Kimberly-Clark Corporation (KMB) Stock

Kimberly-Clark Corporation trades at a P/E ratio of 16.94, which is near the market average of approximately 20, suggesting the market views it as fairly valued relative to its earnings. Looking ahead, the forward P/E of 15.43 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 4.83 indicates a premium valuation even accounting for growth.

With a beta of 0.33, Kimberly-Clark Corporation is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 31.91 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Kimberly-Clark Corporation achieves a profit margin of 12.30%, meaning it retains $12.30 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 16.20% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 184.20% and ROA at 11.10%, the company generates strong returns on invested capital.

Kimberly-Clark Corporation's revenue declined by 1.60% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings decreased by 5.00% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against HOUSEHOLD & PERSONAL PRODUCTS industry averages for proper context.

Kimberly-Clark Corporation offers a dividend yield of 4.04%, paying $4.96 per share annually. This high yield exceeds 4%, significantly outperforming the S&P 500 average of 1.5-2% and most investment-grade bonds. For income-focused investors, this represents an attractive cash flow opportunity, though high yields sometimes signal market concerns about sustainability. To receive the next dividend, shares must be purchased before the ex-dividend date of Sep 5, 2025.

The dividend sustainability can be assessed through the payout ratio - Kimberly-Clark Corporation pays $4.96 per share in dividends against earnings of $7.34 per share, resulting in a payout ratio of 67.57%. This high payout ratio of 60-90% leaves limited earnings for reinvestment. While currently sustainable, there's less buffer for dividend growth or protection during earnings downturns. The next dividend payment is scheduled for Oct 2, 2025.

Kimberly-Clark Corporation has a market capitalization of $41.3B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 331.78M shares outstanding, the company's ownership is relatively concentrated. As a participant in the HOUSEHOLD & PERSONAL PRODUCTS industry, it competes with other firms in this sector.

Kimberly-Clark Corporation's book value per share is $3.83, while the current stock price is $120.92, resulting in a price-to-book (P/B) ratio of 31.58. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

20 analysts cover KMB with 30% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $140.94 implies 16.6% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:2 Strong Buy, 4 Buy, 13 Hold, 1 Sell, 0The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.