CLOROX COMPANY (CLX) Stock Fundamental Analysis
NYSE:CLX - New York Stock Exchange, Inc. - US1890541097 - Common Stock - Currency: USD
Taking everything into account, CLX scores 4 out of 10 in our fundamental rating. CLX was compared to 12 industry peers in the Household Products industry. There are concerns on the financial health of CLX while its profitability can be described as average. CLX is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CLX was profitable.
CLX had a positive operating cash flow in the past year.
In the past 5 years CLX has always been profitable.
In the past 5 years CLX always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.19%, CLX is in line with its industry, outperforming 58.33% of the companies in the same industry.
CLX has a better Return On Invested Capital (18.50%) than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CLX is in line with the industry average of 15.44%.
The 3 year average ROIC (13.49%) for CLX is below the current ROIC(18.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.19% | ||
| ROE | N/A | ||
| ROIC | 18.5% |
ROA(3y)4.96%
ROA(5y)8.24%
ROE(3y)78.73%
ROE(5y)102.47%
ROIC(3y)13.49%
ROIC(5y)15.84%
1.3 Margins
CLX has a Profit Margin of 6.38%. This is comparable to the rest of the industry: CLX outperforms 41.67% of its industry peers.
CLX's Profit Margin has declined in the last couple of years.
CLX has a Operating Margin (14.78%) which is in line with its industry peers.
CLX's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 44.51%, CLX is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of CLX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.78% | ||
| PM (TTM) | 6.38% | ||
| GM | 44.51% |
OM growth 3Y-7.85%
OM growth 5Y-6.18%
PM growth 3Y-25.82%
PM growth 5Y-21.44%
GM growth 3Y-0.28%
GM growth 5Y-0.32%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CLX is creating value.
CLX has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CLX has been reduced compared to 5 years ago.
Compared to 1 year ago, CLX has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.75 indicates that CLX is not in any danger for bankruptcy at the moment.
The Altman-Z score of CLX (3.75) is comparable to the rest of the industry.
CLX has a debt to FCF ratio of 3.84. This is a good value and a sign of high solvency as CLX would need 3.84 years to pay back of all of its debts.
The Debt to FCF ratio of CLX (3.84) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.84 | ||
| Altman-Z | 3.75 |
ROIC/WACC2.26
WACC8.19%
2.3 Liquidity
CLX has a Current Ratio of 0.94. This is a bad value and indicates that CLX is not financially healthy enough and could expect problems in meeting its short term obligations.
CLX has a Current ratio of 0.94. This is in the lower half of the industry: CLX underperforms 66.67% of its industry peers.
A Quick Ratio of 0.60 indicates that CLX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.60, CLX is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.04% over the past year.
The Earnings Per Share has been decreasing by -0.51% on average over the past years.
The Revenue has decreased by -1.98% in the past year.
CLX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.68% yearly.
EPS 1Y (TTM)19.04%
EPS 3Y-7.55%
EPS 5Y-0.51%
EPS Q2Q%-28.24%
Revenue 1Y (TTM)-1.98%
Revenue growth 3Y-1.14%
Revenue growth 5Y2.68%
Sales Q2Q%-15.28%
3.2 Future
The Earnings Per Share is expected to grow by 8.40% on average over the next years. This is quite good.
Based on estimates for the next years, CLX will show a small growth in Revenue. The Revenue will grow by 3.11% on average per year.
EPS Next Y16.48%
EPS Next 2Y8.82%
EPS Next 3Y7.64%
EPS Next 5Y8.4%
Revenue Next Year-0.6%
Revenue Next 2Y0.3%
Revenue Next 3Y1.14%
Revenue Next 5Y3.11%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.03, CLX is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as CLX.
Compared to an average S&P500 Price/Earnings ratio of 28.29, CLX is valued a bit cheaper.
The Price/Forward Earnings ratio is 18.99, which indicates a rather expensive current valuation of CLX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CLX is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.32, CLX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 18.99 |
4.2 Price Multiples
CLX's Enterprise Value to EBITDA is on the same level as the industry average.
CLX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.64 | ||
| EV/EBITDA | 15.13 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.22
PEG (5Y)N/A
EPS Next 2Y8.82%
EPS Next 3Y7.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.49%, CLX has a reasonable but not impressive dividend return.
CLX's Dividend Yield is a higher than the industry average which is at 2.74.
CLX's Dividend Yield is a higher than the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.49% |
5.2 History
The dividend of CLX has a limited annual growth rate of 4.43%.
CLX has paid a dividend for at least 10 years, which is a reliable track record.
CLX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.43%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
CLX pays out 131.07% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CLX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP131.07%
EPS Next 2Y8.82%
EPS Next 3Y7.64%
NYSE:CLX (4/21/2025, 11:15:53 AM)
139.01
-0.77 (-0.55%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners82.9%
Inst Owner Change0.36%
Ins Owners0.17%
Ins Owner Change-1.23%
Market Cap17.12B
Analysts55.86
Price Target166.04 (19.44%)
Short Float %3.52%
Short Ratio2.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.49% |
Yearly Dividend4.8
Dividend Growth(5Y)4.43%
DP131.07%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.57%
Min EPS beat(2)9.12%
Max EPS beat(2)32.02%
EPS beat(4)4
Avg EPS beat(4)20.08%
Min EPS beat(4)9.12%
Max EPS beat(4)32.02%
EPS beat(8)8
Avg EPS beat(8)69.7%
EPS beat(12)11
Avg EPS beat(12)55.3%
EPS beat(16)13
Avg EPS beat(16)39.7%
Revenue beat(2)2
Avg Revenue beat(2)4.32%
Min Revenue beat(2)2.62%
Max Revenue beat(2)6.02%
Revenue beat(4)2
Avg Revenue beat(4)0.32%
Min Revenue beat(4)-3.92%
Max Revenue beat(4)6.02%
Revenue beat(8)6
Avg Revenue beat(8)3.29%
Revenue beat(12)8
Avg Revenue beat(12)2.18%
Revenue beat(16)10
Avg Revenue beat(16)1.22%
PT rev (1m)-0.44%
PT rev (3m)-0.35%
EPS NQ rev (1m)-1.99%
EPS NQ rev (3m)-4.92%
EPS NY rev (1m)-0.91%
EPS NY rev (3m)4.08%
Revenue NQ rev (1m)-0.96%
Revenue NQ rev (3m)-2.35%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 18.99 | ||
| P/S | 2.39 | ||
| P/FCF | 24.64 | ||
| P/OCF | 18.55 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.13 |
EPS(TTM)6.94
EY4.99%
EPS(NY)7.32
Fwd EY5.26%
FCF(TTM)5.64
FCFY4.06%
OCF(TTM)7.49
OCFY5.39%
SpS58.16
BVpS-0.33
TBVpS-14.89
PEG (NY)1.22
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.19% | ||
| ROE | N/A | ||
| ROCE | 27.53% | ||
| ROIC | 18.5% | ||
| ROICexc | 19.93% | ||
| ROICexgc | 38.23% | ||
| OM | 14.78% | ||
| PM (TTM) | 6.38% | ||
| GM | 44.51% | ||
| FCFM | 9.7% |
ROA(3y)4.96%
ROA(5y)8.24%
ROE(3y)78.73%
ROE(5y)102.47%
ROIC(3y)13.49%
ROIC(5y)15.84%
ROICexc(3y)14.36%
ROICexc(5y)17.52%
ROICexgc(3y)29.81%
ROICexgc(5y)41.93%
ROCE(3y)19.5%
ROCE(5y)22.69%
ROICexcg growth 3Y-18.79%
ROICexcg growth 5Y-10.19%
ROICexc growth 3Y-9.05%
ROICexc growth 5Y-3.75%
OM growth 3Y-7.85%
OM growth 5Y-6.18%
PM growth 3Y-25.82%
PM growth 5Y-21.44%
GM growth 3Y-0.28%
GM growth 5Y-0.32%
F-Score8
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.84 | ||
| Debt/EBITDA | 2.08 | ||
| Cap/Depr | 101.79% | ||
| Cap/Sales | 3.18% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.94% | ||
| Profit Quality | 152.08% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 3.75 |
F-Score8
WACC8.19%
ROIC/WACC2.26
Cap/Depr(3y)99.63%
Cap/Depr(5y)119.37%
Cap/Sales(3y)3.2%
Cap/Sales(5y)3.58%
Profit Quality(3y)304.15%
Profit Quality(5y)236.63%
High Growth Momentum
Growth
EPS 1Y (TTM)19.04%
EPS 3Y-7.55%
EPS 5Y-0.51%
EPS Q2Q%-28.24%
EPS Next Y16.48%
EPS Next 2Y8.82%
EPS Next 3Y7.64%
EPS Next 5Y8.4%
Revenue 1Y (TTM)-1.98%
Revenue growth 3Y-1.14%
Revenue growth 5Y2.68%
Sales Q2Q%-15.28%
Revenue Next Year-0.6%
Revenue Next 2Y0.3%
Revenue Next 3Y1.14%
Revenue Next 5Y3.11%
EBIT growth 1Y10.89%
EBIT growth 3Y-8.9%
EBIT growth 5Y-3.66%
EBIT Next Year39.03%
EBIT Next 3Y14.95%
EBIT Next 5Y11.55%
FCF growth 1Y-3.61%
FCF growth 3Y-20.05%
FCF growth 5Y-9.28%
OCF growth 1Y-2.94%
OCF growth 3Y-18.33%
OCF growth 5Y-6.87%