Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

‘Share Weakness Across Key Categories’: Analysts Weigh In On Clorox’s Investor Day

Courtesy of Benzinga

'Share Weakness Across Key Categories': Analysts Weigh In On Clorox's Investor Day

Clorox Co (NYSE: CLX) shares lost ground Thursday after the company cut its 2020 guidance at its investor day Wednesday. 

The company cut its fiscal year 2020 earnings guidance from a range of $6.30-$6.50 per share to $6.05-$6.25, falling short of consensus estimates.

BofA Shaves $5 From Price Target

Ater a challenging fourth quarter and expectations for a tough 2020, the company unveiled a clear focus on how to fix wrongs and innovate to win with an increasingly diverse set of consumers and retailers, Bank of America Merrill Lynch analyst Olivia Tong said in a Thursday note. 

“We see ESG and efficiency-related initiatives as fundamentally sound and management did address recent misfires and restoration plans for Kingsford head on. However, near term, we continue to see share weakness across key categories, increased reliance on cost saves to fuel growth, unfavorable international exposure, and potential for the many projects afoot to delay recovery.” 

Bank of America maintained a Neutral rating and lowered its price target from $165 to $160.

Credit Suisse: A Reset Of Expectations

Bears will focus on the decline in guidance and worsening currency pressures, but Credit Suisse analyst Kaumil Gajrawala said the investor day effectively reset forecasts and expectations.

“Importantly, outlook for U.S., the largest area of concern, has not changed,” the analyst said in a Wednesday note. 

Underlying expectations for 1-3% organic sales growth remain in place, indicating that current tracked channel weakness and pricing issues are accounted for in the guidance, he said. The guidance includes an improvement in the back half of next year, the analyst said. 

Credit Suisse maintained an Outperform rating and lowered the price target from $172 to $168.

Clorox shares were down 1.56% at $147.02 at the close Thursday. 

Related Links:

A Few Key Takeaways From Clorox’s Analyst Presentation

Pro: Consumer Goods Stocks Surging In ‘Clear Change’ In Market Leadership

Latest Ratings for CLX

Date Firm Action From To
Oct 2019 Maintains Neutral
Oct 2019 Maintains Sell
Oct 2019 Maintains Hold

View More Analyst Ratings for CLX


View the Latest Analyst Ratings

Posted-In: Bank of America Merrill Lynch Credit Suisse Kaumil GajrawalaAnalyst Color News Price Target Reiteration Analyst Ratings Best of Benzinga


Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!