453278

Household Products Stocks Q1 Teardown: Kimberly-Clark (NYSE:KMB) Vs The Rest


Anthony Lee /
2024/05/23 7:30 am EDT

The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how household products stocks fared in Q1, starting with Kimberly-Clark (NYSE:KMB).

Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends.

The 10 household products stocks we track reported a solid Q1; on average, revenues were in line with analyst consensus estimates. while next quarter's revenue guidance was in line with consensus. Valuation multiples for many growth stocks have not yet reverted to their early 2021 highs, but the market was optimistic at the end of 2023 due to cooling inflation. The start of 2024 has been a different story as mixed signals have led to market volatility, and household products stocks have held roughly steady amidst all this, with share prices up 2.2% on average since the previous earnings results.

Kimberly-Clark (NYSE:KMB)

Originally founded as a Wisconsin paper mill in 1872, Kimberly-Clark (NYSE:KMB) is now a household products powerhouse known for personal care and tissue products.

Kimberly-Clark reported revenues of $5.15 billion, down 0.9% year on year, topping analysts' expectations by 1.2%. It was a very strong quarter for the company, with an impressive beat of analysts' reveue and earnings estimates.

"We delivered an encouraging set of first quarter results as we embark on this next chapter of growth for Kimberly-Clark," said Kimberly-Clark Chairman and CEO Mike Hsu.

Kimberly-Clark Total Revenue

The stock is up 3.7% since the results and currently trades at $133.63.

Is now the time to buy Kimberly-Clark? Access our full analysis of the earnings results here, it's free.

Best Q1: Spectrum Brands (NYSE:SPB)

A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care.

Spectrum Brands reported revenues of $718.5 million, down 1.5% year on year, outperforming analysts' expectations by 1.4%. It was a stunning quarter for the company, with an impressive beat of analysts' earnings estimates.

Spectrum Brands Total Revenue

The stock is up 11.9% since the results and currently trades at $94.56.

Is now the time to buy Spectrum Brands? Access our full analysis of the earnings results here, it's free.

Weakest Q1: Energizer (NYSE:ENR)

Masterminds behind the viral Energizer Bunny mascot, Energizer (NYSE:ENR) is one of the world's largest manufacturers of batteries.

Energizer reported revenues of $663.3 million, down 3% year on year, falling short of analysts' expectations by 0.1%. It was a weak quarter for the company, with a miss of analysts' revenue estimates.

The stock is up 3.7% since the results and currently trades at $30.54.

Read our full analysis of Energizer's results here.

Central Garden & Pet (NASDAQ:CENT)

Enhancing the lives of both pets and homeowners, Central Garden & Pet (NASDAQGS:CENT) is a leading producer and distributor of essential products for pet care, lawn and garden maintenance, and pest control.

Central Garden & Pet reported revenues of $900.1 million, down 1% year on year, surpassing analysts' expectations by 1.4%. It was a strong quarter for the company, with an impressive beat of analysts' organic revenue growth estimates and a solid beat of analysts' earnings estimates.

The stock is up 11.4% since the results and currently trades at $46.5.

Read our full, actionable report on Central Garden & Pet here, it's free.

Clorox (NYSE:CLX)

Founded in 1913 with bleach as the sole product offering, Clorox (NYSE:CLX) today is a consumer products giant whose product portfolio spans everything from bleach to skincare to salad dressing to kitty litter.

Clorox reported revenues of $1.81 billion, down 5.3% year on year, falling short of analysts' expectations by 3%. It was a slower quarter for the company, with a miss of analysts' revenue estimates. Full year organic revenue was also lowered to the low end of the previous range, which was "down low single digit" percentages year on year

Clorox had the weakest performance against analyst estimates and slowest revenue growth among its peers. The stock is down 9.4% since the results and currently trades at $134.04.

Read our full, actionable report on Clorox here, it's free.

Join Paid Stock Investor Research

Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.