KIMBERLY-CLARK CORP (KMB) Stock Fundamental Analysis
NASDAQ:KMB - US4943681035 - Common Stock
128.84 USD
-0.3 (-0.23%)
128.84 USD
0 (0%)
Overall KMB gets a fundamental rating of 5 out of 10. We evaluated KMB 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 is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
KMB had positive earnings in the past year.
KMB had a positive operating cash flow in the past year.
KMB had positive earnings in each of the past 5 years.
KMB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 14.49%, KMB is doing good in the industry, outperforming 75.00% of the companies in the same industry.
KMB has a Return On Equity of 191.19%. This is amongst the best in 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 15.56%.
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
The Profit Margin of KMB (12.87%) is better than 75.00% of its industry peers.
In the last couple of years the Profit Margin of KMB has grown nicely.
KMB has a Operating Margin of 18.94%. This is amongst the best in the industry. KMB outperforms 83.33% of its industry peers.
KMB's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 36.45%, KMB is in line with its industry, outperforming 41.67% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 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.
KMB has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.16 indicates that KMB is not in any danger for bankruptcy at the moment.
KMB has a better Altman-Z score (4.16) than 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.
With a Debt to FCF ratio value of 3.46, KMB perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
KMB has a Debt/Equity ratio of 5.12. This is a high value indicating a heavy dependency on external financing.
KMB has a worse Debt to Equity ratio (5.12) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.12 | ||
| Debt/FCF | 3.46 | ||
| Altman-Z | 4.16 |
ROIC/WACC3.72
WACC7.93%
2.3 Liquidity
A Current Ratio of 0.77 indicates that KMB may have some problems paying its short term obligations.
KMB has a Current ratio of 0.77. This is amonst the worse of the industry: KMB underperforms 83.33% of its industry peers.
A Quick Ratio of 0.56 indicates that KMB may have some problems paying its short term obligations.
The Quick ratio of KMB (0.56) is worse than 83.33% of its industry peers.
| 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%.
The Earnings Per Share has been growing slightly by 1.19% on average over the past years.
KMB shows a decrease in Revenue. In the last year, the revenue decreased by -6.89%.
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
The Earnings Per Share is expected to grow by 4.13% on average over the next years.
The Revenue is expected to grow by 1.62% on average over the next years.
EPS Next Y4.05%
EPS Next 2Y2.81%
EPS Next 3Y2.98%
EPS Next 5Y4.13%
Revenue Next Year-17.26%
Revenue Next 2Y-7.41%
Revenue Next 3Y-4%
Revenue Next 5Y1.62%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
Based on the Price/Earnings ratio of 18.70, the valuation of KMB can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of KMB is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.90, KMB is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.70 indicates a correct valuation of KMB.
KMB's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.52. KMB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 16.7 |
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.
66.67% of the companies in the same industry are cheaper than KMB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.34 | ||
| EV/EBITDA | 11.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
KMB has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.61
PEG (5Y)15.69
EPS Next 2Y2.81%
EPS Next 3Y2.98%
5. Dividend
5.1 Amount
KMB has a Yearly Dividend Yield of 3.92%.
KMB's Dividend Yield is a higher than the industry average which is at 2.93.
KMB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
5.2 History
The dividend of KMB has a limited annual growth rate of 3.47%.
KMB has been paying a dividend for at least 10 years, so it has a reliable track record.
KMB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
The dividend of KMB is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP67.61%
EPS Next 2Y2.81%
EPS Next 3Y2.98%
128.84
-0.3 (-0.23%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners81.62%
Inst Owner Change-2.62%
Ins Owners0.19%
Ins Owner Change7.72%
Market Cap42.75B
Analysts66.67
Price Target145.76 (13.13%)
Short Float %1.82%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
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)-0.17%
PT rev (3m)-0.84%
EPS NQ rev (1m)-1.71%
EPS NQ rev (3m)-8.46%
EPS NY rev (1m)5.93%
EPS NY rev (3m)5.89%
Revenue NQ rev (1m)-14.86%
Revenue NQ rev (3m)-14.1%
Revenue NY rev (1m)-15.3%
Revenue NY rev (3m)-15.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 16.7 | ||
| P/S | 2.26 | ||
| P/FCF | 20.34 | ||
| P/OCF | 14.88 | ||
| P/B | 33.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.16 |
EPS(TTM)6.89
EY5.35%
EPS(NY)7.72
Fwd EY5.99%
FCF(TTM)6.34
FCFY4.92%
OCF(TTM)8.66
OCFY6.72%
SpS56.91
BVpS3.83
TBVpS-1.95
PEG (NY)4.61
PEG (5Y)15.69
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%
ROICexcg growth 3Y18.76%
ROICexcg 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 | 4.16 |
F-Score7
WACC7.93%
ROIC/WACC3.72
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 Y4.05%
EPS Next 2Y2.81%
EPS Next 3Y2.98%
EPS Next 5Y4.13%
Revenue 1Y (TTM)-6.89%
Revenue growth 3Y1.05%
Revenue growth 5Y1.69%
Sales Q2Q%-17.22%
Revenue Next Year-17.26%
Revenue Next 2Y-7.41%
Revenue Next 3Y-4%
Revenue Next 5Y1.62%
EBIT growth 1Y12.24%
EBIT growth 3Y9.89%
EBIT growth 5Y2.78%
EBIT Next Year14.14%
EBIT Next 3Y8.05%
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%