Brand Investments Remain Critical as Kimberly-Clark Navigates Choppy Macro and Competitive Waters

Like its peers, narrow-moat Kimberly-Clark has faced numerous challenges, including a tepid economic environment and elevated cost pressures from inflation and tariffs. We question whether Kenvue's struggling consumer health brands are the right antidote. This counters Kimberly's focus over the past few years on its core personal care brands across baby, feminine, and adult care. And it will take meaningful resources to drive accelerating sales and profits at Kenvue, in our view.