Is Kimberly-Clark Corp. overvalued or undervalued?

As of 10 October 2025, the valuation grade for Kimberly-Clark Corp. moved from expensive to fair. The company appears to be fairly valued based on its current metrics. The P/E ratio stands at 19, while the EV to EBITDA ratio is 15.33, and the Price to Book Value is notably high at 45.33. In comparison, Kenvue, Inc. has a P/E ratio of 18.14 and an EV to EBITDA of 13.17, while The Clorox Co. shows a P/E of 21.04 and an EV to EBITDA of 13.36, indicating that Kimberly-Clark is positioned competitively within its peer group.
Despite its fair valuation, Kimberly-Clark has underperformed relative to the S&P 500, with a year-to-date return of -8.75% compared to the index's 11.41%. This trend continues over longer periods, with a 1-year return of -15.23% versus the S&P 500's 13.36%, suggesting that while the stock may be fairly valued, it has struggled to generate positive returns in the market recently.