Jim Cramer is Talking About These 12 Stocks

9. Kimberly-Clark Corporation (NYSE:KMB)

Number of Hedge Fund Holders: 43

Talking about Kimberly-Clark Corporation’s (NYSE:KMB) recent quarterly earnings results, Cramer said that the problems were one-off. He remarked:

“How about safety? Can’t we huddle in safety right? Is that what you’re supposed to do when things are uncertain? The action in Kimberly-Clark says, apparently not. The maker of Kleenex as well as all sorts of diapers had some one-off problems that hurt the quarter. So the seller’s body slammed the darn thing. If you own it, you wish you were wearing Depends, which by the way are the quintessential Amazon products… I think Kimberly-Clark’s problems really are one-off. The buyers will come back, but not today. Not today, Satan, that’s why the stock closes down 4.5%.”

Kimberly-Clark (NYSE:KMB) is a prominent manufacturer and marketer of personal care and consumer tissue products and has well-known brands like Huggies and Kleenex under its belt. The company’s extensive portfolio includes a variety of items such as disposable hygiene products, facial tissues, paper towels, and professional hygiene solutions.

On October 22, it released its third-quarter results, reporting sales of $5.0 billion, a decrease of 4% from the same period last year. The decline was influenced by negative effects from foreign currency translation and approximately 1% was attributed to the divestiture of the K-C Professional Personal Protective Equipment (PPE) business. Despite these challenges, organic sales saw a slight increase of 1%.

Kimberly-Clark (NYSE:KMB) recorded an operating profit of $1.2 billion for the quarter, benefiting from $565 million in gains related to the PPE business divestiture. Diluted earnings per share were reported at $2.69. For the year-to-date period, cash generated from operations totaled $2.4 billion, an improvement over the $2.3 billion reported the previous year, largely due to stronger operating performance. Additionally, total debt as of September 30, stood at $7.5 billion, a decrease from $8.0 billion as of December 31, 2023.