Why Is Wall Street Expecting Miracles From Clorox?
When Wall Street decides on a story, it sometimes has a hard time seeing when things change for the worse -- or, in the case of Clorox (NYSE: CLX), for the better. Right now, it seems like Clorox can't do anything right -- at least, if you read Wall Street research -- even though management is doing exactly what it said it would do.
Here's why investors should be happier with the company than Wall Street wants them to be.
Clorox was performing extraordinarily well during the early days of the pandemic. The main driver was the increased use of cleaning supplies as consumers tried to avoid getting sick. The spike in demand led the consumer staples giant to bring in contract manufacturers so it could catch up. That increased costs, but allowed Clorox to keep shelves full and bolstered earnings.
Source Fool.com
