.0 m | 136.0 m | 77.0 m | 106.0 m | 254.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Net income | 939.0 m | 710.0 m | 462.0 m | 149.0 m | 280.0 m | 810.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Diluted EPS | 7.36 | 5.58 | 3.73 | 1.20 | 2.25 | 6.52 | SEC (XBRL)· 08 Aug 2025verified |
| Weighted average diluted shares | 127.7 m | 127.3 m | 123.9 m | 124.2 m | 124.8 m | 124.3 m | SEC (XBRL)· 08 Aug 2025verified |
| Dividend per share | 4.29 | 4.49 | 3.48 | 4.72 | 4.80 | 4.88 | SEC (XBRL)· 08 Aug 2025verified |
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 871.0 m | 319.0 m | 183.0 m | 367.0 m | 202.0 m | 167.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Receivables | 648.0 m | 604.0 m | — | — | — | — | SEC (XBRL)· 01 Nov 2021verified |
| Inventories | 454.0 m | 752.0 m | 755.0 m | 696.0 m | 637.0 m | 523.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Current assets | 2.0 bn | 1.8 bn | 1.7 bn | 1.8 bn | 1.6 bn | 1.6 bn | SEC (XBRL)· 08 Aug 2025verified |
| Property, plant & equipment, net | 1.1 bn | 1.3 bn | 1.3 bn | 1.3 bn | 1.3 bn | 1.3 bn | SEC (XBRL)· 08 Aug 2025verified |
| Goodwill | 1.6 bn | 1.6 bn | 1.6 bn | 1.3 bn | 1.2 bn | 1.2 bn | SEC (XBRL)· 08 Aug 2025verified |
| Intangibles (excl. goodwill) | 894.0 m | 918.0 m | 884.0 m | 712.0 m | 681.0 m | 566.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Total assets | 6.2 bn | 6.3 bn | 6.2 bn | 5.9 bn | 5.8 bn | 5.6 bn | SEC (XBRL)· 08 Aug 2025verified |
| Accounts payable | 575.0 m | 930.0 m | 960.0 m | 1.0 bn | 950.0 m | 838.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Short-term debt | 0 | 300.0 m | 0 | 0 | 0 | 0 | SEC (XBRL)· 08 Aug 2025verified |
| Long-term debt | 2.8 bn | 2.5 bn | 2.5 bn | 2.5 bn | 2.5 bn | 2.5 bn | SEC (XBRL)· 08 Aug 2025verified |
| Current liabilities | 1.4 bn | 2.1 bn | 1.8 bn | 1.9 bn | 1.6 bn | 1.9 bn | SEC (XBRL)· 08 Aug 2025verified |
| Total liabilities | 5.3 bn | 5.7 bn | 5.4 bn | 5.6 bn | 5.3 bn | 5.1 bn | SEC (XBRL)· 08 Aug 2025verified |
| Equity | 908.0 m | 592.0 m | 729.0 m | 388.0 m | 492.0 m | 482.0 m | SEC (XBRL)· 08 Aug 2025verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 1.5 bn | 1.3 bn | 786.0 m | 1.2 bn | 695.0 m | 981.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Capex | 254.0 m | 331.0 m | 251.0 m | 228.0 m | 212.0 m | 220.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Free cash flow | 1.3 bn ≈ | 945.0 m ≈ | 535.0 m ≈ | 930.0 m ≈ | 483.0 m ≈ | 761.0 m ≈ | SEC (XBRL)· 08 Aug 2025derived |
| Investing cash flow | -252.0 m | -452.0 m | -229.0 m | -223.0 m | -175.0 m | -94.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Financing cash flow | -523.0 m | -1.4 bn | -689.0 m | -753.0 m | -655.0 m | -924.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Dividends paid | 533.0 m | 558.0 m | 571.0 m | 583.0 m | 595.0 m | 602.0 m | SEC (XBRL)· 08 Aug 2025verified |
| Share repurchases | 248.0 m | 905.0 m | 25.0 m | 0 | 0 | 332.0 m | SEC (XBRL)· 08 Aug 2025verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 52 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 12.0 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation64
- Returns60
- Quality48
- Balance sheet0
- Growth50
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 20.38 – 215.17 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)20.38 – 54.66 (Mid 32.99)WACC 8.1% · starting FCFF 455.6 m USD · terminal value share of EV 76%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 33.4%
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/E104.08 – 215.17 (Mid 145.33)9 companies used · median multiple 23.3x · quartiles 16.7x – 34.5xAXIL, CHD, CL, ECL, IPAR, KVUE, ODD, PG, UG
- Dividend discount (DDM)64.13 – 86.24 (Mid 73.56)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 52/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 11.2% | 67 (vs peers) | 10% |
| FCF conversion · Quality | 50.3% | 29 (on a fixed band) | 10% |
| Revenue CAGR 3Y · Growth | -0.0% | 0 (on a fixed band) | 13% |
| EPS CAGR 3Y · Growth | 20.5% | 100 (on a fixed band) | 13% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 0.7x | 0 (on a fixed band) | 7% |
| P/E (TTM) · Valuation | 15.9x | 83 (vs peers) | 17% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 3.2% | 40 (on a fixed band) | 13% |
| Shareholder yield (distributions) · Returns | 7.8% | 100 (on a fixed band) | 10% |
| Payout ratio (FCF) · Returns | 158.4% | 0 (on a fixed band) | 7% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial0/100 · 1/3 factors with a value
- Growth50/100 · 2/2 factors with a value
- Quality48/100 · 2/3 factors with a value
- Returns60/100 · 2/2 factors with a value
- Valuation64/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
THE CLOROX COMPANY (CLX). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 7.1 bn USD in 2025; YoY growth 0.2%; net margin 11.2%.
The estimated value range is 64.13–86.24 USD per share (median of 3 methods, agreement: low); assumptions are illustrative. Against the central value of 73.56 USD, the price of 99.16 USD leaves a potential of -25.8% (value / price − 1) and a margin of safety of -34.8% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 52/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: balance. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- EPS CAGR 3Y: 20.5%
- P/E (TTM): 15.9x
- Shareholder yield (distributions): 7.8%
What contradicts it
- FCF conversion: 50.3%
- Revenue CAGR 3Y: -0.0%
- Current ratio: 0.7x
- Payout ratio (FCF): 158.4%
- The price is above the estimated value range
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): ROIC, Net debt / EBITDA, Interest coverage, EV/EBITDA.
Versus the vertical median
Chemicals and allied products (SIC 284x) · same industry group (3-digit SIC) · compared with 24 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| PGPROCTER & GAMBLE Co | 387.8 bn | 25.2 | 29.4% | 18.2% | +3.3% | +13% / +9% |
| ECLEcolab Inc. | 88.4 bn | 42.9 | 20.7% | 12.0% | +2.2% | +14% / +64% |
| CLColgate-Palmolive Company | 78.5 bn | 38.7 | 358.9% | 9.6% | +1.4% | +23% / +25% |
| KVUEKenvue Inc. | 37.1 bn | 21.9 | 16.3% | 10.9% | −2.1% | +34% / +4% |
| CHDChurch & Dwight Co., Inc. | 26.4 bn | 34.5 | 17.8% | 12.4% | +1.6% | +32% / +16% |
| CLXThe Clorox Company | 12.0 bn | 15.9 | — | 11.2% | +0.2% | −10% / −21% |
| ELFe.l.f. Beauty, Inc. | 6.7 bn | 113.6 | 6.0% | 3.4% | +24.6% | +49% / −4% |
| IPARInterparfums, Inc. | 4.0 bn | 23.3 | 19.5% | 11.3% | +2.5% | +52% / −1% |
| COTYCoty Inc. | 3.1 bn | — | -18.5% | -10.4% | −1.5% | +5% / −70% |
| ZONEZone Frontier Inc | 1.9 bn | — | -657.5% | -5,112.7% | +64.3% | +1,043% / unavailable |
| SCLStepan Company | 1.6 bn | 374.7 | 0.4% | 0.2% | +7.0% | +56% / −14% |
| EPCEdgewell Personal Care Company | 1.4 bn | — | -6.2% | -4.2% | −1.3% | +66% / −15% |
| SLSNSolesence, Inc. | 64.6 m | — | -15.1% | -3.8% | +18.6% | −60% / +22% |
| BYAHPark Ha Biological Technology Co., Ltd. | 56.5 m | — | -885.8% | -965.0% | +6.0% | −98% / unavailable |
| AXILAxil Brands, Inc. | 38.2 m | 16.7 | 23.3% | 9.3% | +17.5% | +10% / unavailable |
| UGUnited-Guardian, Inc. | 31.5 m | 12.8 | 21.4% | 22.0% | −13.4% | +18% / −16% |
| WNWMeiwu Technology Company Limited | 30.8 m | — | -34.2% | -262.5% | +4,368.0% | −98% / −100% |
| CABRCaring Brands, Inc. | 9.3 m | — | -3,889.1% | -183,298.7% | unavailable | −13% / unavailable |
| BNKKBonk, Inc. | 9.3 m | — | -332.4% | -2,330.4% | +201.6% | −82% / −99% |
| YCBDcbdMD, Inc. | 4.5 m | — | -40.3% | -13.8% | −1.5% | −34% / −93% |
| ODDOddity Tech Ltd | — | 12.0 | 32.6% | 13.7% | +25.2% | −50% / −37% |
| ELEstee Lauder Companies Inc | — | 111.7 | 9.3% | 2.4% | +5.0% | +19% / −12% |
| YSGYatsen Holding Limited | — | — | -2.7% | -1.9% | +32.2% | −67% / −49% |
| ULUnilever PLC | — | — | 53.3% | 18.7% | −3.8% | −2% / +25% |
| HLNHaleon plc | — | — | 10.2% | 15.1% | −1.8% | −6% / +8% |
1- and 3-year price returns: for CLX from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 55.95 Total return -44% · Per year -44% | 99.15 Total return -0% · Per year -0% | 149.65 Total return 51% · Per year 51% |
| 3 years | 49.49 Total return -50% · Per year -21% | 99.12 Total return -0% · Per year -0% | 164.94 Total return 66% · Per year 18% |
| 5 years | 43.77 Total return -56% · Per year -15% | 99.09 Total return -0% · Per year -0% | 181.80 Total return 83% · Per year 13% |
- Exit P/E± 24.78
- Net margin± 17.35
- Annual revenue growth± 14.88
- Annual dilution± 1.46
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 07 Aug 2026; since then the company filed 8-K (02 Nov 2026 · results), 10-Q (02 Nov 2026).
In brief
The Clorox Company makes and sells cleaning, health and hygiene, household and food products, mostly through mass retailers. Net sales fell slightly in fiscal 2026, and the GOJO acquisition, which brings the Purell brand, expanded its health and hygiene business, a key factor for the period ahead.
SWOT
Strengths
Weaknesses
Opportunities
Risks
- GOJO integrationmedium
Integration of the acquisition could cost more or take longer than expected, and promised synergies could be delayed.
- Input cost inflationhigh
Rising costs for raw materials, energy and transport could reduce margins if they are not offset by pricing or savings.
- Customer concentrationhigh
One major customer accounts for a large share of sales, and a change in its policies could affect results.
- Private label competitionmedium
Price-sensitive consumers could choose cheaper products, which could pressure volumes and product mix.
- Supply chain disruptionmedium
Single or sole-source suppliers of key materials could cause interruptions in production and deliveries.
Investment thesis
What would need to be true (bull case)
- If the GOJO integration proceeds as planned, the Purell brand could become a growth driver in health and hygiene.
- Completion of the ERP implementation and easier comparisons could lead to a return of organic growth.
- A portfolio of leading brands could support pricing power in difficult periods.
What would break the thesis
- If consumers remain cautious, organic sales could stay under pressure.
- Raw material and transport costs could compress margins more than management expects.
- Dependence on one large customer could magnify the impact of any change in orders.
What to watch
- Pace of organic sales growth and the effect of lapping the ERP shipmentsQ1 2027
- GOJO contribution and gross margin against the guidance of about 42%2027
- Evolution of raw material costs and advertising spending2027
- Walmart share of net sales and any changes in its ordersnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 07 Aug 2026; since then the company filed 8-K (02 Nov 2026 · results), 10-Q (02 Nov 2026).
The business
Clorox makes and sells consumer and professional brands such as Clorox, Pine-Sol, Glad, Fresh Step, Kingsford, Hidden Valley, Brita and Burt’s Bees, and in April 2026 completed the GOJO acquisition, which now operates as Clorox Purell. Net sales in fiscal 2026 were 6.7 billion dollars 1, and the company had about 9,200 employees 1. Over 80% of sales come from brands holding the No. 1 or No. 2 share in their categories 1.
During fiscal 2026 the company completed the U.S. ERP implementation, a five-year transformation program with a total incremental investment of approximately 580 million dollars 1. The transition created short-term disruption, since retailers had placed orders ahead of the change in the fourth quarter of fiscal 2025 2.
For fiscal 2027 management expects net sales to rise 13% to 14%, including about 9.5 points from the GOJO contribution 2. The dividend was raised by 1% in July 2026 1.
Segments
Health and Wellness
The segment covers cleaning and disinfecting products, professional products and, since the GOJO acquisition, Purell. In the fourth quarter of fiscal 2026 net sales rose 16%, with GOJO contributing about 28 points 2.
Household
The segment includes Glad bags and wraps, Fresh Step cat litter and Kingsford grilling products. In the fourth quarter of fiscal 2026 net sales fell 18%, due to lower volume and earlier shipments 2.
Lifestyle
The segment includes Hidden Valley food, Brita water filtration and Burt’s Bees natural personal care. In the fourth quarter of fiscal 2026 net sales fell 17% and segment adjusted EBIT fell 60% 2.
Market context
The company sells in about 95 markets and operates in about 25 countries or territories, mainly through mass retailers, dollar stores, warehouse clubs and e-commerce channels 1. The consumer products market is highly competitive, with private label brands and larger multinational companies 1.
Clorox depends on one large customer: Walmart accounted for 26% of consolidated net sales in fiscal 2026 1. The five largest customers generated about half of net sales in each of fiscal 2024 to 2026 1.
Trends
- Pressure on consumersheadwind
Macroeconomic uncertainty reduced consumer spending and slowed categories, which lowered organic sales in fiscal 2026 1. Management describes a value-seeking consumer for fiscal 2027 2.
- Expansion in health and hygienetailwind
The GOJO acquisition and the Purell brand strengthen the B2B channel, including healthcare and institutions, with an installed base of dispensers that generates recurring demand 1. This could support growth if the integration proceeds as planned.
- Raw material and transport costsheadwind
The company remains exposed to resin, cardboard and transport prices, and management expects inflation above normal levels for fiscal 2027 12. Gross margin pressure could persist if cost savings do not offset it.
- Lapping the ERP effectmixed
Advance shipments in fiscal 2025 distorted comparisons; in fiscal 2027 the company laps a lower base, which could help organic growth 2. The effect depends on demand.
Competitive position
Clorox products compete with other national brands and retailer private label brands on performance, reputation and price 1. Competitors include multinational companies with greater financial resources, and retailers themselves, including club stores, dollar stores and e-commerce, can compete directly 1.
In professional and B2B channels, competition comes from suppliers to healthcare and institutions, and innovation, digital capabilities and marketing effectiveness are decisive 1. New product launches require heavy advertising spending to win consumer acceptance 1.
- Retailer private label brands
Competing products sold under retailer brands in the same cleaning and hygiene categories 1.
- Multinational consumer goods companies
Companies with greater financial resources selling similar products in the same categories 1.
- Healthcare and institutional suppliers
Competitors in B2B channels, including health and institutional hygiene 1.
- E-commerce retailers
Platforms and subscription services competing on digital channels 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Stocks making the biggest moves after hours: Fabrinet, Clorox, Apple, Palantir & moreCNBC — Top News · 02 Nov 2026 · EN
- Clorox vs. Kimberly-Clark: Which Household Staples Dividend Is SaferYahoo Finance — News · 21 Sept 2026 · EN
- Clorox Expects Full-Year Sales Boost From Purell DealBloomberg Markets · 03 Aug 2026 · EN
SEC filings
- Quarterly report02 Nov 2026
- Current report02 Nov 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Current report29 Oct 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Proxy statement07 Oct 2026
- Annual report07 Aug 2026
- Current report03 Aug 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Current report17 Jun 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report28 May 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report11 May 2026Other events · Financial statements and exhibits
- Quarterly report30 Apr 2026
Sources
- [1] Form 10-K, fiscal year ended 2026-06-30 · SEC / The Clorox Company · 07 Aug 2026
- [2] Form 8-K, results release (exhibit 99.1) · SEC / The Clorox Company · 03 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.