12 Best Household Stocks to Buy According to Hedge Funds

3. The Clorox Company (NYSE:CLX)

Number of Hedge Fund Holders: 54

The Clorox Company (NYSE:CLX) is a multinational marketer and professional and consumer goods manufacturer. It operates through four segments: Household, Health and Wellness, Lifestyle, and International. The Health and Wellness segment comprises cleaning, disinfecting, and professional products sold and marketed under various brands. The company’s International segment comprises products sold outside the US, and includes products such as laundry additives, home care products, and more.

By investing in top brands, The Clorox Company (NYSE:CLX) has been focused on margin improvement instead of revenue growth. Fiscal Q2 2025 marked the ninth consecutive quarter of gross margin expansion for the company. For the full fiscal year, it is anticipating organic sales growth of around 3% to 5% and gross margin expansion of 125 to 150 basis points.

The Clorox Company (NYSE:CLX) expects increased advertising in H2 2025 compared to H1. This aggressive promotion and advertising spending, even during a period of increased expenses, reflects the company’s confidence in its new product launches and robust brand portfolio. The company has a 3.3% dividend yield and has had 40 consecutive years of dividend raises.