Clorox (CLX) is poised to meet expectations in its second-quarter results, with low single digit organic sales declines, as weak consumption is seen to be partially offset by new product distribution, RBC said Friday.

Following the company's reaffirmation of its fiscal 2026 outlook last week, the investment firm does not expect any major guidance changes in second-quarter results due on Feb. 3.

Consumption trends for the hygiene products maker have worsened year-on-year, with around 3.5% decline in its US business, dragged down by Health and Wellness segment.

However, the brokerage is pinning hopes on Clorox's new allergen-focused product launch, which is to benefit Q2 results through initial distribution.

Investor reaction has remained muted to the company's $2.25 billion acquisition of GOJO Industries, announced this month, as the market had been expecting Clorox to acquire a smaller, higher growth asset, it added.

RBC maintained a sector perform rating and price target of $142.

Shares of Clorox rose around 2.4% in recent Friday trading.

Price: 112.25, Change: +2.55, Percent Change: +2.32