Clorox Means Income, Income, Income

For all stocks, the bull or bear case can often change based on the time frame, and Clorox (CLX) is no exception. Any investor looking for a pop in the next week could be disappointed -- but, under any longer-term time frame, I am constructive on this name. Of course, someone looking for explosive Netflix (NFLX)-type growth will be disappointed, but Clorox could have a role in any portfolio as a stable consumer-staple name that can provide income and offset the volatility of the go-go names. The bull case for Clorox is simple: income, income, income. 

Clorox has been one of the great dividend payers of the past decade. Ten years ago the company was paying out $0.24 per share each quarter, and the most recent dividend hike was to $0.71, to be paid in August. That's a 196% increase! (By the way, Clorox goes ex-dividend on July 22, so build your position now if you want collect that attractive 0.84% payment.) Of course, the payout is driven by stable results in a bevy of consumer and household products, such as cleaners, cat litter, charcoal, trash bags and so on. All are higher-margin branded products....285 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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