The Clorox Company (CLX) is a global manufacturer of consumer staples, operating in the Consumer Defensive sector's Household & Personal Products industry. Its business is organized into four segments: Health and Wellness, Household, Lifestyle, and International, offering a portfolio of trusted brands such as Clorox, Glad, and Brita. Clorox focuses on providing essential cleaning, home care, and personal wellness products, distributed through a wide network of retailers and online channels, with a history dating back to 1913.
Clorox's recent quarterly performance shows significant variability. In Q4 2024, the company exceeded EPS estimates with $1.55 against a $1.40 estimate, and revenue was $1.69 billion. However, Q1 2025 saw a miss on EPS, reporting $1.45 versus an estimate of $1.56, with revenue at $1.67 billion. A notable beat occurred in Q2 2025, where EPS was $2.87, significantly surpassing the $2.21 estimate, and revenue surged to $1.99 billion. Conversely, Q3 2025 reported an EPS of $0.85, missing the $0.78 estimate, with revenue at $1.43 billion. The most recent reported quarter, Q2 2026, showed an EPS miss of $1.39 against a $1.57 estimate, though revenue was slightly above estimate at $1.67 billion.
Historically, CLX has exhibited an inconsistent beat/miss pattern for EPS, with significant swings in performance, such as the strong beat in Q2 2025 followed by a miss in Q3 2025 and Q2 2026. Revenue trends have also been uneven, with Q2 2025 showing a substantial increase, while Q3 2025 saw a decline. The company has faced challenges in consistently meeting analyst expectations on both earnings and revenue in recent periods.
Recent news highlights strategic moves and analyst sentiment shifts. Clorox recently closed its acquisition of GOJO Industries, integrating the Purell brand, which is expected to enhance its brand building and B2B capabilities. The company has also launched new Hidden Valley Ranch flavors to cater to evolving consumer tastes. However, analyst sentiment appears cautious, with RBC Capital Markets, Wells Fargo, and UBS all lowering their price targets for CLX, while maintaining ratings that suggest a neutral to cautiously optimistic outlook.
Looking forward, investors will be closely monitoring Clorox's upcoming Q3 2026 earnings report, with analysts forecasting a modest increase in profitability. Key watch points will include the impact of the GOJO acquisition on financial performance and operational synergies, the success of new product innovations in driving consumer demand, and whether the company can demonstrate a more consistent pattern of meeting or exceeding analyst estimates in the face of revised price targets and ongoing market dynamics.
