Colgate-Palmolive Company (CL) vs Kimberly-Clark Corporation (KMB)

Colgate-Palmolive Company and Kimberly-Clark Corporation are both Household & Personal Products companies. Colgate-Palmolive Company is the larger, with a market value of $68.3B against $32.3B — 2.1× the size. Kimberly-Clark Corporation trades at the lower P/E: 16.7× against 33.9×. Kimberly-Clark Corporation grew revenue faster over the last twelve months: 6.01% against 5.24%. Kimberly-Clark Corporation has the higher net margin (11.8% vs 9.68%) and the lower return on invested capital (21.1% vs 27.7%). Both pay a dividend; Kimberly-Clark Corporation yields more (4.10% vs 2.41%). Across the 23 metrics below, Kimberly-Clark Corporation leads on 15 and Colgate-Palmolive Company on 8.

Valuation

Metric CL KMB Household & Personal Products median
P/E 33.88 16.74 22.55
P/S 3.27 1.97 1.13
P/B 121.55 17.46 3.02
Price to free cash flow 17.83 17.51 17.73
EV/EBITDA 16.05 11.82 12.27
EV/Sales 3.58 2.31 1.26
Earnings yield 2.95% 5.97% 0.27%
Free cash flow yield 5.61% 5.71% 4.03%

Profitability

Metric CL KMB Household & Personal Products median
Gross margin 60.42% 36.76% 46.28%
Operating margin 14.87% 15.16% 0.79%
Net margin 9.68% 11.79% 0.61%
Free cash flow margin 18.33% 11.27% 2.89%
Return on equity 251.92% 119.32% 2.12%
Return on assets 11.90% 11.07% 0.00%
Return on invested capital 27.74% 21.13% 0.00%

Growth

Metric CL KMB Household & Personal Products median
Revenue growth (TTM) 5.24% 6.01% 2.93%
EPS growth (last fiscal year) (25.07%) (19.60%) —
Revenue growth, 5-year CAGR 4.35% (2.99%) 2.03%
Net income growth, 5-year CAGR (4.58%) (2.99%) 0.00%

Health

Metric CL KMB Household & Personal Products median
Debt to equity 13.88 3.48 0.46
Current ratio 1.03 0.91 1.64
Net debt to EBITDA 1.38 2.05 1.37

Dividend

Metric CL KMB Household & Personal Products median
Dividend yield 2.41% 4.10% 1.96%
Payout ratio 1.06 0.96 0.49

Size

Metric CL KMB Household & Personal Products median
Market cap 68.32b 32.32b 625.04m

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