Kimberly-Clark Analysts Slash Their Forecasts Following Weak Sales

Kimberly-Clark Corporation KMB reported weaker-than-expected first-quarter sales on Tuesday.

Quarterly adjusted earnings per share totaled $1.93, beating the analyst consensus estimate of $1.89. Quarterly sales of $4.84 billion (down 6%) missed the street view of $4.88 billion.

"The current environment will now mean greater costs across our global supply chain versus our expectations at the beginning of the year," warned Kimberly-Clark CEO Mike Hsu.

The company now expects its 2025 Adjusted Operating Profit to be flat to positive on a constant-currency basis. Last year, the expectation was high single-digit growth on a constant currency basis.

Reported net sales are expected to face a 200 basis point hit from currency translation, improving from the earlier estimate of 300 basis points. Additionally, divesting the PPE business and exiting the U.S. private label diaper segment will weigh on sales by another 240 basis points.

Kimberly-Clark shares fell 4.1% to trade at $132.30 on Wednesday.

These analysts made changes to their price targets on Kimberly-Clark following earnings announcement.

• Evercore ISI Group analyst Javier Escalante maintained Kimberly-Clark with an Outperform rating and lowered the price target from $168 to $155.
• Piper Sandler analyst Korinne Wolfmeyer maintained Kimberly-Clark with an Overweight rating and lowered the price target from $158 to $156.
• RBC Capital analyst Nik Modi maintained Kimberly-Clark with an Outperform rating and lowered the price target from $165 to $162.

Considering buying KMB stock? Here’s what analysts think:

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