
NYSE:CLX
This summary was created by AI, based on 4 opinions in the last 12 months.
The Clorox Company (CLX-N) is experiencing mixed perceptions among experts, highlighting its status as a dividend aristocrat with a notable 5% yield amid a PE ratio of 17x. While some view it as a solid investment due to its historical dividend growth and a current valuation lower than its historic range, others mention its significant decline of over 30% this year, raising concerns about its market perception. Analysts note that Clorox's performance is closely tied to oil prices, with a shift in consumer behavior affecting demand for name brand products amid inflation worries. The company's upcoming earnings report is anticipated as it faces a critical market environment where consumer packaged goods are under scrutiny.
This has done well and they’ve had some positive earnings revisions. In the “staples” category it has a few things going right for it. It is a higher payor, so you get a nice dividend. Earnings growth should be in the high to mid single digits. The catch is, any valuation is quite rich. It’s come off a little since the peak, but staples, as a whole, is trading expensive. Interest rates going higher will put pressure on the stock.
The Fair Market Value is 41% below the current price. It is currently trading at the Price to Book of 25X. This stock is simply not investment grade anymore.