Back to top

Image: Bigstock

Kimberly-Clark (KMB) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

In the latest trading session, Kimberly-Clark (KMB - Free Report) closed at $134.54, marking a -0.44% move from the previous day. This change lagged the S&P 500's daily gain of 0.39%.

Coming into today, shares of the maker of consumer products such as Huggies diapers and Kleenex tissue had lost 1.85% in the past month. In that same time, the Consumer Staples sector gained 3.36%, while the S&P 500 gained 3.16%.

Investors will be hoping for strength from Kimberly-Clark as it approaches its next earnings release, which is expected to be July 25, 2023. The company is expected to report EPS of $1.38, up 2.99% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.08 billion, up 0.34% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $6.21 per share and revenue of $20.66 billion, which would represent changes of +10.3% and +2.39%, respectively, from the prior year.

Any recent changes to analyst estimates for Kimberly-Clark should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.25% higher within the past month. Kimberly-Clark currently has a Zacks Rank of #1 (Strong Buy).

Investors should also note Kimberly-Clark's current valuation metrics, including its Forward P/E ratio of 21.77. This represents a premium compared to its industry's average Forward P/E of 18.03.

Meanwhile, KMB's PEG ratio is currently 3.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. KMB's industry had an average PEG ratio of 2.46 as of yesterday's close.

The Consumer Products - Staples industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 113, putting it in the top 45% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Kimberly-Clark Corporation (KMB) - free report >>

Published in