Kimberly-Clark Story

<div class='circular--portrait' style='background:#FF0F00;color: #FFFFF0;font-size:4em;'>KC</div>
KMB -- USA Stock  

USD 130.56  0.25  0.19%

It looks like Colgate Palmolive will continue to recover much faster as its share price surged up 0.55% today to Kimberly Clark's 3.2146%. As many rational traders are trying to avoid consumer defensive space, it makes sense to go over Kimberly Clark a little further and understand how it stands against Colgate Palmolive and other similar entities. We are going to analyze some of the competitive aspects of both Kimberly and Colgate.
Published over a month ago
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Should we be taking in Colgate or Kimberly Clark?
By analyzing existing technical and fundamental indicators between Kimberly Clark and Colgate, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Colgate with a short position in Kimberly Clark. Check out our pair correlation module for more information.

Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Kimberly Clark has an asset utilization ratio of 127.27 percent. This suggests that the company is making $1.27 for each dollar of assets. An increasing asset utilization means that Kimberly Clark is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two companies, such as Kimberly-Clark or Colgate is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Kimberly-Clark Corp dividends

A dividend is the distribution of a portion of Kimberly-Clark Corp earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Kimberly-Clark Corp dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Kimberly-Clark one year expected dividend income is about $2.44 per share.
Kimberly-Clark Corp Dividend Yield is projected to slightly decrease based on the last few years of reporting. The past year's Dividend Yield was at 0.032. The current year Dividends per Basic Common Share is expected to grow to 4.53, whereas Payment of Dividends and Other Cash Distributions is forecasted to decline to (1.6 B).
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-1.5 B-1.6 B
Dividend Yield 0.032  0.0323 
Dividends per Basic Common Share 4.28  4.53 
Investing in dividend-paying stocks, such as Kimberly-Clark Corp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Kimberly-Clark Corp must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Kimberly-Clark Corp. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Kimberly-Clark Corp's Liquidity

Kimberly-Clark Corp financial leverage refers to using borrowed capital as a funding source to finance Kimberly-Clark Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Kimberly-Clark Corp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Kimberly-Clark Corp's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for Kimberly-Clark Corp, but it might be worth checking our own buy vs. sell analysis

Correlation Between Kimberly-Clark and Colgate-Palmolive

In general, stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Kimberly-Clark Corp together with similar or unrelated positions with a negative correlation. For example, you can also add Colgate Palmolive to your portfolio. If Colgate Palmolive is not perfectly correlated to Kimberly-Clark Corp it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Kimberly-Clark Corp for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Please check pair correlation details between KMB and CL for more information.


Are you currently holding both Kimberly-Clark Corp and Colgate Palmolive in your portfolio?
Please note if you are using this as a pair-trade strategy between Kimberly-Clark Corp and Colgate Palmolive, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses.

Bona fide gift to Ian Read of 700 shares of Kimberly-Clark Corp subject to Section 16

Legal trades by Kimberly-Clark Corp insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Kimberly-Clark insider trading alert for gift of common stock by Ian Read, the corporate stakeholder, on 11th of February 2021. This event was filed by Kimberly Clark Corp with SEC on 2021-02-11. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Kimberly-Clark Corp Investor Appetite?

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Now, let's check Kimberly Clark revenue. Based on the latest financial disclosure, Kimberly Clark reported 18.89 B of revenue. This is 27.16% higher than that of the Consumer Defensive sector and 62.51% higher than that of the Household & Personal Products industry. The revenue for all United States stocks is 100.22% lower than that of the stock. As for Colgate Palmolive we see revenue of 16.16 B, which is 39.02% higher than that of the Household & Personal Products

Kimberly18.89 Billion
Sector9.43 Billion
Colgate16.16 Billion
18.9 B
9.4 B
16.2 B

Another 3 percent rise for Kimberly Clark

Current jensen alpha indicator falls down to -0.23. Possible price jump? As of the 25th of January, Kimberly Clark secures the mean deviation of 0.8385, and Risk Adjusted Performance of (0.14). Kimberly Clark technical analysis lets you operate historical price patterns with an objective to determine a pattern that forecasts the direction of the firm's future prices. Strictly speaking, you can use this information to find out if the firm will indeed mirror its model of past prices, or the prices will eventually revert. We were able to analyze and collect data for nineteen technical drivers for Kimberly Clark, which can be compared to its peers in the industry. Please verify Kimberly Clark maximum drawdown, and the relationship between the information ratio and downside variance to decide if Kimberly Clark is priced some-what accurately, providing market reflects its recent price of 136.46 per share. Given that Kimberly Clark has jensen alpha of (0.23), we recommend you to check Kimberly Clark's last-minute market performance to make sure the company can sustain itself at a future point.

Our Takeaway on Kimberly Clark Investment

Whereas some companies under the household & personal products industry are still a bit expensive, Kimberly Clark may offer a potential longer-term growth to investors. While some investors may not share our view we believe that the current risk-reward utility is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Kimberly Clark.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Kimberly-Clark Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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