Seeking Alpha
Profile| Send Message|
( followers)  

Kimberly-Clark Corporation (KMB) is scheduled to report its Q2 2012 results on July 26, 2012, before market opens. The street expects EPS and revenue of $1.28 and $5.28B, respectively.

In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from KMB and the news from its closest competitors.

Kimberly-Clark Corporation Revenue and Net Income History

Recent EPS Actuals vs. Estimates

In the last quarter it reported $1.24 EPS, beating analyst estimates of $1.17.

Kimberly-Clark Corporation EPS Historical Results vs Estimates

The consensus EPS estimate is $1.28 based on 14 analysts' estimates, up from $1.18 a year ago. Revenue estimates are $5.28B, just above $5.26B a year ago. The median target price by analysts for the stock is $80.00.

Average recommendation: Hold

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On June 21, 2012, Argus upgraded the company from Hold to Buy.
  • On January 24, 2012, UBS downgraded the company from Buy to Neutral.

Latest News

  • On April 20, 2012, Kimberly-Clark Corporation announced that for fiscal 2012, it expects adjusted earnings per share (EPS) in the range of $5.00 to $5.15. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $5.11 for fiscal 2012.
  • On February 28, 2012, Kimberly-Clark Corporation announced that its board of directors has approved a dividend increase of 5.7 percent. This will bring the quarterly dividend to 74 cents per share, up from 70 cents per share in 2011.
  • On January 24, 2012, Kimberly-Clark Corporation announced that for fiscal 2012, it expects Adjusted earnings per share to be $5.00 to $5.15 and Net sales are expected to increase of 0% to 1%. The Company reported revenues of $20.846 billion in fiscal 2011.

Competitors

The Clorox Company (CLX), Energizer Holdings (ENR), Johnson & Johnson (JNJ), and Procter & Gamble (PG) are considered major competitors for Kimberly-Clark Corporation and the table below provides the key metrics for these companies and the industry.

Kimberly-Clark Corporation key ratio comparison with direct competitors

The chart below compares the stock price changes as a percentage for the selected companies and S&P 500 index for the last one year period.

(click to enlarge)KMB Chart

KMB data by YCharts

Competitors' Latest Development

  • On July 17, 2012, Johnson & Johnson adjusted earnings guidance for fiscal 2012 to $5.00-$5.07 per share. The Company's guidance excludes the impact of special items and reflects the negative impact of recent currency movements, partially offset by the positive contribution from the Synthes acquisition.
  • On July 16, 2012, Johnson & Johnson announced that its Board of Directors has declared a cash dividend for the third quarter of 2012 of $0.61 per share on the Company's common stock.
  • On July 13, 2012, Reuters reported that activist investor William Ackman looks ready to take on management at yet another major company as he builds a stake in Procter & Gamble Co. Ackman's $10 billion Pershing Square Capital Management has been buying shares in P&G for the last few weeks and may want to increase its stake further.
  • On July 10, 2012, Procter & Gamble Co announced that its Board of Directors declared a quarterly dividend of $0.562 per share on the Common Stock and on the Series A and Series B ESOP Convertible Class A Preferred Stock of the Company, payable on or after August 15, 2012 to Common Stock and Series A and Series B ESOP Convertible Class A Preferred Stock shareholders of record at the close of business on July 20, 2012.
  • On July 9, 2012, Reuters reported that Bayer AG and Johnson & Johnson's anti-blood-clotting pill Xarelto won priority review status from the U.S. Food and Drug Administration for the treatment of deep vein thrombosis and pulmonary embolism.
  • On June 22, 2012, Reuters reported that Johnson & Johnson said on June 21, 2012, that U.S. regulators have declined to approve a new use for its Xarelto blood clot preventer to reduce the risk of heart attacks and strokes in patients with acute coronary syndrome.
  • On June 21, 2012, Reuters reported that Johnson & Johnson is close to reaching a settlement with the U.S. Justice Department over allegations it promoted anti psychotic drug Risperdal for unapproved uses that could cost the healthcare conglomerate at least $1.5 billion.
  • On June 20, 2012, Procter & Gamble Co announced that for the fourth quarter of 2012, it expects organic sales growth to be in the range of 2%-3%, compared to a prior range of 4%-5%, Foreign exchange to reduce net sales by 4%, net sales to be in the range of down 2%-1% compared to a prior range of an increase of 1%-2%.
  • On June 14, 2012, Johnson & Johnson announced the completion of the acquisition of Synthes, Inc. for a total purchase price of $19.7 billion in cash and stock. Synthes will be integrated with the DePuy franchise to establish the DePuy Synthes Companies of Johnson & Johnson.
  • On June 13, 2012, Reuters reported that Johnson & Johnson expects to complete its $19.7 billion purchase of Swiss medical device maker Synthes Inc. on Thursday and that the deal will slightly boost company profit this year, rather than being a moderate drag on earnings as previously expected.
  • On June 12, 2012, Reuters reported that Johnson & Johnson has won U.S. antitrust approval to buy Swiss medical device company Synthes Inc if it sells some assets, the Federal Trade Commission said on Monday.
  • On June 5, 2012, Law Office of Brodsky & Smith, LLC announced that it is investigating potential claims against DePuy Orthopedics and its corporate parent Johnson & Johnson on behalf of individuals that received either an DePuy ASR XL Acetabular System or an DePuy ASR Hip Resurfacing System.
  • On June 5, 2012, The Coca-Cola Company, Ford Motor Company, H.J. Heinz Company, NIKE, Inc. and Procter & Gamble announced the formation of the Plant PET Technology Collaborative (PTC), a strategic working group focused on accelerating the development and use of 100% plant-based PET materials and fiber in their products.
  • On May 31, 2012, Kellogg Company announced the completion of its acquisition of Procter & Gamble's Pringles business.
  • On May 24, 2012, Reuters reported that U.S. advisers recommended against expanding the use of Johnson & Johnson's blood thinner Xarelto as a way to reduce the risk of new heart attacks and strokes in people with heart problems.
  • On May 17, 2012, Reuters reported that Johnson & Johnson advanced prostate cancer drug, Zytiga, to hormone therapy before surgery has been shown for the first time to eradicate tumors in some men with high-risk forms of the disease.
  • On May 15, 2012, Jones Lang LaSalle announced that it is extending its global strategic alliance relationship with The Procter & Gamble Company following Procter & Gamble's competitive selection process to select a commercial facilities service partner.
  • On May 15, 2012, The Clorox Company announced that its board of directors increased the quarterly cash dividend on the Company's common stock by 6.7% , from $0.6 to $0.64 per share.
  • On May 2, 2012, Energizer Holdings Inc announced plans to initiate a dividend program commencing later this year. Subject to declaration by the Board, the Company plans to initiate a quarterly dividend of $0.40 per share in the fourth quarter of its fiscal 2012, which ends September 30, 2012.
  • On May 2, 2012, Energizer Holdings Inc reaffirmed fiscal 2012 earnings guidance of $6.00 to $6.20 per share. According to I/B/E/S Estimates, analysts are expecting the Company to report EPS of $6.10 for fiscal 2012.
  • On May 2, 2012, The Clorox Co. announced that for fiscal 2013, it expects sales growth in the range of 2%-4% and Diluted EPS in the range of $4.20-$4.35. For fiscal 2012, it updated its sales guidance and expects sales growth of about 4%, versus the previous outlook of 2%-4% and diluted earnings per share in the range of $4.00-$4.10 for fiscal 2012.
  • On April 27, 2012, Procter & Gamble Co announced that for fiscal 2012, it expects net sales to increase 4%, organic sales to increase 4%, diluted net earnings per share to be in the range of $3.63 to $3.74, which includes a gain of $0.47 to $0.50 on the sale of the Snacks business and core EPS to be in the range of $3.82-$3.88, down 1% to in line versus a base period core EPS of $3.87. For the fourth quarter of 2012, it expects net sales growth to be up 1% to 2%, organic sales to grow 4% to 5%, with continued benefit from pricing.
  • On April 26, 2012, Johnson & Johnson announced that its Board of Directors have declared a 7.0% increase in the quarterly dividend rate, from $0.57 per share to $0.61 per share.

Technical Overview


The stock has a market capitalization of $33.75B and is currently trading at $85.90 with a 52 week range of $61.00 - $86.25. The stock's year-to-date performance has been 19.33%. It is currently trading above 20, 50 and 200 SMA.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Kimberly-Clark Corporation