Kimberly-Clark (NASDAQ:KMB) Posts Quarterly Earnings Results, Misses Estimates By $0.21 EPS

Posted by Brenda Bartman on Aug 5th, 2026

Kimberly-Clark (NASDAQ:KMB – Get Free Report) announced its earnings results on Tuesday. The company reported $1.80 EPS for the quarter, missing analysts’ consensus estimates of $2.01 by ($0.21), Zacks reports. Kimberly-Clark had a net margin of 12.80% and a return on equity of 152.79%. The business had revenue of $4.19 billion for the quarter, compared to the consensus estimate of $4.22 billion. During the same quarter in the prior year, the company earned $1.92 EPS. Kimberly-Clark’s revenue was up .6% compared to the same quarter last year.

Here are the key takeaways from Kimberly-Clark’s conference call:

Kimberly-Clark lowered its full-year outlook after second-quarter organic sales fell below expectations, primarily due to a China diaper disruption, North American retailer inventory reductions, softer category growth, and other one-time costs.
Adjusted operating profit and EPS exceeded expectations, supported by a $45 million North American tariff refund and strong 6.4% gross productivity, which more than offset higher brand investment and other pressures.
The company expects China to remain a significant headwind in the second half, estimating roughly 200 basis points of sales impact and about $70 million of operating-profit pressure, while assuming only modest recovery and no near-term inflection.
Management expressed confidence in the long-term Kenvue combination, citing strong progress toward the previously announced $1.9 billion cost-synergy target, while cautioning that it is too early to provide a specific 2027 outlook.
Kimberly-Clark highlighted its new alternative natural-fiber platform, the Arbex joint venture with Suzano, and a strong innovation pipeline as potential long-term drivers of improved product performance, lower fiber-cost volatility, margin expansion, and growth.

Kimberly-Clark Price Performance

Shares of KMB opened at $111.57 on Wednesday. The stock has a market cap of $37.03 billion, a PE ratio of 17.51, a price-to-earnings-growth ratio of 4.82 and a beta of 0.26. The company has a debt-to-equity ratio of 3.38, a quick ratio of 0.55 and a current ratio of 0.77. Kimberly-Clark has a fifty-two week low of $92.42 and a fifty-two week high of $137.46. The firm’s 50-day simple moving average is $106.18 and its two-hundred day simple moving average is $102.64.

Kimberly-Clark Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 2nd. Investors of record on Friday, September 4th will be paid a dividend of $1.28 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $5.12 annualized dividend and a yield of 4.6%. Kimberly-Clark’s payout ratio is presently 80.38%.

Key Stories Impacting Kimberly-Clark

Here are the key news stories impacting Kimberly-Clark this week:

Positive Sentiment: Second-quarter adjusted EPS was $1.80, supported by productivity savings and an expanded gross margin. Adjusted operating profit rose 6.2% year over year, while first-half sales increased 1.6%. Kimberly-Clark Q2 Earnings: Gross Margin Expands
Positive Sentiment: Management said volume-and-mix improvements, innovation and productivity initiatives continued to provide operating momentum despite several one-time headwinds. The pending Kenvue acquisition also remains on track to close by year-end. Kimberly-Clark Announces Second-Quarter Results
Positive Sentiment: Kimberly-Clark declared its regular quarterly dividend of $1.28 per share, payable October 2 to shareholders of record September 4, supporting the stock’s income appeal. Kimberly-Clark Declares Quarterly Dividend
Neutral Sentiment: The company introduced a patented, plant-based alternative-fiber platform that could eventually reduce reliance on traditional wood fibers in hygiene products. The long-term sustainability and cost benefits remain unquantified. Kimberly-Clark Alternative Natural Fiber Program
Negative Sentiment: Revenue of approximately $4.19 billion rose only 0.6% and missed analyst expectations. Adjusted EPS also fell short of the roughly $2.01 consensus cited in company coverage, while reported profit declined year over year. Kimberly-Clark Quarterly Earnings Report
Negative Sentiment: False quality allegations involving Huggies triggered a social-media disruption in China and significantly hurt diaper sales. Kimberly-Clark denied the claims but lowered its 2026 sales and profit outlook, now expecting organic sales growth about 100 basis points below weighted-average category growth. Kimberly-Clark Cuts Annual Forecasts
Negative Sentiment: TD Cowen maintained a Hold rating, raising its price target to $104 from a lower prior level while citing near-term volatility and operational challenges—signaling limited upside relative to recent trading levels. TD Cowen Maintains Hold Rating

Analyst Ratings Changes

KMB has been the topic of several recent analyst reports. UBS Group lifted their price target on shares of Kimberly-Clark from $106.00 to $115.00 and gave the company a “neutral” rating in a report on Thursday, July 16th. Piper Sandler upped their price objective on shares of Kimberly-Clark from $115.00 to $121.00 and gave the stock an “overweight” rating in a report on Wednesday, June 17th. Wells Fargo & Company raised their target price on shares of Kimberly-Clark from $100.00 to $110.00 and gave the stock an “equal weight” rating in a research report on Wednesday, July 8th. Seaport Research Partners raised shares of Kimberly-Clark to a “buy” rating in a research note on Tuesday. Finally, Barclays boosted their price target on shares of Kimberly-Clark from $101.00 to $115.00 and gave the company an “equal weight” rating in a research report on Tuesday, July 21st. Four investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $117.93.

Get Our Latest Analysis on Kimberly-Clark

Hedge Funds Weigh In On Kimberly-Clark

Several large investors have recently made changes to their positions in KMB. Brighton Jones LLC grew its stake in shares of Kimberly-Clark by 74.1% in the 4th quarter. Brighton Jones LLC now owns 6,494 shares of the company’s stock worth $851,000 after buying an additional 2,765 shares during the last quarter. The Manufacturers Life Insurance Company boosted its holdings in Kimberly-Clark by 7.3% in the second quarter. The Manufacturers Life Insurance Company now owns 363,919 shares of the company’s stock worth $46,923,000 after acquiring an additional 24,698 shares in the last quarter. Treasurer of the State of North Carolina grew its stake in shares of Kimberly-Clark by 44.3% in the second quarter. Treasurer of the State of North Carolina now owns 284,655 shares of the company’s stock worth $36,698,000 after acquiring an additional 87,455 shares during the last quarter. Main Street Financial Solutions LLC increased its holdings in shares of Kimberly-Clark by 11.0% during the second quarter. Main Street Financial Solutions LLC now owns 3,291 shares of the company’s stock valued at $424,000 after acquiring an additional 326 shares in the last quarter. Finally, HUB Investment Partners LLC increased its holdings in shares of Kimberly-Clark by 20.5% during the second quarter. HUB Investment Partners LLC now owns 10,639 shares of the company’s stock valued at $1,372,000 after acquiring an additional 1,811 shares in the last quarter. 76.29% of the stock is currently owned by hedge funds and other institutional investors.

Kimberly-Clark Company Profile

(Get Free Report)

Kimberly-Clark Corporation is a U.S.-based multinational manufacturer of personal care and consumer tissue products. The company develops, produces and markets a range of consumer brands and professional products, including facial and bathroom tissues, disposable diapers and training pants, feminine care, incontinence products and workplace hygiene solutions. Known for consumer-facing names such as Kleenex, Huggies, Kotex, Cottonelle and Scott, as well as professional offerings under Kimberly-Clark Professional and KleenGuard, the company supplies goods to retail, healthcare and institutional customers.

Founded in 1872 in Neenah, Wisconsin, Kimberly-Clark has expanded from its 19th-century paper-making roots into a global household and workplace products company.