Bank of America Cuts Clorox (CLX) Target as Consumer Staples Face 2026 Uncertainty

The Clorox Company (NYSE:CLX) is included among the Best Stocks for a Dividend Achievers List.

On December 19, Bank of America analyst Anna Lizzul lowered the firm’s price target on The Clorox Company (NYSE:CLX) to $110 from $125 and kept a Neutral rating on the stock. Looking ahead to 2026, Lizzul said the biggest open question for consumer staples remains consumption growth. Valuations across the sector remain uneven. Still, she noted that “there feels little to get them off the sidelines in ’26 until fundamentals signal a greater turning of the tide,” according to her year-ahead note on the group.

Jefferies has taken a more constructive view of household and personal care products. The firm points to easing macro pressures, improving category sentiment, and a strong pipeline of innovation expected over the coming year. At The Clorox Company (NYSE:CLX) , Jefferies sees portfolio changes as a key driver. The additions of Touchland and VMS are expected to improve product mix and margins. Innovation is also expected to support incremental growth. As analyst Akshay Gajrawala put it, “The runway is compelling given low household penetration and international expansion.” Jefferies’ $102 price target is based on a 26x multiple of its fiscal 2027 EPS estimate.

The Clorox Company (NYSE:CLX) shares are down nearly 40% since the start of 2025. Despite that decline, the company’s underlying performance has improved since 2024. Revenue and profit trends have stabilized and begun to recover. One metric stands out. Return on invested capital has rebounded sharply. Clorox’s ROIC is now around 25%, in line with levels seen before the pandemic. For long-term investors, that recovery carries weight. It suggests the business has regained discipline and efficiency, even after several difficult years.

The Clorox Company (NYSE:CLX) is a US-based multinational that manufactures and markets consumer and professional products across cleaning, household, and lifestyle categories.

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Disclosure: None.