Monday, April 22, 2013

Investopedia: Kimberly-Clark Looks Way Too Expensive For What It Is

Investors can certainly make good money investing in well-run personal care companies with solid brands. Along those lines, names like Procter & Gamble (NYSE:PG), Colgate-Palmolive (NYSE:CL), Unilever (NYSE:UN), and Kimberly-Clark (NYSE:KMB) have all delivered very strong capital gains over the past year. In the case of Kimberly-Clark in particular, though, I do worry that this consumer staples melt-up has gone a little too far. I do like the company's growth potential in emerging markets, but commodity inflation could threaten further margin improvements and I believe the stock is too expensive relative to its growth prospects.

Please continue here:
http://www.investopedia.com/stock-analysis/042213/kimberlyclark-looks-way-too-expensive-what-it-kmb-pg-un-cl-jnj.aspx

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