Clorox Is Down 55%. What History Says About CLX.

Clorox Has Been Falling for 2,000 Days. What History Says.

As of June 22, 2026, The Clorox Company (CLX) remains deeply positioned within its red zone, recording a Drawdown Severity Score™ of 12.0 and a current drawdown of -55.1% from its all-time high of $201.97. This extreme contraction has persisted for 2,076 consecutive days, representing the longest and deepest drawdown period for the stock in decades. Historically, when the asset has experienced declines of 30% or more, recoveries have required an average of 1,338 days, indicating that the current 2,076-day cycle has already exceeded prior historical recovery windows.

Analyzing the Current -55.1% Drawdown Profile

The current price of $90.60 represents a total decline of -55.1% from the peak established on the way to the stock's all-time high. This puts the stock in a prolonged state of capital impairment. The stock has spent 2,076 days in this single drawdown event, making it an extreme outlier in the asset's trading history.

Our data shows that the previous zone for the stock was also the red zone, indicating that the severity score has remained depressed without experiencing a zone transition. This lack of upward momentum highlights the persistent pressure on the stock's price structure.

Where It Was: Peak Severity and Drawdown Duration

To understand the rarity of the current market structure, we must compare it to the historical baseline of the stock's price behavior. Across 261 total historical drawdown events recorded in our database, the average maximum drawdown is just -4.1%. The current drawdown of -55.1% is more than 13 times deeper than this long-term average.

Furthermore, the average duration of all historical drawdowns is 46 days. The current duration of 2,076 days is more than 45 times longer than the historical average. This divergence indicates that the current cycle is not a typical correction but a structural shift in the stock's historical drawdown profile.

Understanding the Drawdown Severity Score™ and the Red Zone

The proprietary Drawdown Severity Score™ is a quantitative metric that ranks the severity of an asset's price decline by combining drawdown depth, duration, and historical frequency. A Drawdown Severity Score™ of 12.0 classifies the stock in the red zone, which represents extreme drawdown behavior. This score reflects the fact that a -55.1% decline is highly abnormal for this specific asset.

The red zone classification indicates that the asset is experiencing a severe correction that occurs in the lowest percentile of its historical performance. Because the Drawdown Severity Score™ remains at 12.0, the data shows no current signs of trend reversal or stabilization that would warrant a transition to a yellow or green severity zone.

Historical Comparisons and Rarity of Deep Declines

Historically, drops of 30% or more are extremely rare for this stock. Our database shows this has occurred only 2 times out of 261 total drawdown events, which equates to approximately 0.77% of all historical pullbacks. The average duration of these comparable deep drops was 1,338 days.

Below is a comprehensive breakdown comparing the current drawdown to historical averages:

Because there are only 2 historical instances of a 30% or deeper drawdown, we must emphasize the small sample size caveat. This limited history means that past averages may not fully predict the behavior of the current cycle, which has already lasted 2,076 days, which is nearly 1.5 times longer than the 1,338-day historical average for deep corrections.

Key Price Levels and Drawdown Recovery Milestones

To help investors track the progress of a potential recovery, we have calculated the exact price levels required for the stock to reach specific drawdown milestones from its all-time high of $201.97:

This structured data shows that for the stock to exit the historical 30% drawdown threshold, it must reach a price of $141.38, representing a +56.05% gain from the current price of $90.60. A full recovery to the all-time high of $201.97 would require a gain of +122.92%.

Historical Valuation Context

To provide historical context, we examine the asset's valuation multiples as of 2026-06-21 relative to its own daily history since 2006-06-19. The Price-to-Sales (P/S) ratio stands at 1.7, which ranks in the 18th percentile of its historical daily record, sitting below its historical median of 2.4. Additionally, the EV-to-EBITDA (EV/EBITDA) ratio is 11.4, positioning it in the 24th percentile of its own daily history relative to a historical median of 13.9. These percentiles indicate that the current valuation multiples are positioned toward the lower end of the asset's own historical distribution, contrasting with the peak levels observed when the stock was trading near its all-time high.

Data Limits and Methodology

This drawdown analysis is strictly quantitative and relies exclusively on historical price, drawdown, and severity data. We do not incorporate qualitative market narratives, analyst forecasts, corporate earnings reports, or macroeconomic indicators in this evaluation. By focusing solely on empirical price action and historical comparisons, we seek to provide an objective framework for assessing risk without introducing external assumptions or subjective interpretations.

What to Watch: Severity Thresholds and Risk Levels

For the data picture to change, several key levels must be monitored. A move toward a lower severity score would require a sustained price recovery above key historical resistance points. Specifically, a reduction in the current -55.1% drawdown would be required to shift CLX out of the red zone.

If the stock price rises to reduce the drawdown below the -30.0% threshold, the proprietary severity score would transition to a less severe zone. Conversely, if the price falls below the current level of $90.60, the drawdown will deepen beyond -55.1%, potentially pushing the Drawdown Severity Score™ higher and extending the 2,076-day drawdown period further into unprecedented historical territory.