Clorox Co
CLX
Specialty Cleaning, Polishing and Sanitation Preparations
Mkt Cap
$16BPE
66.65Debt
$2.48BCash
$221MEV
$18.26BFCF
$570MP/E Ratio
66.65Debt
$2.48BCash
$221MEV
$18.26BFCF
$570MCharts data: {"Earnings":[{"time":"2014-06-29","value":558000000},{"time":"2015-06-29","value":580000000},{"time":"2016-06-29","value":648000000},{"time":"2017-06-29","value":701000000},{"time":"2018-06-29","value":823000000},{"time":"2019-06-29","value":820000000},{"time":"2020-06-29","value":939000000},{"time":"2021-06-29","value":710000000},{"time":"2022-06-29","value":462000000},{"time":"2023-06-29","value":149000000}],"Sales":[{"time":"2014-06-29","value":5514000000},{"time":"2015-06-29","value":5655000000},{"time":"2016-06-29","value":5761000000},{"time":"2017-06-29","value":5973000000},{"time":"2018-06-29","value":6124000000},{"time":"2019-06-29","value":6214000000},{"time":"2020-06-29","value":6721000000},{"time":"2021-06-29","value":7341000000},{"time":"2022-06-29","value":7107000000},{"time":"2023-06-29","value":7389000000}],"Net Margins":[{"time":"2014-06-29","value":0.10119695321001088},{"time":"2015-06-29","value":0.10256410256410256},{"time":"2016-06-29","value":0.11248047214025343},{"time":"2017-06-29","value":0.11736145990289637},{"time":"2018-06-29","value":0.1343892880470281},{"time":"2019-06-29","value":0.13196009011908594},{"time":"2020-06-29","value":0.13971135247730992},{"time":"2021-06-29","value":0.0967170685192753},{"time":"2022-06-29","value":0.06500633178556353},{"time":"2023-06-29","value":0.020165110299093247}],"Assets":[{"time":"2014-06-29","value":4258000000},{"time":"2015-06-29","value":4164000000},{"time":"2016-06-29","value":4518000000},{"time":"2017-06-29","value":4573000000},{"time":"2018-06-29","value":5060000000},{"time":"2019-06-29","value":5116000000},{"time":"2020-06-29","value":6213000000},{"time":"2021-06-29","value":6334000000},{"time":"2022-06-29","value":6158000000},{"time":"2023-06-29","value":5945000000}],"Stockholders Equity":[{"time":"2014-06-29","value":154000000},{"time":"2015-06-29","value":118000000},{"time":"2016-06-29","value":297000000},{"time":"2017-06-29","value":542000000},{"time":"2018-06-29","value":726000000},{"time":"2019-06-29","value":559000000},{"time":"2020-06-29","value":908000000},{"time":"2021-06-29","value":592000000},{"time":"2022-06-29","value":729000000},{"time":"2023-06-29","value":388000000}],"ROE":[{"time":"2014-06-29","value":3.6233766233766236},{"time":"2015-06-29","value":4.915254237288136},{"time":"2016-06-29","value":2.1818181818181817},{"time":"2017-06-29","value":1.2933579335793357},{"time":"2018-06-29","value":1.1336088154269972},{"time":"2019-06-29","value":1.4669051878354205},{"time":"2020-06-29","value":1.0341409691629957},{"time":"2021-06-29","value":1.1993243243243243},{"time":"2022-06-29","value":0.6337448559670782},{"time":"2023-06-29","value":0.38402061855670105}],"ROA":[{"time":"2014-06-29","value":0.20760920620009393},{"time":"2015-06-29","value":0.2211815561959654},{"time":"2016-06-29","value":0.2175741478530323},{"time":"2017-06-29","value":0.22589109993439754},{"time":"2018-06-29","value":0.208300395256917},{"time":"2019-06-29","value":0.2001563721657545},{"time":"2020-06-29","value":0.1907291163689039},{"time":"2021-06-29","value":0.1420903062835491},{"time":"2022-06-29","value":0.09857096459889575},{"time":"2023-06-29","value":0.0400336417157275}]}
The Clorox Company manufactures and markets consumer and professional products worldwide. It operates through four segments: Health and Wellness, Household, Lifestyle, and International. The Health and Wellness segment offers cleaning products, such as laundry additives and home care products primarily under the Clorox, Clorox2, Scentiva, Pine-Sol, Liquid-Plumr, Tilex, and Formula 409 brands; professional cleaning and disinfecting products under the CloroxPro and Clorox Healthcare brands; professional food service products under the Hidden Valley brand; and vitamins, minerals and supplement products under the RenewLife, Natural Vitality, NeoCell, and Rainbow Light brands in the United States. The Household segment provides cat litter products under the Fresh Step and Scoop Away brands; bags and wraps under the Glad brand; and grilling products under the Kingsford brand in the United States. The Lifestyle segment offers dressings, dips, seasonings, and sauces primarily under the Hidden Valley brand; natural personal care products under the Burt's Bees brand; and water-filtration products under the Brita brand in the United States. The International segment provides laundry additives; home care products; water-filtration systems; digestive health products; grilling products; cat litter products; food products; bags and wraps; natural personal care products; and professional cleaning and disinfecting products internationally primarily under the Clorox, Ayudin, Clorinda, Poett, Pine-Sol, Glad, Brita, RenewLife, Ever Clean and Burt's Bees brands. The Clorox Company sells its products primarily through mass retailers; grocery outlets; warehouse clubs; dollar stores; home hardware centers; drug, pet and military stores; third-party and owned e-commerce channels; and distributors, as well as a direct sales force The company was founded in 1913 and is headquartered in Oakland, California.
Sector
DCF
Discounted Cash Flow Valuation of Clorox Co
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $570M | $579.7M | $589.6M | $599.7M | $609.9M | $620.3M | $630.9M | $641.6M | $652.6M | $663.7M | $675M | $6.75B |
| DCF | $504.1M | $445.8M | $394.3M | $348.7M | $308.4M | $272.7M | $241.2M | $213.3M | $188.7M | $166.9M | $1.669B | |
| Value | $4.753B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth -15%
Earnings Stability 37%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 06-2015 | 06-2016 | 06-2017 | 06-2018 | 06-2019 | 06-2020 | 06-2021 | 06-2022 | 06-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 10% | 11% | 12% | 13% | 13% | 14% | 9.7% | 6.5% | 2% | 3.3% |
| ROA | 22% | 22% | 23% | 21% | 20% | 19% | 14% | 9.9% | 4% | 6.2% |
| ROE | 490% | 220% | 130% | 110% | 150% | 100% | 120% | 63% | 38% | 94% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +9.8%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is -2.33%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +14.66%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -3.41%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +97.53%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is -17.38%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 06-2015 | 06-2016 | 06-2017 | 06-2018 | 06-2019 | 06-2020 | 06-2021 | 06-2022 | 06-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 3.20 | 2.97 | 3.42 | 2.93 | 3.41 | 2.15 | 3.26 | 4.62 | 2.66 | 4.35 |
| Debt Equity | 20.31 | 6.05 | 4.04 | 3.15 | 4.80 | 3.06 | 5.21 | 3.39 | 6.38 | 9.73 |
| MIN | ||||||||||
| Graham Stability | - | - | 100% | 100% | 100% | 100% | 82% | 56% | 21% | 21% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 4.35.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is 0.10.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.21.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 06-2016 | 06-2018 | 06-2020 | 06-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 3.6% | 3.8% | 3.2% | 4% | 0.12% |
| Net Income | -19% | -29% | -46% | -68% | -8.2% |
| Stockholders Equity | 3.9% | -12% | -25% | -47% | -11% |
| FCF | 6.3% | 3.6% | -10% | 74% | 2.1% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +3.83%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +0.12%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is -28.95%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -8.25%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is -11.78%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -11.42%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +3.58%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +2.11%.