Kimberly-Clark (NASDAQ:KMB) Issues Quarterly Earnings Results

Kimberly-Clark (NASDAQ:KMB) posted its earnings results on Tuesday. The company reported $1.86 earnings per share for the quarter, beating analysts’ consensus estimates of $1.81 by $0.05, Zacks reports. Kimberly-Clark had a return on equity of 170.48% and a net margin of 11.73%.The business had revenue of $4.08 billion during the quarter, compared to analyst estimates of $4.11 billion. During the same quarter in the previous year, the firm earned $1.50 EPS. The company’s quarterly revenue was down .6% compared to the same quarter last year.

Here are the key takeaways from Kimberly-Clark’s conference call:

• Powering Care execution is delivering — Kimberly‑Clark reported its eighth consecutive quarter of volume‑plus‑mix growth, enterprise share gains, and said it has an accelerated innovation and marketing pipeline for 2026.
• The proposed Kenvue acquisition is on track (shareholder vote favorable, regulatory filings underway) and the company expects the deal to close in the back half of the year, positioning it for higher‑growth, higher‑margin categories.
• Management flagged near‑term headwinds including a ~60 basis‑point full‑year hit from partial loss of diapers/Pull‑Ups distribution in the North America club channel and ongoing pricing/mix pressure driven by channel shifts and promotional activity.
• For 2026 the company expects to expand margins (driven by ~6% gross productivity and neutral input costs), target organic growth at or above category (~±2%) with back‑half acceleration, and reiterates medium‑term goals of ~40% gross margin and 18%–20% operating margin by 2030.

Kimberly-Clark Price Performance

Shares of Kimberly-Clark stock opened at $99.54 on Thursday. The firm has a market capitalization of $33.04 billion, a PE ratio of 16.84, a price-to-earnings-growth ratio of 3.86 and a beta of 0.26. The company has a current ratio of 0.75, a quick ratio of 0.56 and a debt-to-equity ratio of 3.97. Kimberly-Clark has a 12 month low of $96.26 and a 12 month high of $150.45. The business’s 50-day moving average price is $102.03 and its 200-day moving average price is $115.76.

Kimberly-Clark Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, April 2nd. Stockholders of record on Friday, March 6th will be issued a $1.28 dividend. This represents a $5.12 dividend on an annualized basis and a dividend yield of 5.1%. The ex-dividend date is Friday, March 6th. This is an increase from Kimberly-Clark’s previous quarterly dividend of $1.26. Kimberly-Clark’s dividend payout ratio (DPR) is currently 85.28%.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on the stock. Piper Sandler reduced their price objective on shares of Kimberly-Clark from $149.00 to $145.00 and set an “overweight” rating for the company in a research note on Thursday, October 2nd. UBS Group raised their price target on shares of Kimberly-Clark from $107.00 to $110.00 and gave the company a “neutral” rating in a report on Wednesday. Barclays set a $102.00 price target on shares of Kimberly-Clark in a report on Friday, January 16th. JPMorgan Chase & Co. lifted their price objective on Kimberly-Clark from $127.00 to $129.00 and gave the company a “neutral” rating in a research note on Friday, October 31st. Finally, Morgan Stanley decreased their target price on Kimberly-Clark from $144.00 to $125.00 and set an “equal weight” rating on the stock in a research note on Tuesday, November 4th. Three analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Kimberly-Clark presently has a consensus rating of “Hold” and a consensus target price of $118.58.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of KMB. Darwin Wealth Management LLC bought a new stake in shares of Kimberly-Clark in the 2nd quarter worth approximately $27,000. Turning Point Benefit Group Inc. purchased a new position in Kimberly-Clark in the 3rd quarter worth $45,000. Triumph Capital Management purchased a new position in Kimberly-Clark in the 3rd quarter worth $75,000. Measured Wealth Private Client Group LLC bought a new stake in Kimberly-Clark in the third quarter worth $99,000. Finally, MUFG Securities EMEA plc purchased a new stake in Kimberly-Clark during the second quarter valued at about $126,000. 76.29% of the stock is currently owned by institutional investors.

Kimberly-Clark News Summary

Here are the key news stories impacting Kimberly-Clark this week:

• Positive Sentiment: Q4 earnings beat and margin progress — KMB topped EPS estimates ($1.86 vs. $1.81) and reported organic sales up 2.1%, with cost cuts helping margins. This supports near‑term cash flow and buyback/dividend capacity. Reuters: Kimberly‑Clark tops quarterly profit estimates
• Positive Sentiment: Dividend increase — board raised the quarterly payout to $1.28 (≈5.1% yield), signaling confidence and supporting income investors. PR Newswire: Dividend Increase
• Positive Sentiment: 2026 profit outlook — management expects double‑digit profit growth in 2026, which underpins bullish longer‑term earnings expectations if execution continues. MSN: Profits to rise double‑digit
• Positive Sentiment: Premiumization tailwind — Kimberly‑Clark (Huggies) is pushing premium diaper products alongside P&G, which can improve mix and margins if consumer willingness to pay persists. MarketWatch: Diaper premiumization
• Positive Sentiment: Analyst/upgrades commentary — some bullish research and commentary argues the Kenvue deal will be accretive and has prompted upgrades as the purchase approaches. Seeking Alpha: Upgrade analysis
• Neutral Sentiment: Kenvue merger vote imminent — shareholders face a Jan. 29 vote on the Kenvue acquisition; approval could be a big positive, but the outcome and regulatory/financing details create near‑term uncertainty. Barchart: Kenvue merger vote
• Neutral Sentiment: Portfolio reshaping coverage — media roundups highlight the Kenvue deal and higher dividend as strategic moves; impact depends on integration and investor acceptance. Yahoo Finance: Portfolio reshaping
• Neutral Sentiment: TV pundit view — Jim Cramer noted the merger could “keep this stock in its place,” reflecting mixed expectations from high‑profile commentators. MSN: Jim Cramer commentary
• Negative Sentiment: Short interest spike — short interest rose ~20.8% to ~32.3M shares (≈9.8% of float), increasing downside risk and potential volatility. (Internal short‑interest data)
• Negative Sentiment: Revenue miss and portfolio exit effects — revenue slightly missed Street expectations and was down year‑over‑year, partly due to the exit from the U.S. private‑label diaper business, which could pressure near‑term sales comparisons. Zacks: Revenue & organic sales
• Negative Sentiment: Near‑term price pressure — the stock is down today as the market weighs deal uncertainty and the short‑interest build despite the earnings beat and dividend lift.

Kimberly-Clark Company Profile

Kimberly-Clark Corporation is a U.S.-based multinational manufacturer of personal care and consumer tissue products. The company develops, produces and markets a range of consumer brands and professional products, including facial and bathroom tissues, disposable diapers and training pants, feminine care, incontinence products and workplace hygiene solutions. Known for consumer-facing names such as Kleenex, Huggies, Kotex, Cottonelle and Scott, as well as professional offerings under Kimberly-Clark Professional and KleenGuard, the company supplies goods to retail, healthcare and institutional customers.

Founded in 1872 in Neenah, Wisconsin, Kimberly-Clark has expanded from its 19th-century paper-making roots into a global household and workplace products company.