The Clorox Company (CLX) recently completed the successful implementation of its new enterprise resource planning (ERP) system in the U.S., temporarily resulting in lower organic sales. Investors can anticipate a stable recovery toward pre-pandemic price levels over the next few years, followed by a decline in 2030.
In this article, we’ll examine price-target forecasts through 2030, analyze Wall Street’s latest sentiment, and break down the bullish and bearish outlooks shaping CLX’s risk/reward proposition.
Current CLX Stock Overview
- Market Cap: $13.14 billion
- Trailing P/E: 16.92
- Forward P/E: 17.57
- 1 Year Return: -33%
- YTD Return: -31%
According to Benzinga, Wall Street currently maintains a consensus Hold rating on The Clorox Co. with an average price target of about $137. The most optimistic target is set at $170, and the most conservative target is at $112.
Quick Snapshot Table of Predictions
Bull & Bear Case
The bull case for The Clorox Co. hinges on the successful completion of the company’s internal transformation and its pricing power to manage cost inflation, while the bear case emphasizes competitive pressures from private labels and the risk of execution failure.
Bull Case
- The company's core strategy, known as IGNITE, is expected to yield sustained profitability improvements through cost-savings initiatives, supply chain modernization, and digital investments that should increase productivity starting in fiscal year 2027.
- Clorox holds a strong competitive advantage stemming from its highly recognizable, premium portfolio of essential household brands like Clorox, Pine-Sol, and Glad, enabling the company to maintain pricing power even when faced with rising commodity costs.
- Management has demonstrated discipline in proactively managing input costs and navigating trade pressures, including exploring sourcing and product formulation changes to successfully mitigate the financial impact of current tariffs.
- The successful implementation of the new U.S. ERP system provides a modernized digital backbone that, once fully absorbed, is set to unlock long-term operational efficiencies and enhance real-time data visibility across the supply chain.
- As post-pandemic volatility settles, volume trends should eventually stabilize and potentially recover as cost-saving programs allow the company to reinvest in promotional spending and innovation to recapture lost market share from private-label competitors.
Bear Case
- Sales volumes are expected to remain under pressure as consumers, reacting to continued economic uncertainty and high inflation, trade down from premium brands to lower-priced private-label alternatives, leading to stagnant organic sales growth.
- Despite management’s efforts, the combination of high manufacturing and logistics expenses, fluctuating commodity prices, and the operational expense of offsetting tariffs could continue to compress gross margins throughout the forecast period.
- The negative impact associated with the reversal of incremental shipments built up during the ERP transition caused significant short-term earnings and sales headwinds in fiscal year 2026, creating volatility and uncertainty for investors in the near term.
- Continued foreign currency fluctuations and challenges in international markets, along with the operational complexity of managing a tariff hit through sourcing changes, present ongoing risks to the company’s stated earnings outlook.
CLX Stock Price Prediction for 2026
According to CoinCodex, in 2026, algorithmic models suggest that CLX will largely operate within a wide range, reflecting a period where the market attempts to gauge the long-term success of the company’s cost-management and modernization initiatives against broader consumer weakness.
The 2026 projection indicates that the stock will still be under the influence of the prior year’s operational headwinds, particularly the full effect of the inventory normalization following the ERP rollout, before a clearer trajectory can be established.
CLX Stock Price Prediction for 2027
According to CoinCodex, in 2027, The Clorox Co. stock is projected to continue its recovery but potentially encounter a slightly tighter trading range. The company’s strategic investments in digital capabilities and productivity enhancements, which are slated to begin yielding gains in fiscal year 2027, will provide a modest foundation for stock stability.
While fundamental challenges like high inflation and consumer switching persist, the underlying business is expected to show more operational resilience.
CLX Stock Price Prediction for 2030
According to CoinCodex, in 2030, The Clorox Co. stock is projected to experience a notable decline from current levels. The structural issues inherent in the competitive consumer packaged goods (CPG) sector, such as sustained commodity cost pressure and the inability to pass costs completely onto value-conscious consumers, outweigh the benefits of the company's efficiency programs.
Investment Considerations
One key consideration is the company’s multi-year digital transformation, particularly the successful U.S. implementation of its new ERP system. While the transition led to a short-term collapse in sales volume and adjusted earnings per share in Q1 Fiscal Year 2026 due to inventory reversal, management expects the new digital backbone to unlock substantial value streams and provide critical productivity gains starting in fiscal year 2027.
The success of this long-term investment is essential for reducing costs, improving supply chain visibility, and ensuring the long-term operational efficiency needed to compete effectively in the modern CPG landscape.
A second crucial factor for shareholders is Clorox’s ongoing margin management, particularly its ability to sustain pricing strength amid high inflation and competitive erosion. The company has relied on its premium brand portfolio to implement disciplined price increases and leverage advanced analytics, employing a "dual pricing" strategy that balances affordability on value-sensitive items with promotional support on higher-margin products.
This holistic margin-management effort has historically enabled Clorox to offset the impact of increased manufacturing, logistics, and commodity costs. The sustained recovery of gross margin will depend on management’s ability to execute additional cost-saving initiatives and maintain brand equity without accelerating the trend of consumers switching to cheaper options.
The impact of tariffs and evolving geopolitical risks on CLX’s supply chain is a relevant consideration, as the company has estimated a “fairly material” financial hit from duties, prompting a strategic response. While Clorox's exposure is somewhat limited because it manufactures many products close to the point of sale, the company is actively mulling operational changes, including diversifying sourcing locations and exploring product reformulations, to offset the costs.
The speed and efficiency with which Clorox can implement these supply chain adjustments will directly influence its ability to protect profitability and ensure the sustained resilience of its operations over the medium term.
