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Kimberly-Clark Company (KMB), headquartered in Dallas, Texas, manufactures and markets a spread of private care merchandise. Valued at $44.3 billion by market cap, the corporate’s merchandise embrace diapers, tissues, paper towels, incontinence care merchandise, surgical robes, and disposable face masks.
Shares of this international client merchandise big have underperformed the broader market over the previous yr. KMB has declined 2.6% over this timeframe, whereas the broader S&P 500 Index ($SPX) has rallied practically 19%. In 2025, KMB inventory is up 2.9%, in comparison with the SPX’s 10% rise on a YTD foundation.
Narrowing the main target, KMB’s underperformance can be obvious in comparison with the Shopper Staples Choose Sector SPDR Fund (XLP). The exchange-traded fund has gained about 4.5% over the previous yr. Furthermore, the ETF’s 5.1% returns on a YTD foundation outshine the inventory’s features over the identical timeframe.
On Aug. 1, KMB shares closed up by 4.8% after reporting its Q2 outcomes. Its adjusted EPS of $1.92 surpassed Wall Avenue expectations of $1.68. The corporate’s income stood $4.2 billion, down 1.6% yr over yr.
For the present fiscal yr, ending in December, analysts count on KMB’s EPS to say no 10.7% to $6.52 on a diluted foundation. The corporate’s earnings shock historical past is spectacular. It beat or matched the consensus estimate in every of the final 4 quarters.
Among the many 19 analysts overlaying KMB inventory, the consensus is a “Reasonable Purchase.” That’s based mostly on 5 “Robust Purchase” rankings, one “Reasonable Purchase,” 12 “Holds,” and one “Robust Promote.”
This configuration is extra bullish than a month in the past, with an general “Maintain” score, consisting of 4 analysts suggesting a “Robust Purchase,” and two recommending a “Robust Promote.”
On Aug. 7, TD Cowen analyst Robert Moskow maintained a “Maintain” score on KMB and set a worth goal of $145, implying a possible upside of seven.6% from present ranges.
The imply worth goal of $142.89 represents a 6% premium to KMB’s present worth ranges. The Avenue-high worth goal of $162 suggests an upside potential of 20.2%.
On the date of publication, Neha Panjwani didn’t have (both immediately or not directly) positions in any of the securities talked about on this article. All info and information on this article is solely for informational functions. This text was initially printed on Barchart.com
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