Over the last year, Kimberly-Clark logged a negative performance of -4.7%, with a high of $144.57 and a low of $108.74. During this time, the stock outpaced the S&P 500 index by 5.2%. As of January 2023, the company's 50-day average price was $134.61. Kimberly-Clark Corporation, together with its subsidiaries, manufactures and markets personal care and consumer tissue products worldwide. Based in Dallas, TX, the large-cap Consumer Defensive company has 45,000 full time employees. Kimberly-Clark has provided a 3.4% dividend yield over the last 12 months.
Stable Revenues With Decreasing Reinvestment in the Business:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | |
|---|---|---|---|
| Revenue (MM) | $18,450 | $19,140 | $19,440 |
| Revenue Growth | n/a | 3.74% | 1.57% |
| Gross Margins | 32.7% | 35.6% | 30.8% |
| Gross Margins Growth | n/a | 8.87% | -13.48% |
| Operating Margins | 16.2% | 17.0% | 13.2% |
| Operating Margins Growth | n/a | 4.94% | -22.35% |
| Earnings Per Share | $6.24 | $6.87 | $5.35 |
| EPS Growth | n/a | 10.1% | -22.13% |
| Free Cash Flow (MM) | $1,527 | $2,512 | $1,723 |
| FCF Growth | n/a | 64.51% | -31.41% |
| Capital Expenditures (MM) | -$1,209 | -$1,217 | -$1,007 |
| Net Debt / EBITDA | 1.94 | 2.06 | 2.6 |
Kimberly-Clark's Valuation Is in Line With Its Sector Averages:
Kimberly-Clark has a trailing twelve month P/E ratio of 25.7, compared to an average of 24.21 for the Consumer Defensive sector. Based on its EPS guidance of 6.46, the company has a forward P/E ratio of 20.9.
The average annual growth rate of the company's historical and projected earnings per share is 3.0%. On this basis, the company's PEG ratio is 8.56, which suggests that it is overpriced.
Kimberly-Clark is also overpriced compared to its book value, since its P/B ratio of 104.3 is higher than the sector average of 4.09. The company's shares are currently 908.7% above their Graham number, which suggests that they are not trading at a fair value in terms of earnings and net assets.
Kimberly-Clark Has an Average Rating of Hold:
There are 17 analysts covering Kimberly-Clark, with target prices ranging from $118 to $150 per share, for an average of $132.66. As of January 2023, the company is trading 1.79% away from its average target price, implying there is an analyst consensus of little upside potential. The average rating for Kimberly-Clark is hold.
With a 2.1% short interest, Kimberly-Clark has an average amount of shares sold short. Institutions own 77.4% of the company's shares, and it has a small amount of insider investors because 0.16% are owned by corporate insiders. Overall, the company's top shareholder is the Vanguard Group, Inc., whose 9% stake in the company is worth around $3,932,830,812.
