Kimberly-Clark Corporation (KMB), headquartered in Dallas, Texas, manufactures and markets personal care and consumer tissue products. Valued at $46.30 billion by market cap, the company’s brands are sold in more than 175 countries. Its brands include Huggies, Kleenex, Scott, Kotex, Cottonelle, Poise, Depend, Andrex, Pull-Ups, GoodNites, Intimus, Plenitud, Sweety, Softex, Viva, and WypAll. The consumer goods major is expected to announce its fiscal second-quarter earnings for 2024 on Tuesday, July 23.
Ahead of the event, analysts expect KMB to report a profit of $1.67 per share on a diluted basis, up 1.2% from $1.65 per share in the year-ago quarter. The company beat the consensus estimates in three of the last four quarters while missing on one other occasion. Following strong operating profit and EPS growth during Q1, KMB has raised its full-year guidance for organic net sales, adjusted operating profit, and adjusted EPS.
For fiscal 2024, analysts expect KMB to report EPS of $7.06, up 7.5% from $6.57 in fiscal 2023.
KMB stock has underperformed the S&P 500’s ($SPX) 16.1% gains on a YTD basis, with shares up 13.2% during this period. However, it has outperformed the Consumer Staples ETF Vanguard (VDC) 6% returns over the same time frame.
On Jun.13, KMB shares closed up more than 2% after Bank of America Global Research double-upgraded the stock to Buy from Underperform with a price target of $160.
On Apr. 23, KMB shares closed up more than 5% after the company reported its Q1 results. Its net sales were $5.15 billion, beating the consensus estimates of $5.08 billion, and its net income came in at $647 million. The company’s adjusted EPS was $2.01, surpassing the Wall Street estimates of $1.61. KMB raised its full-year guidance. It now expects organic net sales to grow mid-single digits compared to its previous expectations of low-to-mid-single-digit growth.
The company expects adjusted operating profit to grow at a low-teens percentage rate on a constant-currency basis, up from the previous expectations of high-single-digit to low-double-digit growth. It also expects adjusted EPS to grow at a low-teens percentage rate on a constant-currency basis, up from the previous estimates of high-single-digit growth.
Analysts’ consensus opinion on KMB stock is bullish, with a “Moderate Buy” rating overall. Out of 17 analysts covering the stock, five advise a “Strong Buy” rating, one has a “Moderate Buy” rating, nine recommend a “Hold” rating, and two give a “Strong Sell.” The average analyst price target for KMB is $143.12, indicating a 4.1% potential upside from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
