Kimberly-Clark Stock Takes Aim to Finish 2021 in the Black

Its been a choppy year for the stock

facebook X logo linkedin


Kimberly-Clark Corporation (NYSE: KMB) is an American multinational personal care corporation that produces mostly paper-based consumer products. KMB manufactures sanitary paper products and surgical & medical instruments for consumers worldwide. Kimberly-Clark’s brands includes Huggies, Kleenex, Scott, Kotex, and Cottonelle.

Its been a choppy year for Kimberly-Clark stock, which has increased just about 7% year-over-year and is up 3.2% year-to-date. The security staged a rebound off a familiar floor at the $128 level in late-October, with recent support at the 20-day moving average guiding shares higher. The $142 level, which has served as a ceiling since October 2020, is still looming overhead, however. 

kmb dec 21

Sentiment surrounding KMB is mixed. Analysts are hesitant, with just one of the 12 in coverahe calling it a "strong buy," with the remaing 11 at a "hold" or worse. Meanwhile, the stock sports a 50-day put/call volume ratio of 1.22 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which stands higher than 96% of readings from the past 12 months, implying a much healthier-than-usual appetite for long calls of late. 

Moreover, Kimberly-Clark offers a forward dividend of $4.56 with a solid dividend yield of 3.23%, making it an option for long-term investors despite having a fairly high valuation. Kimberly-Clark stock currently trades at a price-earnings ratio of 23.65 and a price-sales ratio of 2.39. However, KMB also has a forward price-earnings ratio of 18.73 which indicates an expected increase in earnings and presenting a better value.

Nonetheless, KMB has only increased revenues 6% since fiscal 2017, despite maintaining consistent annual top-line growth in recent years. Kimberly-Clark has also struggled to find consistency on the bottom-line, experiencing a 12% decrease in net income since fiscal 2017. In addition, KMB has a weak balance sheet with just $286 million in cash and nearly $9 billion in total debt, making Kimberly-Clark stock one of the riskiest large-cap stocks available on the market from a fundamental point of view.

 

Unlock Weekend Profits with Chris Prybal's Favorite Strategy Up +487.5% in 2024

With the markets going left, right, and sideways, you need to have a plan now more than ever. 

Expert Trader Chris Prybal is no stranger to volatility, and has mastered finding big stock rallies while other traders aren't looking over the weekend. Rallies that produced gains like +207% on RTX calls, +236% on MARA calls, and +238% on NET calls.

A few simple moves on Sunday at 7pm could be the “Secret Sauce” your portfolio needs to not just stay afloat, but make unprecedented gains in this turbulent market.


Don’t sit on the sidelines, beat the market with Chris Prybal's strategy. Join him now!

 

 
 
 


 
 

Rainmaker Ads CGI