Clorox Projects 5%-9% Sales Decline for Fiscal 2026 Amid ERP Transition
Written by Emily J. Thompson, Senior Investment Analyst
Source: NASDAQ.COM
- Sales Outlook Decline: Clorox anticipates a 5%-9% decline in organic sales for fiscal 2026, primarily due to the ERP transition, reflecting the company's vulnerability amid consumer spending pressures, which may dampen investor confidence.
- Dividend Appeal: Despite challenges, Clorox's dividend yield has risen to 4.9%, with the company achieving its 48th consecutive quarterly dividend increase in 2023, indicating potential for stable cash flow that attracts passive income-seeking investors.
- Brand Competitiveness: Approximately 80% of Clorox's brands rank in the top two of their categories, and despite intensified market competition and consumer spending pressures, the company is adapting by offering smaller and larger packaging options to meet value-seeking consumer demands.
- Financial Stability: Clorox maintains less than $3 billion in long-term debt with a debt-to-equity ratio of 0.2, which, while slightly higher than peers, still reflects relative financial health and supports future growth opportunities.
Analyst Views on CLX
Wall Street analysts forecast CLX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CLX is 126.00 USD with a low forecast of 112.00 USD and a high forecast of 155.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
1 Buy
9 Hold
2 Sell
Hold
Current: 106.190
Low
112.00
Averages
126.00
High
155.00
Current: 106.190
Low
112.00
Averages
126.00
High
155.00
About CLX
The Clorox Company is a multinational manufacturer and marketer of consumer and professional products. The Company operates through four segments: Health and Wellness, Household, Lifestyle, and International. Its Health and Wellness segment consists of cleaning, disinfecting and professional products marketed and sold under the Clorox, Clorox2, Pine-Sol, Scentiva, Tilex, Liquid-Plumr and Formula 409 brands in the United States. Its Household segment consists of bags and wraps, cat litter and grilling products marketed and sold under the Glad, Fresh Step and Scoop Away, and Kingsford brands in the United States. The lifestyle segment consists of food, water-filtration and natural personal care products marketed and sold under the Hidden Valley, Brita and Burt’s Bees brands. International consists of products sold outside the United States. Its products within this segment include laundry additives, home care products, bags and wraps, cat litter, water-filtration products and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
