Valuation Overview

Growth Story

Over the next few years, revenue is expected to grow by 3.58%, lower than industry average of 6.57%.

Growth Trajectory

Profitability

In the growth phase company makes 16.06% profit on every dollar of sales, higher than industry average of 16.02%.

Profitability Trajectory

Risk Profile

Investors expect at least 9.26% return to justify the risk of holding stock.

Risk vs Return

Required Return (Cost of Capital) (%)
Return on Invested Capital (%)

Financial Health Overview

Enterprise Value
31.56B USD
Equity Value
24.82B USD
FCF Yield
62.23%
Average ROIC
29.16%
Cost of Capital
9.10%
P/E Ratio
16.73x
Financial MetricMost Recent 12 months (USD)Previous Year (USD)
Revenues18.88B USD20.06B USD
Operating Income or EBIT3.13B USD3.29B USD
Interest Expense262M USD270M USD
Book Value Of Equity1.27B USD840M USD
Book Value Of Debt7.24B USD7.57B USD
Cash and Marketable Securities634M USD1.02B USD
Number of Shares Outstanding331.92M--
Minority interests135M USD0 USD
Current Stock Price128.01 USD--
Effective Tax Rate19.00%--
Marginal Tax Rate25.00%--

Performance vs Industry

Revenue Growth
-12.43%
-5.86%Company
vs
6.57%Industry
Below Industry
Operating Margin
+0.58%
16.60%Company
vs
16.02%Industry
At Industry Level
Kimberly-Clark Corporation performs in line with industry averages, showing balanced competitive positioning within its sector.

Terminal Value Analysis

Growth Rate
4.59%
Cost of Capital
8.83%
Return on Capital
8.82%
Reinvestment Rate
52.09%
Terminal value represents 50% of total enterprise value, based on 4.59% perpetual growth and 8.83% discount rate.

Equity Value Breakdown

ComponentValueType
Present Value (Terminal Value) 15.93B USD Add
Present Value (Cash Flow Over Next 10 Years) 15.63B USD Add
Value of Operating Assets 31.56B USD Sub-total
Debt 7.24B USD Subtract
Minority Interests 135.00M USD Subtract
Cash 634.00M USD Add
Value of Equity 24.82B USD Sub-total
Number of Shares 331.92M shares Divisor
Estimated Value per Share (Fair Value) 74.78 USD Total
Current Market Price 128.01 USD Reference

Financial Projections

Total FCF Present Value
15.63B USD
Avg Revenue Growth
3.53%
Avg Operating Margin
15.94%
Avg ROIC
29.16%
Year 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Terminal Year
REVENUE
Revenue19.36B USD20.06B USD20.77B USD21.52B USD22.29B USD23.13B USD24.05B USD25.06B USD26.16B USD27.37B USD28.63B USD
Growth Rate 2.57% 3.57% 3.57% 3.57% 3.57% 3.78% 3.98% 4.19% 4.39% 4.59% 4.59%
PROFITABILITY
Operating Income3.21B USD3.25B USD3.33B USD3.41B USD3.50B USD3.63B USD3.77B USD3.93B USD4.10B USD4.29B USD4.49B USD
Operating Margin 16.60% 16.24% 16.06% 15.88% 15.70% 15.70% 15.70% 15.70% 15.70% 15.70% 15.70%
EBIT (1-tax)2.60B USD2.63B USD2.70B USD2.76B USD2.83B USD2.89B USD2.96B USD3.04B USD3.13B USD3.22B USD3.37B USD
CASH FLOW
Reinvestment278.04M USD287.99M USD298.30M USD308.97M USD338.31M USD415.97M USD454.73M USD496.89M USD542.85M USD567.83M USD1.75B USD
Free Cash Flow2.32B USD2.35B USD2.40B USD2.45B USD2.49B USD2.48B USD2.51B USD2.54B USD2.58B USD2.65B USD1.61B USD
Terminal Value--------------------38.18B USD
Present Value2.12B USD1.96B USD1.84B USD1.72B USD1.60B USD1.46B USD1.35B USD1.26B USD1.17B USD1.10B USD—
EFFICIENCY
ROIC 33.06% 32.35% 32.01% 31.66% 31.32% 30.87% 30.27% 29.68% 29.10% 28.52% 8.82%
Cost of Capital 9.26% 9.26% 9.26% 9.26% 9.26% 9.17% 9.09% 9.00% 8.91% 8.82% 8.83%
Sales/Capital 2.49x 2.49x 2.49x 2.49x 2.49x 2.21x 2.21x 2.21x 2.21x 2.21x —

Profitability & Efficiency

Operating Margin (%)
ROIC (%)

Value Creation Analysis

ROIC (%)
Cost of Capital (%)

Operational Cash Flow Analysis

Free Cash Flow ($B)
Reinvestment ($B)