Law firm probes Clorox over possible securities fraud after profit margin drop and stock price fall.

Pomerantz LLP is investigating The Clorox Company for potential securities fraud following Clorox's report of a significant drop in gross margin and a lowered full-year outlook. The company disclosed a 140 basis point decline in gross margin for Q3 2026 and expects a 250 to 300 basis point decline for the full fiscal year, citing higher supply chain costs and delayed cost savings. Clorox's stock price fell nearly 10% after this news. The investigation aims to determine if Clorox and its officers engaged in unlawful business practices, which could impact investors.