Brokerages Adjust Price Targets for Kimberly-Clark Stock

Investment firms have set an average target price of $137.00 for shares of Kimberly-Clark Corporation (NYSE:KMB), reflecting a consensus “Hold” rating from nine analysts monitoring the stock, according to Marketbeat Ratings. The ratings encompass a range of perspectives, with one analyst recommending a sell, five advising to hold, and three suggesting a buy.

Multiple brokerages have recently revised their price objectives for the company. On October 1, Barclays lowered its target from $139.00 to $131.00, maintaining an “equal weight” rating. Shortly after, on October 8, UBS Group adjusted its target from $140.00 to $130.00 while also assigning a “neutral” rating. Earlier in September, Evercore ISI revised its target from $155.00 to $150.00, keeping an “outperform” rating. Other adjustments include Wells Fargo & Company, which cut its price target from $140.00 to $130.00, and JPMorgan Chase & Co., which lowered its target from $144.00 to $127.00.

Financial Performance and Dividend Announcements

Kimberly-Clark’s most recent quarterly earnings report, released on August 1, revealed earnings per share (EPS) of $1.92, surpassing expectations of $1.67 by $0.25. Despite this positive performance, the company’s revenue for the quarter reached $4.16 billion, falling short of analysts’ predictions of $4.85 billion. The company reported a return on equity of 201.43% and a net margin of 12.69%. Year-over-year revenue decreased by 1.6%, down from $1.96 EPS reported in the same quarter last year. Analysts forecast an average EPS of 7.5 for the current fiscal year.

In addition to its earnings, Kimberly-Clark announced a quarterly dividend of $1.26 per share, which was paid on October 2 to shareholders who were on record as of September 5. This dividend reflects an annualized payout of $5.04 and a yield of 4.2%. The company’s current payout ratio stands at 69.42%.

Institutional Investor Activity

Recent activity among institutional investors indicates a mix of strategies regarding Kimberly-Clark shares. For instance, Cornerstone Wealth Management LLC increased its stake by 1.9% in the first quarter, acquiring an additional 74 shares to reach a total of 4,056 shares valued at $577,000. Similarly, Empirical Finance LLC raised its holdings by 0.6%, while Hoge Financial Services LLC enhanced its position by 4.2%, adding 77 shares to hold a total of 1,907 shares worth $271,000. The data suggests that institutional investors, which hold 76.29% of Kimberly-Clark’s stock, are strategically adjusting their positions as the market evolves.

Kimberly-Clark Corporation, headquartered in the United States, specializes in manufacturing and marketing personal care and consumer tissue products. The company operates through three segments: Personal Care, Consumer Tissue, and K-C Professional. Its diverse product portfolio includes well-known brands such as Huggies, Kotex, and Depend.

As the market continues to react to these developments, analysts and investors will be closely monitoring Kimberly-Clark’s performance in the coming quarters.