Kimberly-Clark Shares Tumble After Missing Revenue Targets Despite Earnings Growth
Portfolio Pulse from Nabaparna Bhattacharya
Kimberly-Clark Corporation (NYSE:KMB) shares fell after the company reported mixed Q2 earnings. While adjusted EPS of $1.96 beat expectations, revenues of $5.029 billion missed estimates. Sales declined 2% year-over-year due to currency impacts and divestitures. Despite this, the company improved its gross margin and raised its EPS growth outlook for FY24.
July 23, 2024 | 2:46 pm
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Kimberly-Clark's Q2 earnings report showed a beat on EPS but a miss on revenue, leading to a 3.9% drop in share price. Sales declined due to currency impacts and divestitures, but gross margin improved. The company raised its FY24 EPS growth outlook.
The mixed earnings report, with a revenue miss and sales decline, has led to a negative market reaction, causing a 3.9% drop in KMB's share price. Despite the positive EPS beat and improved gross margin, the revenue miss and sales decline are weighing more heavily on investor sentiment in the short term.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100