Kimberly-Clark's Q3 Earnings Coming Up: Here's What You Should Know

Kimberly-Clark Corporation KMB is likely to register a top-and-bottom-line decline when it reports third-quarter 2024 earnings on Oct. 22. The Zacks Consensus Estimate for net sales is pegged at $5.1 billion, suggesting a decline of 1.3% from the prior-year quarter. Although the consensus mark for fiscal third-quarter earnings has moved up by a penny in the last seven days to $1.69 per share, it indicates a decrease of 2.9% from the figure reported in the year-ago quarter. KMB has a trailing four-quarter earnings surprise of 12.6%, on average.

Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.

Things to Consider About KMB’s Upcoming Results

Kimberly-Clark has been facing challenges due to shifting consumer behaviors and volatile retail conditions, leading to unpredictable demand and pricing pressures. Retail inventory destocking and changes in consumer spending patterns further complicate their operational landscape. In addition, underlying inflation and rising manufacturing costs are impacting pricing strategies and profitability. The persistence of these trends is likely to have impacted Kimberly-Clark’s performance in the third quarter.

The company’s K-C Professional segment is experiencing ongoing weaknesses that could have negatively impacted its overall results. We expect sales in the particular segment to decline 7.5% in the fiscal third quarter. Apart from this, Kimberly-Clark’s international presence keeps its exposure to risks of unfavorable currency translations.

Yet Kimberly-Clark's transition to a volume-and-mix growth model is aiding growth. The company is making strides in its transformative journey aimed at enhancing growth and improving operational efficiency.

Earnings Whispers for Kimberly-Clark

Our proven model predicts an earnings beat for Kimberly-Clark this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Kimberly-Clark carries a Zacks Rank #3 and has an Earnings ESP of +0.33%.

Other Stocks With the Favorable Combination

Here are some other companies worth considering, as our model shows that these, too, have the correct combination to beat on earnings this time around.

Clorox CLX currently has an Earnings ESP of +2.41% and a Zacks Rank of 2. The company is likely to register top-and-bottom-line growth when it reports first-quarter fiscal 2025 numbers. The Zacks Consensus Estimate for Clorox’s quarterly revenues is pegged at $1.62 billion, which indicates an increase of 17.2% from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Clorox’s quarterly earnings of $1.36 per share indicates growth of 177.6% from the year-ago quarter’s levels. CLX has a trailing four-quarter earnings surprise of 122.9%, on average.

Colgate-Palmolive CL currently has an Earnings ESP of +0.96% and a Zacks Rank #3. The company is expected to register top-and-bottom-line growth when it reports third-quarter 2024 results. The Zacks Consensus Estimate for quarterly revenues is pegged at $5 billion, suggesting a rise of 1.9% from the figure reported in the prior-year quarter.

The Zacks Consensus Estimate for quarterly earnings has remained unchanged at 88 cents per share in the past 30 days. The consensus mark for CL’s earnings indicates growth of 2.3% from the year-ago quarter’s reported number. CL has delivered an earnings surprise of 4.8%, on average, in the trailing four quarters.

Monster Beverage MNST currently has an Earnings ESP of +0.13% and a Zacks Rank of 3. The company is expected to register top-and-bottom-line growth when it reports third-quarter 2024 results. Although the Zacks Consensus Estimate for MNST’s quarterly earnings has moved down by a penny in the last seven days to 42 cents per share, the projection indicates 2.4% growth from the year-ago quarter's reported number.

The Zacks Consensus Estimate for Monster Beverage’s quarterly revenues is pegged at $1.9 billion, suggesting a rise of 3.2% from the figure reported in the prior-year quarter. MNST reported a negative earnings surprise of 3.4%, on average, in the trailing four quarters.

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Kimberly-Clark Corporation (KMB): Free Stock Analysis Report
 
Colgate-Palmolive Company (CL): Free Stock Analysis Report
 
The Clorox Company (CLX): Free Stock Analysis Report
 
Monster Beverage Corporation (MNST): Free Stock Analysis Report

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