As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q2. Today, we are looking at household products stocks, 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 mixed Q2. As a group, revenues missed analysts’ consensus estimates by 0.6% while next quarter’s revenue guidance was 0.7% below.
In light of this news, share prices of the companies have held steady as they are up 4.4% on average since the latest earnings results.
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 $960.9 million, down 3.6% year on year. This print fell short of analysts’ expectations by 2.1%, but it was still a satisfactory quarter for the company with an impressive beat of analysts’ EBITDA estimates.
Unsurprisingly, the stock is down 4.7% since reporting and currently trades at $37.58.
Is now the time to buy Central Garden & Pet? Access our full analysis of the earnings results here, it’s free.
Best Q2: 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 $1.99 billion, up 4.5% year on year, outperforming analysts’ expectations by 3.3%. The business had a very strong quarter with an impressive beat of analysts’ EBITDA estimates and an impressive beat of analysts’ organic revenue estimates.
Clorox achieved the fastest revenue growth among its peers. However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $124.54.
Is now the time to buy Clorox? Access our full analysis of the earnings results here, it’s free.
Slowest Q2: 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 $699.6 million, down 10.2% year on year, falling short of analysts’ expectations by 5.5%. It was a disappointing quarter as it posted a significant miss of analysts’ organic revenue estimates and a significant miss of analysts’ EBITDA estimates.
Spectrum Brands delivered the slowest revenue growth in the group. Interestingly, the stock is up 5.4% since the results and currently trades at $55.80.
Read our full analysis of Spectrum Brands’s results here.
Kimberly-Clark (NASDAQ: KMB)
Originally founded as a Wisconsin paper mill in 1872, Kimberly-Clark (NYSE: KMB) is now a household products powerhouse known for personal care and tissue products.
Kimberly-Clark reported revenues of $4.16 billion, down 1.6% year on year. This result missed analysts’ expectations by 9.6%. More broadly, it was a mixed quarter as it also produced a solid beat of analysts’ EBITDA estimates but a miss of analysts’ gross margin estimates.
Kimberly-Clark had the weakest performance against analyst estimates among its peers. The stock is up 3.4% since reporting and currently trades at $128.90.
Read our full, actionable report on Kimberly-Clark 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 $20.89 billion, up 1.7% year on year. This number met analysts’ expectations. Zooming out, it was a satisfactory quarter as it also recorded an impressive beat of analysts’ EBITDA estimates but a slight miss of analysts’ gross margin estimates.
The stock is up 1.4% since reporting and currently trades at $159.30.
Read our full, actionable report on Procter & Gamble here, it’s free.
Market Update
Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.
Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
