Is The Clorox Co. overvalued or undervalued?

As of 17 October 2025, the valuation grade for The Clorox Co. has moved from expensive to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued based on its current metrics, with a P/E ratio of 25, a PEG ratio of 0.32, and an impressive ROE of 2515.27%. In comparison to peers, The Clorox Co. has a lower P/E ratio than Kimberly-Clark Corp., which stands at 19.95, and a more favorable PEG ratio compared to Church & Dwight Co., Inc. at 3.36.
Despite this attractive valuation, The Clorox Co. has underperformed significantly against the S&P 500, with a year-to-date return of -26.29% compared to the index's 13.30%. This stark contrast highlights potential market concerns that may not be fully reflected in the current valuation ratios.