NYSE:CLX

Stock Analysis Report

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Executive Summary

The Clorox Company manufactures and markets consumer and professional products worldwide. More Details


Snowflake Analysis

Solid track record established dividend payer.


Similar Companies

Share Price & News

How has Clorox's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CLX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CLX's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-4.3%

CLX

-2.8%

US Household Products

-3.6%

US Market


1 Year Return

4.5%

CLX

9.2%

US Household Products

36.5%

US Market

Return vs Industry: CLX exceeded the US Household Products industry which returned 9.2% over the past year.

Return vs Market: CLX underperformed the US Market which returned 36.4% over the past year.


Shareholder returns

CLXIndustryMarket
7 Day-4.3%-2.8%-3.6%
30 Day-14.2%-4.1%2.7%
90 Day-11.5%-10.4%7.5%
1 Year6.7%4.5%11.9%9.2%39.5%36.5%
3 Year45.8%35.2%52.5%40.6%53.5%43.6%
5 Year65.1%45.6%56.0%36.0%117.5%93.2%

Long-Term Price Volatility Vs. Market

How volatile is Clorox's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Clorox undervalued compared to its fair value and its price relative to the market?

10.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CLX ($181.05) is trading below our estimate of fair value ($200.38)

Significantly Below Fair Value: CLX is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CLX's PE Ratio (18.6x) is in line with the US Household Products industry average.

PE vs Market: CLX is good value based on its PE Ratio (18.6x) compared to the US market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: CLX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CLX is overvalued based on its PB Ratio (19.2x) compared to the US Household Products industry average (6.4x).


Next Steps

Future Growth

How is Clorox forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

-1.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CLX's earnings are forecast to decline over the next 3 years (-1% per year).

Earnings vs Market: CLX's earnings are forecast to decline over the next 3 years (-1% per year).

High Growth Earnings: CLX's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CLX's revenue (1.4% per year) is forecast to grow slower than the US market (10.4% per year).

High Growth Revenue: CLX's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CLX's Return on Equity is forecast to be very high in 3 years time (87.5%).


Next Steps

Past Performance

How has Clorox performed over the past 5 years?

10.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CLX has high quality earnings.

Growing Profit Margin: CLX's current net profit margins (16.3%) are higher than last year (13.3%).


Past Earnings Growth Analysis

Earnings Trend: CLX's earnings have grown by 10.5% per year over the past 5 years.

Accelerating Growth: CLX's earnings growth over the past year (50%) exceeds its 5-year average (10.5% per year).

Earnings vs Industry: CLX earnings growth over the past year (50%) exceeded the Household Products industry 40.9%.


Return on Equity

High ROE: Whilst CLX's Return on Equity (89.06%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Clorox's financial position?


Financial Position Analysis

Short Term Liabilities: CLX's short term assets ($2.1B) exceed its short term liabilities ($1.7B).

Long Term Liabilities: CLX's short term assets ($2.1B) do not cover its long term liabilities ($3.7B).


Debt to Equity History and Analysis

Debt Level: CLX's debt to equity ratio (201.7%) is considered high.

Reducing Debt: CLX's debt to equity ratio has reduced from 1151% to 201.7% over the past 5 years.

Debt Coverage: CLX's debt is well covered by operating cash flow (60.3%).

Interest Coverage: CLX's interest payments on its debt are well covered by EBIT (16x coverage).


Balance Sheet


Next Steps

Dividend

What is Clorox current dividend yield, its reliability and sustainability?

2.47%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CLX's dividend (2.45%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: CLX's dividend (2.45%) is low compared to the top 25% of dividend payers in the US market (3.77%).


Stability and Growth of Payments

Stable Dividend: CLX's dividends per share have been stable in the past 10 years.

Growing Dividend: CLX's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (45.2%), CLX's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CLX's dividends in 3 years are forecast to be covered by earnings (58% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Linda Rendle (42 yo)

0.42

Tenure

US$4,198,409

Compensation

Ms. Linda Rendle serves as Chief Executive Officer and Director of The Clorox Company since September 14 2020. Ms. Rendle served as President of The Clorox Company from May 4, 2020 to September 14, 2020. S...


CEO Compensation Analysis

Compensation vs Market: Linda's total compensation ($USD4.20M) is below average for companies of similar size in the US market ($USD10.55M).

Compensation vs Earnings: Linda's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Linda Rendle
CEO & Director0.42yrUS$4.20m0.013%
$ 2.9m
Kevin Jacobsen
Executive VP & CFO2.83yrsUS$3.19m0.015%
$ 3.3m
Eric Reynolds
Executive VP & COO0.42yrUS$3.08m0.012%
$ 2.8m
Jeff Baker
VP, Chief Accounting Officer & Corporate Controller4.08yrsno data0.0044%
$ 999.5k
Chau Banks
Senior VP and Chief Information & Enterprise Analytics Officer0.67yrno datano data
Lisah Burhan
Vice President of Investor Relationsno datano datano data
Angela Hilt
Senior VP0.17yrno data0.0034%
$ 768.9k
Stacey Grier
Senior VP and Chief Marketing & Strategy Officer2.08yrsno data0.00077%
$ 174.1k
Kirsten Marriner
Executive VP and Chief People & Corporate Affairs Officer4.92yrsno data0.0090%
$ 2.0m
Erbie Foster
Chief Diversity Officer14.67yrsno datano data
Denise Garner
Senior VP & Chief Innovation Officer6.08yrsno data0.0088%
$ 2.0m
Diego Barral
Senior VP & GM of International Division2.83yrsno data0.0025%
$ 558.6k

2.8yrs

Average Tenure

51yo

Average Age

Experienced Management: CLX's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Linda Rendle
CEO & Director0.42yrUS$4.20m0.013%
$ 2.9m
Spencer Fleischer
Independent Director5.58yrsUS$278.13k0.00049%
$ 110.8k
Allan MacKay
Independent Director4.5yrsUS$258.13k0.0013%
$ 287.2k
Christopher Williams
Independent Director5.58yrsUS$273.48kno data
Pamela Thomas-Graham
Independent Director15.42yrsUS$308.13k0.0014%
$ 318.9k
Paul Parker
Director0.25yrno data0.000010%
$ 2.3k
Amy Banse
Independent Director4.42yrsUS$258.13kno data
Esther Lee
Independent Director7.5yrsUS$258.13kno data
Matthew Shattock
Independent Chairmanno dataUS$258.13kno data
Kathryn Tesija
Independent Director0.75yrUS$12.45kno data
Richard Carmona
Independent Director14yrsUS$273.13kno data
Russell Weiner
Independent Director4yrsUS$258.13kno data

4.5yrs

Average Tenure

59.5yo

Average Age

Experienced Board: CLX's board of directors are considered experienced (4.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Clorox Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Clorox Company
  • Ticker: CLX
  • Exchange: NYSE
  • Founded: 1913
  • Industry: Household Products
  • Sector: Household
  • Market Cap: US$22.613b
  • Shares outstanding: 125.79m
  • Website: https://www.thecloroxcompany.com

Number of Employees


Location

  • The Clorox Company
  • 1221 Broadway
  • Oakland
  • California
  • 94612-1888
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLXNYSE (New York Stock Exchange)YesCommon StockUSUSDAug 1968
CXXDB (Deutsche Boerse AG)YesCommon StockDEEURAug 1968
CXXXTRA (XETRA Trading Platform)YesCommon StockDEEURAug 1968
0I0JLSE (London Stock Exchange)YesCommon StockGBUSDAug 1968
CXXETLX (Eurotlx)YesCommon StockITEURAug 1968
CLX *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNAug 1968
CLXBVL (Bolsa de Valores de Lima)YesCommon StockPEUSDAug 1968
CLXC34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 4 REPR 1 COMBRBRLMay 2019

Biography

The Clorox Company manufactures and markets consumer and professional products worldwide. It operates through four segments: Health and Wellness, Household, Lifestyle, and International. The company offers...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/01 23:28
End of Day Share Price2021/03/01 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.