KIMBERLY-CLARK CORP (KMY.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:KMY - US4943681035 - Common Stock
83.37 EUR
-1.54 (-1.81%)
KMY gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 12 industry peers in the Household Products industry. While KMY belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. KMY is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- KMY had positive earnings in the past year.
- In the past year KMY had a positive cash flow from operations.
- Each year in the past 5 years KMY has been profitable.
- Each year in the past 5 years KMY had a positive operating cash flow.
1.2 Ratios
- KMY's Return On Assets of 11.66% is fine compared to the rest of the industry. KMY outperforms 66.67% of its industry peers.
- With an excellent Return On Equity value of 147.82%, KMY belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
- KMY has a Return On Invested Capital of 23.27%. This is amongst the best in the industry. KMY outperforms 91.67% of its industry peers.
- KMY had an Average Return On Invested Capital over the past 3 years of 24.55%. This is significantly above the industry average of 17.69%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.66% | ||
| ROE | 147.82% | ||
| ROIC | 23.27% |
ROA(3y)12.1%
ROA(5y)11.98%
ROE(3y)283.11%
ROE(5y)315.59%
ROIC(3y)24.55%
ROIC(5y)24.05%
1.3 Margins
- KMY's Profit Margin of 10.89% is in line compared to the rest of the industry. KMY outperforms 58.33% of its industry peers.
- In the last couple of years the Profit Margin of KMY has grown nicely.
- With a Operating Margin value of 15.96%, KMY perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
- In the last couple of years the Operating Margin of KMY has remained more or less at the same level.
- KMY has a Gross Margin of 36.47%. This is in the lower half of the industry: KMY underperforms 66.67% of its industry peers.
- KMY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.96% | ||
| PM (TTM) | 10.89% | ||
| GM | 36.47% |
OM growth 3Y8.75%
OM growth 5Y1.08%
PM growth 3Y10.79%
PM growth 5Y1.65%
GM growth 3Y4.94%
GM growth 5Y0.87%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), KMY is creating value.
- The number of shares outstanding for KMY has been reduced compared to 1 year ago.
- KMY has less shares outstanding than it did 5 years ago.
- KMY has a better debt/assets ratio than last year.
2.2 Solvency
- KMY has an Altman-Z score of 3.61. This indicates that KMY is financially healthy and has little risk of bankruptcy at the moment.
- With a Altman-Z score value of 3.61, KMY perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
- KMY has a debt to FCF ratio of 4.39. This is a neutral value as KMY would need 4.39 years to pay back of all of its debts.
- KMY has a Debt to FCF ratio (4.39) which is in line with its industry peers.
- A Debt/Equity ratio of 4.89 is on the high side and indicates that KMY has dependencies on debt financing.
- KMY's Debt to Equity ratio of 4.89 is in line compared to the rest of the industry. KMY outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.89 | ||
| Debt/FCF | 4.39 | ||
| Altman-Z | 3.61 |
ROIC/WACC3.09
WACC7.54%
2.3 Liquidity
- KMY has a Current Ratio of 0.77. This is a bad value and indicates that KMY is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.77, KMY is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- KMY has a Quick Ratio of 0.77. This is a bad value and indicates that KMY is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 0.56, KMY is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
- KMY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.88%.
- The Earnings Per Share has been growing slightly by 1.19% on average over the past years.
- The Revenue for KMY has decreased by -10.04% in the past year. This is quite bad
- Measured over the past years, KMY shows a small growth in Revenue. The Revenue has been growing by 1.69% on average per year.
EPS 1Y (TTM)-5.88%
EPS 3Y5.65%
EPS 5Y1.19%
EPS Q2Q%-0.55%
Revenue 1Y (TTM)-10.04%
Revenue growth 3Y1.05%
Revenue growth 5Y1.69%
Sales Q2Q%-16.2%
3.2 Future
- KMY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.08% yearly.
- The Revenue is expected to decrease by -1.84% on average over the next years.
EPS Next Y3.03%
EPS Next 2Y3.09%
EPS Next 3Y3.02%
EPS Next 5Y3.08%
Revenue Next Year-16.7%
Revenue Next 2Y-7.64%
Revenue Next 3Y-3.54%
Revenue Next 5Y-1.84%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 14.45, KMY is valued correctly.
- Compared to the rest of the industry, the Price/Earnings ratio of KMY indicates a rather cheap valuation: KMY is cheaper than 83.33% of the companies listed in the same industry.
- KMY is valuated rather cheaply when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 12.82, which indicates a correct valuation of KMY.
- Based on the Price/Forward Earnings ratio, KMY is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. KMY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.45 | ||
| Fwd PE | 12.82 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KMY is valued a bit cheaper than 75.00% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, KMY is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.74 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KMY does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of KMY may justify a higher PE ratio.
PEG (NY)4.76
PEG (5Y)12.12
EPS Next 2Y3.09%
EPS Next 3Y3.02%
5. Dividend
5.1 Amount
- KMY has a Yearly Dividend Yield of 4.93%, which is a nice return.
- Compared to an average industry Dividend Yield of 3.04, KMY pays a better dividend. On top of this KMY pays more dividend than 100.00% of the companies listed in the same industry.
- KMY's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.93% |
5.2 History
- The dividend of KMY has a limited annual growth rate of 3.47%.
Dividend Growth(5Y)3.47%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
- KMY pays out 83.80% of its income as dividend. This is not a sustainable payout ratio.
- KMY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP83.8%
EPS Next 2Y3.09%
EPS Next 3Y3.02%
KIMBERLY-CLARK CORP / KMY.DE FAQ
What is the ChartMill fundamental rating of KIMBERLY-CLARK CORP (KMY.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to KMY.DE.
Can you provide the valuation status for KIMBERLY-CLARK CORP?
ChartMill assigns a valuation rating of 6 / 10 to KIMBERLY-CLARK CORP (KMY.DE). This can be considered as Fairly Valued.
How profitable is KIMBERLY-CLARK CORP (KMY.DE) stock?
KIMBERLY-CLARK CORP (KMY.DE) has a profitability rating of 7 / 10.
What are the PE and PB ratios of KIMBERLY-CLARK CORP (KMY.DE) stock?
The Price/Earnings (PE) ratio for KIMBERLY-CLARK CORP (KMY.DE) is 14.45 and the Price/Book (PB) ratio is 24.78.
Can you provide the expected EPS growth for KMY stock?
The Earnings per Share (EPS) of KIMBERLY-CLARK CORP (KMY.DE) is expected to grow by 3.03% in the next year.