Barclays Adjusts Price Target on Kimberly-Clark to $105 From $115, Keeps Equalweight Rating

Kimberly-Clark (KMB) is preparing asset sales to address EU antitrust concerns regarding its $40 billion acquisition of Kenvue. The EU is expected to formally raise its concerns this week, with Kimberly-Clark facing a September 29 deadline to submit concessions or face a full investigation. The deal has already received conditional approval in Australia and South Africa.

Kimberly-Clark (KMB) extended its 54-year dividend increase streak to $5.12 annualized while finalizing a $48.7 billion acquisition of Kenvue (KVUE). Operating cash flow of $2.8 billion covers dividends and capex, but leaves little room before Kenvue financing impacts its balance sheet. KMB shares have fallen 20% to $98 over the past year, pushing the yield to 5%.

Kimberly-Clark (KMB) extended its 54-year dividend increase streak to $5.12 annualized while closing a $48.7 billion Kenvue (KVUE) acquisition, raising concerns about its balance sheet. Operating cash flow of $2.8 billion covers dividends and capex, but leaves little cushion. KMB shares fell 20% to $98, pushing the yield to 5%. The company's dividend streak and acquisition are under scrutiny as investors assess the financial impact.

Kimberly Clark (KMB) stock is down 20% from its 52-week high, offering a 5% dividend yield. The company is acquiring Kenvue (KVUE), adding debt and integration risks. Both companies have recently faced performance challenges, with KMB lowering its full-year guidance. Investors should consider risks before buying.

Wells Fargo reduced its price target for Kimberly-Clark (NYSE:KMB) to $105 from $110, citing earnings uncertainty due to competition and China headwinds. The stock is down 7.5% over the past week. Despite challenges, some analysts see the stock as undervalued. Q2 earnings beat estimates but revenue missed expectations. Other analysts upgraded KMB's rating, citing potential earnings boosts from acquisitions.

Apple unveiled the iPhone Duo, a foldable smartphone priced at $1,999, and new iPhone 18 Pro models with price increases. Kimberly-Clark (KMB) shares fell after lowering Q3 sales and EPS guidance. Markets declined due to rising oil prices and bond yields, impacting consumer stocks.