Analyst Robert Moskow of TD Cowen maintained a Hold rating on Clorox, reducing the price target to $117.00.
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Robert Moskow has given his Hold rating due to a combination of factors impacting Clorox’s financial outlook. The company is facing challenges from operating deleverage related to disruptions during its ERP transition, which has affected their earnings per share (EPS) projections. Moskow has adjusted the EPS forecast downward, reflecting these operational challenges and a weaker-than-expected gross margin.
Additionally, Clorox has experienced persistent weaknesses in organic sales growth, as indicated by retail tracking data. The company’s recent order-fulfillment issues, which lasted for three weeks, further complicated their ERP transition and impacted retail sales. Despite management’s efforts to maintain marketing support and resolve these issues, the ongoing unpredictability in consumer spending and market share losses in key product categories contribute to the Hold rating, as these factors suggest potential downward revisions in the future.
In another report released on September 27, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $136.00 price target.