Clorox (NYSE:CLX) Issues Quarterly Earnings Results, Beats Expectations By $0.48 EPS

Clorox (NYSE:CLX) issued its quarterly earnings results on Monday. The company reported $1.55 EPS for the quarter, topping the consensus estimate of $1.07 by $0.48, FiscalAI reports. The company had revenue of $1.91 billion during the quarter, compared to analyst estimates of $1.88 billion. Clorox had a net margin of 8.74% and a return on equity of 522.23%. The firm’s revenue was up 33.3% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.85 EPS.

Here are the key takeaways from Clorox’s conference call:

• First-quarter performance exceeded expectations, with improving organic sales trends, consumption, and aggregate market share. Home care gained more than half a share point, while Hidden Valley gained nearly two points and Kingsford posted strong Labor Day growth.
• The company raised its fiscal 2027 input-cost inflation estimate to approximately $240 million, about $40 million above its initial outlook, driven by resin, commodities, transportation, and broader supply-chain costs. Margin pressure is expected to be greatest in the first half.
• Full-year organic sales growth is projected at 3.5%–4.5%, including roughly 3.5 points from lapping the ERP transition; excluding that benefit, growth is expected to be flat to up 1%. Management anticipates slightly weaker results in the first half and modest improvement in the back half, supported by innovation and execution.
• Management expects productivity and cost savings to provide most of the margin recovery, supplemented by targeted pricing and revenue-growth-management actions. Clorox has line of sight to at least $50 million of GOJO cost synergies, with some benefits arriving earlier than initially expected.
• CEO Linda Rendle will step down on January 5, with Fabian Garcia appointed as her successor. Management expects a smooth transition, with Garcia bringing consumer-products experience in brand building, innovation, portfolio management, and disciplined growth.

Clorox Stock Up 2.3%

CLX stock opened at $90.04 on Tuesday. The company’s 50 day moving average price is $88.27 and its 200 day moving average price is $99.92. The company has a debt-to-equity ratio of 15.80, a quick ratio of 0.38 and a current ratio of 0.66. Clorox has a fifty-two week low of $79.12 and a fifty-two week high of $128.90. The firm has a market capitalization of $10.89 billion, a price-to-earnings ratio of 18.68, a PEG ratio of 2.91 and a beta of 0.59.

Clorox Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Shareholders of record on Wednesday, October 28th will be issued a dividend of $1.25 per share. The ex-dividend date is Wednesday, October 28th. This represents a $5.00 annualized dividend and a yield of 5.6%. Clorox’s dividend payout ratio is 103.73%.

Analysts Set New Price Targets

A number of research firms have weighed in on CLX. Barclays decreased their target price on shares of Clorox from $84.00 to $80.00 and set an “underweight” rating on the stock in a research note on Friday, October 16th. Citigroup reduced their price objective on Clorox from $97.00 to $90.00 and set a “neutral” rating on the stock in a research report on Wednesday, October 14th. UBS Group set a $91.00 price objective on Clorox in a research note on Thursday, October 15th. The Goldman Sachs Group restated a “sell” rating and issued a $74.00 target price on shares of Clorox in a report on Tuesday. Finally, Weiss Ratings reiterated a “hold (c-)” rating on shares of Clorox in a report on Tuesday, October 6th. Twelve analysts have rated the stock with a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Reduce” and an average price target of $93.29.

Key Clorox News

Here are the key news stories impacting Clorox this week:

• Positive Sentiment: Clorox reported adjusted earnings of $1.55 per share, well above the $1.07 analyst consensus and up from $0.85 a year earlier. Revenue rose 33.3% year over year to $1.91 billion, exceeding estimates of $1.88 billion. Clorox Reports Q1 Fiscal Year 2027 Results
• Positive Sentiment: The earnings beat and better-than-expected sales are supporting investor sentiment, with management highlighting broad business momentum and improved profitability. Clorox Surpasses Q1 Earnings and Revenue Estimates
• Positive Sentiment: Evercore ISI upgraded Clorox from “underperform” to “in-line” and set a $99 price target, citing the incoming CEO’s turnaround experience as a potential catalyst for the earnings recovery. Evercore ISI Upgrades Clorox
• Neutral Sentiment: Management’s earnings call emphasized recovery efforts and operating priorities under the new CEO, but investors are likely to wait for evidence that the turnaround can produce sustainable growth. Clorox Q1 2027 Earnings Call Transcript
• Negative Sentiment: Clorox now expects full-year adjusted EPS toward the lower end of its previously issued $5.70–$6.00 range, tempering the impact of the quarterly beat. Clorox Posts Higher Revenue and Profit
• Negative Sentiment: Management cited inflation, higher input and other operating costs, and difficult comparisons created by prior-period distortions. These pressures could limit margin expansion despite strong reported sales and earnings. Clorox Guidance and Inflation Analysis

Clorox Company Profile

The Clorox Company, founded in 1913 and headquartered in Oakland, California, is a consumer and professional products company. It began with household bleach and has expanded into a portfolio of brands serving cleaning, household, personal care, food, and professional markets.

Its brands include Clorox disinfecting and cleaning products, Pine-Sol cleaners, Liquid-Plumr drain care, Kingsford charcoal, Fresh Step and Scoop Away cat litter, Hidden Valley dressings and dips, Brita water filtration products, and Burt’s Bees personal care items.