UBS Maintains a 'Neutral' on Clorox (CLX); Assessing "The Icahn Effect"
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Price: $106.77 +0.69%
Rating Summary:
1 Buy, 20 Hold, 5 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
1 Buy, 20 Hold, 5 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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UBS maintains a 'Neutral' on Clorox (NYSE: CLX), PT increased from $70 to $74.
UBS analyst says, "We see 6 potential scenarios playing out: 1) a strategic buyer bids $100, 2) Clorox’s Board actually accepts Mr. Icahn’s offer, 3) another financial buyer steps in, 4) Mr. Icahn sells his stake, 5) Clorox’s board rejects Mr. Icahn’s offer and goes on business as usual, and 6) Clorox’s board rejects Mr. Icahn’s offer and swiftly moves to create incremental value. Our scenario analysis suggests CLX shares are worth $74/share, slightly below where the stock closed on Friday."
"As we indicated in our HPC Half-time report two weeks ago, we believe ongoing volatility in input costs, continued pressure on the consumer in key developed markets and the need to accelerate spending in the emerging markets while still delivering acceptable/high quality growth to investors will drive companies and their boards to consider large scale changes in order to more effectively compete/operate in today’s environment. We identified Energizer (NYSE: ENR) and Procter & Gamble (NYSE: PG) as two companies that could become more aggressive in this area."
For more ratings news on Clorox click here and for the rating history of Clorox click here.
Shares of Clorox closed at $74.55 yesterday.
UBS analyst says, "We see 6 potential scenarios playing out: 1) a strategic buyer bids $100, 2) Clorox’s Board actually accepts Mr. Icahn’s offer, 3) another financial buyer steps in, 4) Mr. Icahn sells his stake, 5) Clorox’s board rejects Mr. Icahn’s offer and goes on business as usual, and 6) Clorox’s board rejects Mr. Icahn’s offer and swiftly moves to create incremental value. Our scenario analysis suggests CLX shares are worth $74/share, slightly below where the stock closed on Friday."
"As we indicated in our HPC Half-time report two weeks ago, we believe ongoing volatility in input costs, continued pressure on the consumer in key developed markets and the need to accelerate spending in the emerging markets while still delivering acceptable/high quality growth to investors will drive companies and their boards to consider large scale changes in order to more effectively compete/operate in today’s environment. We identified Energizer (NYSE: ENR) and Procter & Gamble (NYSE: PG) as two companies that could become more aggressive in this area."
For more ratings news on Clorox click here and for the rating history of Clorox click here.
Shares of Clorox closed at $74.55 yesterday.
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