The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how household products stocks fared in Q4, starting with Central Garden & Pet (NASDAQ:CENT).
Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends.
The 10 household products stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 2% while next quarter’s revenue guidance was in line.
While some household products stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.5% since the latest earnings results.
Best Q4: Central Garden & Pet (NASDAQ:CENT)
Enhancing the lives of both pets and homeowners, Central Garden & Pet (NASDAQ:CENT) is a leading producer and distributor of essential products for pet care, lawn and garden maintenance, and pest control.
Central Garden & Pet reported revenues of $656.4 million, up 3.5% year on year. This print exceeded analysts’ expectations by 4.4%. Overall, it was an exceptional quarter for the company with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
“The fiscal year is off to a strong start, driven by increased first quarter shipments, productivity gains and easing inflation, all contributing to growth in both our top and bottom line,” said Niko Lahanas, CEO of Central Garden & Pet.
The stock is up 7.8% since reporting and currently trades at $39.98.
Is now the time to buy Central Garden & Pet? Access our full analysis of the earnings results here, it’s free.
Clorox (NYSE:CLX)
Founded in 1913 with bleach as the sole product offering, Clorox (NYSE:CLX) today is a consumer products giant whose product portfolio spans everything from bleach to skincare to salad dressing to kitty litter.
Clorox reported revenues of $1.69 billion, down 15.3% year on year, outperforming analysts’ expectations by 2.8%. The business had a very strong quarter with a solid beat of analysts’ organic revenue and EBITDA estimates.
Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 3.2% since reporting. It currently trades at $154.67.
Is now the time to buy Clorox? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Colgate-Palmolive (NYSE:CL)
Formed after the 1928 combination between toothpaste maker Colgate and soap maker Palmolive-Peet, Colgate-Palmolive (NYSE:CL) is a consumer products company that focuses on personal, household, and pet products.
Colgate-Palmolive reported revenues of $4.94 billion, flat year on year, falling short of analysts’ expectations by 0.6%. It was a slower quarter as it posted a miss of analysts’ EBITDA and organic revenue estimates.
Colgate-Palmolive delivered the weakest performance against analyst estimates in the group. The stock is flat since the results and currently trades at $90.49.
Read our full analysis of Colgate-Palmolive’s results here.
Spectrum Brands (NYSE:SPB)
A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care.
Spectrum Brands reported revenues of $700.2 million, up 1.2% year on year. This number missed analysts’ expectations by 0.6%. Zooming out, it was actually a strong quarter as it put up an impressive beat of analysts’ EBITDA estimates.
The stock is down 5.1% since reporting and currently trades at $78.66.
Read our full, actionable report on Spectrum Brands here, it’s free.
Procter & Gamble (NYSE:PG)
Founded by candle maker William Procter and soap maker James Gamble, Proctor & Gamble (NYSE:PG) is a consumer products behemoth whose product portfolio spans everything from facial tissues to laundry detergent to feminine care to men’s grooming.
Procter & Gamble reported revenues of $21.88 billion, up 2.1% year on year. This print topped analysts’ expectations by 1.3%. Zooming out, it was a satisfactory quarter as it also recorded an impressive beat of analysts’ EBITDA estimates but gross margin in line with analysts’ estimates.
The stock is up 5.7% since reporting and currently trades at $170.91.
Read our full, actionable report on Procter & Gamble here, it’s free.
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