The Clorox Company (NYSE:CLX) Receives Consensus Recommendation of "Reduce" from Brokerages

Key Points

• Clorox has a consensus “Reduce” rating from 17 analysts, including five sells and 12 holds. The average 12-month price target is $101, modestly above the stock’s reported $96.69 opening price.
• Recent analyst actions remain cautious: JPMorgan and Barclays maintain underweight ratings, while UBS, Wells Fargo and RBC hold neutral or sector-perform views with price targets ranging from $86 to $127.
• Clorox’s latest quarterly results exceeded expectations, with EPS of $1.64 versus a $1.55 consensus estimate and revenue of $1.67 billion. A company director also purchased 5,000 shares, while institutional investors own 78.53% of outstanding stock.

Shares of The Clorox Company (NYSE:CLX - Get Free Report) have been given an average recommendation of "Reduce" by the seventeen ratings firms that are covering the firm, MarketBeat Ratings reports. Five analysts have rated the stock with a sell recommendation and twelve have given a hold recommendation to the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $101.00.

A number of research analysts recently weighed in on CLX shares. JPMorgan Chase & Co. reduced their price objective on Clorox from $95.00 to $92.00 and set an "underweight" rating for the company in a research report on Thursday, July 16th. UBS Group boosted their target price on Clorox from $96.00 to $100.00 and gave the stock a "neutral" rating in a report on Thursday, July 16th. Barclays increased their target price on Clorox from $85.00 to $86.00 and gave the stock an "underweight" rating in a research note on Tuesday, July 21st. Wells Fargo & Company lowered their price target on Clorox from $100.00 to $95.00 and set an "equal weight" rating for the company in a research report on Monday, May 18th. Finally, Royal Bank Of Canada dropped 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 note on Thursday, April 9th.

Clorox Price Performance

Shares of CLX opened at $96.69 on Friday. Clorox has a fifty-two week low of $84.70 and a fifty-two week high of $128.90. The firm's 50-day simple moving average is $95.49 and its two-hundred day simple moving average is $103.72. The stock has a market cap of $11.69 billion, a PE ratio of 15.70 and a beta of 0.54. The company has a debt-to-equity ratio of 27.03, a quick ratio of 0.65 and a current ratio of 0.84.

Clorox (NYSE:CLX - Get Free Report) last released its earnings results on Thursday, April 30th. The company reported $1.64 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.55 by $0.09. The firm had revenue of $1.67 billion during the quarter, compared to analyst estimates of $1.67 billion. Clorox had a net margin of 11.18% and a return on equity of 443.64%. The business's revenue was up .1% on a year-over-year basis. During the same period last year, the business earned $1.45 earnings per share. Analysts anticipate that Clorox will post 5.52 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Pierre R. Breber bought 5,000 shares of the firm's stock in a transaction on Tuesday, May 5th. The stock was acquired at an average cost of $85.82 per share, with a total value of $429,100.00. Following the completion of the acquisition, the director owned 18,000 shares of the company's stock, valued at approximately $1,544,760. This represents a 38.46% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 0.63% of the company's stock.

Institutional Investors Weigh In On Clorox

A number of institutional investors have recently made changes to their positions in the company. Caitlin John LLC raised its holdings in Clorox by 1,807.1% in the 4th quarter. Caitlin John LLC now owns 267 shares of the company's stock worth $27,000 after acquiring an additional 253 shares during the last quarter. Darwin Wealth Management LLC purchased a new stake in Clorox during the 2nd quarter valued at $29,000. Vision Financial Markets LLC boosted its stake in Clorox by 166.7% during the 4th quarter. Vision Financial Markets LLC now owns 320 shares of the company's stock valued at $32,000 after purchasing an additional 200 shares during the last quarter. Root Financial Partners LLC increased its holdings in shares of Clorox by 83.8% in the 1st quarter. Root Financial Partners LLC now owns 318 shares of the company's stock worth $33,000 after purchasing an additional 145 shares in the last quarter. Finally, SHP Wealth Management bought a new stake in shares of Clorox in the 4th quarter worth $35,000. Hedge funds and other institutional investors own 78.53% of the company's stock.

About Clorox

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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