Movement Alert|Clorox Falls 5.06% in Regular Trading, Weak Fundamentals and Broad Analyst Downgrades Continue to Weigh

Market Focus
Sep 01

On September 1, Clorox fell 5.06% in regular trading, trading at $97.341 per share, with turnover of $2.57 billion. The decline reflects continued pressure from weak fiscal Q4 results and a wave of institutional downgrades.

Clorox reported fiscal Q4 adjusted EPS of $1.66, down 42% year-over-year, on revenue of $1.95 billion, a roughly 2% decline. While the results narrowly beat consensus estimates, the steep earnings erosion underscored persistent headwinds including cost inflation, sluggish demand in charcoal and cat litter categories, and elevated promotional spending. Fiscal 2027 guidance of $5.70-$6.00 adjusted EPS bracketed the Street estimate of $5.93, with RBC cutting its forecast to $5.85 citing weaker-than-expected gross margin outlook.

The bearish analyst consensus has intensified in recent months. JPMorgan downgraded the stock to Underweight, Jefferies cut its rating to Hold from Buy, and Goldman Sachs set a street-low price target of $77. The mean analyst target sits near $98.53, reflecting limited upside. Additionally, a CEO transition is underway after Linda Rendle announced her decision to step down for health reasons, adding leadership uncertainty.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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