KIMBERLY-CLARK CORP (KMB) Stock Fundamental Analysis
USA - NASDAQ:KMB - US4943681035 - Common Stock
118.93 USD
+0.17 (+0.14%)
118.94 USD
+0.01 (+0.01%)
KMB gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 12 industry peers in the Household Products industry. KMB has an excellent profitability rating, but there are some minor concerns on its financial health. KMB has a valuation in line with the averages, but it does not seem to be growing. Finally KMB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year KMB was profitable.
KMB had a positive operating cash flow in the past year.
Each year in the past 5 years KMB has been profitable.
Each year in the past 5 years KMB had a positive operating cash flow.
1.2 Ratios
KMB has a Return On Assets of 14.49%. This is in the better half of the industry: KMB outperforms 75.00% of its industry peers.
KMB's Return On Equity of 191.19% is amongst the best of the industry. KMB outperforms 83.33% of its industry peers.
KMB has a better Return On Invested Capital (29.49%) than 91.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KMB is significantly above the industry average of 15.54%.
The last Return On Invested Capital (29.49%) for KMB is above the 3 year average (24.55%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.49% | ||
| ROE | 191.19% | ||
| ROIC | 29.49% |
ROA(3y)12.1%
ROA(5y)11.98%
ROE(3y)283.11%
ROE(5y)315.59%
ROIC(3y)24.55%
ROIC(5y)24.05%
1.3 Margins
With a decent Profit Margin value of 12.87%, KMB is doing good in the industry, outperforming 75.00% of the companies in the same industry.
KMB's Profit Margin has improved in the last couple of years.
KMB has a Operating Margin of 18.94%. This is amongst the best in the industry. KMB outperforms 83.33% of its industry peers.
In the last couple of years the Operating Margin of KMB has remained more or less at the same level.
KMB's Gross Margin of 36.45% is in line compared to the rest of the industry. KMB outperforms 41.67% of its industry peers.
KMB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.94% | ||
| PM (TTM) | 12.87% | ||
| GM | 36.45% |
OM growth 3Y8.75%
OM growth 5Y1.08%
PM growth 3Y10.79%
PM growth 5Y1.65%
GM growth 3Y4.94%
GM growth 5Y0.87%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so KMB is creating value.
The number of shares outstanding for KMB has been reduced compared to 1 year ago.
KMB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for KMB has been reduced compared to a year ago.
2.2 Solvency
KMB has an Altman-Z score of 4.03. This indicates that KMB is financially healthy and has little risk of bankruptcy at the moment.
KMB has a Altman-Z score of 4.03. This is in the better half of the industry: KMB outperforms 66.67% of its industry peers.
The Debt to FCF ratio of KMB is 3.46, which is a good value as it means it would take KMB, 3.46 years of fcf income to pay off all of its debts.
KMB has a Debt to FCF ratio of 3.46. This is comparable to the rest of the industry: KMB outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 5.12 is on the high side and indicates that KMB has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 5.12, KMB is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.12 | ||
| Debt/FCF | 3.46 | ||
| Altman-Z | 4.03 |
ROIC/WACC3.84
WACC7.68%
2.3 Liquidity
A Current Ratio of 0.77 indicates that KMB may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.77, KMB is doing worse than 83.33% of the companies in the same industry.
A Quick Ratio of 0.56 indicates that KMB may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.56, KMB is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
KMB shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.57%.
Measured over the past 5 years, KMB shows a small growth in Earnings Per Share. The EPS has been growing by 1.19% on average per year.
The Revenue has decreased by -6.89% in the past year.
KMB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.69% yearly.
EPS 1Y (TTM)-4.57%
EPS 3Y5.65%
EPS 5Y1.19%
EPS Q2Q%-16.84%
Revenue 1Y (TTM)-6.89%
Revenue growth 3Y1.05%
Revenue growth 5Y1.69%
Sales Q2Q%-17.22%
3.2 Future
KMB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.13% yearly.
Based on estimates for the next years, KMB will show a small growth in Revenue. The Revenue will grow by 1.62% on average per year.
EPS Next Y4.03%
EPS Next 2Y3.36%
EPS Next 3Y3.41%
EPS Next 5Y4.13%
Revenue Next Year-16.67%
Revenue Next 2Y-7.25%
Revenue Next 3Y-3.68%
Revenue Next 5Y1.62%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 17.26, KMB is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of KMB is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.91. KMB is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 15.25, the valuation of KMB can be described as correct.
KMB's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.92. KMB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.26 | ||
| Fwd PE | 15.25 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KMB is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KMB is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.77 | ||
| EV/EBITDA | 10.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KMB does not grow enough to justify the current Price/Earnings ratio.
KMB has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.28
PEG (5Y)14.48
EPS Next 2Y3.36%
EPS Next 3Y3.41%
5. Dividend
5.1 Amount
KMB has a Yearly Dividend Yield of 4.21%, which is a nice return.
KMB's Dividend Yield is rather good when compared to the industry average which is at 3.08. KMB pays more dividend than 83.33% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, KMB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
5.2 History
The dividend of KMB has a limited annual growth rate of 3.47%.
KMB has paid a dividend for at least 10 years, which is a reliable track record.
KMB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.47%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
KMB pays out 67.61% of its income as dividend. This is not a sustainable payout ratio.
KMB's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP67.61%
EPS Next 2Y3.36%
EPS Next 3Y3.41%
118.93
+0.17 (+0.14%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners82%
Inst Owner Change-0.12%
Ins Owners0.18%
Ins Owner Change7.72%
Market Cap39.46B
Revenue(TTM)18.88B
Net Income(TTM)2.43B
Analysts67.5
Price Target144.73 (21.69%)
Short Float %2.09%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
Yearly Dividend4.87
Dividend Growth(5Y)3.47%
DP67.61%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.18%
Min EPS beat(2)-3.62%
Max EPS beat(2)1.27%
EPS beat(4)2
Avg EPS beat(4)0.49%
Min EPS beat(4)-3.62%
Max EPS beat(4)6.27%
EPS beat(8)5
Avg EPS beat(8)5.37%
EPS beat(12)8
Avg EPS beat(12)6.27%
EPS beat(16)11
Avg EPS beat(16)5.37%
Revenue beat(2)0
Avg Revenue beat(2)-6.87%
Min Revenue beat(2)-11.89%
Max Revenue beat(2)-1.85%
Revenue beat(4)1
Avg Revenue beat(4)-4.04%
Min Revenue beat(4)-11.89%
Max Revenue beat(4)0.45%
Revenue beat(8)2
Avg Revenue beat(8)-2.61%
Revenue beat(12)3
Avg Revenue beat(12)-1.8%
Revenue beat(16)6
Avg Revenue beat(16)-1.12%
PT rev (1m)-0.7%
PT rev (3m)-0.87%
EPS NQ rev (1m)-1.22%
EPS NQ rev (3m)-1.46%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)5.91%
Revenue NQ rev (1m)-1.35%
Revenue NQ rev (3m)-16.1%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-14.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.26 | ||
| Fwd PE | 15.25 | ||
| P/S | 2.09 | ||
| P/FCF | 18.77 | ||
| P/OCF | 13.74 | ||
| P/B | 31.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.41 |
EPS(TTM)6.89
EY5.79%
EPS(NY)7.8
Fwd EY6.56%
FCF(TTM)6.34
FCFY5.33%
OCF(TTM)8.66
OCFY7.28%
SpS56.91
BVpS3.83
TBVpS-1.95
PEG (NY)4.28
PEG (5Y)14.48
Graham Number24.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.49% | ||
| ROE | 191.19% | ||
| ROCE | 37.26% | ||
| ROIC | 29.49% | ||
| ROICexc | 31.57% | ||
| ROICexgc | 40.16% | ||
| OM | 18.94% | ||
| PM (TTM) | 12.87% | ||
| GM | 36.45% | ||
| FCFM | 11.13% |
ROA(3y)12.1%
ROA(5y)11.98%
ROE(3y)283.11%
ROE(5y)315.59%
ROIC(3y)24.55%
ROIC(5y)24.05%
ROICexc(3y)26.95%
ROICexc(5y)25.74%
ROICexgc(3y)36.14%
ROICexgc(5y)34.44%
ROCE(3y)31.02%
ROCE(5y)30.39%
ROICexgc growth 3Y18.76%
ROICexgc growth 5Y2.73%
ROICexc growth 3Y18.99%
ROICexc growth 5Y1.29%
OM growth 3Y8.75%
OM growth 5Y1.08%
PM growth 3Y10.79%
PM growth 5Y1.65%
GM growth 3Y4.94%
GM growth 5Y0.87%
F-Score7
Asset Turnover1.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.12 | ||
| Debt/FCF | 3.46 | ||
| Debt/EBITDA | 1.47 | ||
| Cap/Depr | 90.8% | ||
| Cap/Sales | 4.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.9% | ||
| Profit Quality | 86.5% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 4.03 |
F-Score7
WACC7.68%
ROIC/WACC3.84
Cap/Depr(3y)103.41%
Cap/Depr(5y)118.92%
Cap/Sales(3y)3.9%
Cap/Sales(5y)4.64%
Profit Quality(3y)117.38%
Profit Quality(5y)110.78%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.57%
EPS 3Y5.65%
EPS 5Y1.19%
EPS Q2Q%-16.84%
EPS Next Y4.03%
EPS Next 2Y3.36%
EPS Next 3Y3.41%
EPS Next 5Y4.13%
Revenue 1Y (TTM)-6.89%
Revenue growth 3Y1.05%
Revenue growth 5Y1.69%
Sales Q2Q%-17.22%
Revenue Next Year-16.67%
Revenue Next 2Y-7.25%
Revenue Next 3Y-3.68%
Revenue Next 5Y1.62%
EBIT growth 1Y12.24%
EBIT growth 3Y9.89%
EBIT growth 5Y2.78%
EBIT Next Year10.83%
EBIT Next 3Y6.42%
EBIT Next 5Y7.48%
FCF growth 1Y-12.2%
FCF growth 3Y13.41%
FCF growth 5Y10.48%
OCF growth 1Y-9.94%
OCF growth 3Y5.81%
OCF growth 5Y3.4%
KIMBERLY-CLARK CORP / KMB FAQ
What is the ChartMill fundamental rating of KIMBERLY-CLARK CORP (KMB) stock?
ChartMill assigns a fundamental rating of 5 / 10 to KMB.
What is the valuation status for KMB stock?
ChartMill assigns a valuation rating of 4 / 10 to KIMBERLY-CLARK CORP (KMB). This can be considered as Fairly Valued.
Can you provide the profitability details for KIMBERLY-CLARK CORP?
KIMBERLY-CLARK CORP (KMB) has a profitability rating of 8 / 10.
How financially healthy is KIMBERLY-CLARK CORP?
The financial health rating of KIMBERLY-CLARK CORP (KMB) is 4 / 10.
Can you provide the expected EPS growth for KMB stock?
The Earnings per Share (EPS) of KIMBERLY-CLARK CORP (KMB) is expected to grow by 4.03% in the next year.