VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS & COMPETITIVE ADVANTAGES ★

PRICE: 0 CENTS

Wednesday, January 14, 2026

Kimberly-Clark Corporation

KMB · New York Stock Exchange

Market cap (USD)$32.5B
SectorConsumer
Industry
CountryUS
Data as of
Moat score
61/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Request update

Spot something outdated? Send a quick note and source so we can refresh this profile.

Overview

Kimberly-Clark manufactures and markets household and personal hygiene products such as diapers and wipes (Huggies), adult and feminine care (Depend, Kotex), and consumer/professional tissue and hygiene brands (Kleenex, Scott, Wypall). It reports three operating segments: North America, International Personal Care, and International Family Care and Professional. The moat is primarily demand-driven - brand recognition/loyalty and perceived product performance - reinforced by scale manufacturing and broad retail/distributor distribution. Key headwinds include private label share gains (especially tissue), retailer concentration and pricing pressure, birth-rate-linked category growth for baby care, commodity input cost volatility, and ongoing portfolio reshaping including the announced Suzano JV for substantially all of the IFP business (expected mid-2026 close).

Primary segment

North America

Market structure

Oligopoly

Market share

HHI:

Coverage

3 segments · 12 tags

Updated 2026-01-12

Segments

North America

North American consumer and professional hygiene products (personal care, consumer tissue, and away-from-home hygiene)

Revenue

54.9%

Structure

Oligopoly

Pricing

moderate

Share

Peers

PGCLCHDESSITY-B.ST

International Personal Care

International personal care (baby & child care, adult care, and feminine care)

Revenue

28.5%

Structure

Oligopoly

Pricing

moderate

Share

Peers

PG8113.T4452.TESSITY-B.ST

International Family Care and Professional

International consumer tissue and away-from-home/professional hygiene products

Revenue

16.6%

Structure

Oligopoly

Pricing

weak

Share

Peers

PGESSITY-B.STSCA-B.STSUZB3.SA

Moat Claims

North America

North American consumer and professional hygiene products (personal care, consumer tissue, and away-from-home hygiene)

FY2024 segment net sales $11,008m and segment operating profit $2,534m (Kimberly-Clark FY2024 Form 10-K, Note 15). Revenue/operating-profit shares are computed from disclosed segment totals (excluding Corporate & Other from the operating-profit denominator).

Oligopoly

Brand Trust

Demand

Strength

Durability

Confidence

Evidence

Competition in these categories depends heavily on brand recognition/loyalty and perceived product performance; flagship brands (e.g., Huggies, Kleenex, Cottonelle, Scott) support premium positioning and repeat purchase behavior.

Erosion risks

  • Brand dilution from quality or safety incidents
  • Spec/feature parity and promotion intensity from large rivals
  • Trade-down to value tiers in consumer downturns

Leading indicators

  • Organic sales growth by segment
  • Price/mix vs volume trends
  • Share and shelf-space signals at major retailers

Counterarguments

  • Many products are functionally similar; price and promotions can dominate purchase decisions
  • Private label can narrow the perceived quality gap over time

Distribution Control

Supply

Strength

Durability

Confidence

Evidence

Scale relationships with mass retailers and e-commerce channels matter: the company sells household-use products directly to large retail formats and disclosed Walmart as its largest customer (~14% of net sales, primarily in this segment).

Erosion risks

  • Retailer consolidation increases buyer power
  • Channel shift to e-commerce and DTC reduces traditional shelf advantages
  • Delisting/planogram resets at major accounts

Leading indicators

  • Customer concentration disclosures and retailer mix changes
  • Trade promotion and merchandising spend
  • E-commerce share of sales and fulfillment performance

Counterarguments

  • Shelf access is not exclusive and can be reallocated quickly
  • Retailers can expand private label and use data to steer consumers to store brands

Scale Economies Unit Cost

Supply

Strength

Durability

Confidence

Evidence

High fixed-cost manufacturing plus large procurement of commodity inputs (pulp, resins, superabsorbent materials) and a broad production footprint support cost competitiveness and service levels.

Erosion risks

  • Input cost spikes (pulp, resin, energy) compress margins
  • Competitors and private label manufacturers can also reach large scale
  • Operational disruptions (labor, weather, outages)

Leading indicators

  • Gross margin and productivity savings trend
  • Capacity utilization and service levels
  • Pulp/resin/energy indices and hedging impacts

Counterarguments

  • Scale benefits can be competed away when the category becomes a price war
  • Large rivals can match procurement leverage and manufacturing scale

International Personal Care

International personal care (baby & child care, adult care, and feminine care)

FY2024 segment net sales $5,715m and segment operating profit $787m (Kimberly-Clark FY2024 Form 10-K, Note 15). Revenue/operating-profit shares are computed from disclosed segment totals (excluding Corporate & Other from the operating-profit denominator).

Oligopoly

Brand Trust

Demand

Strength

Durability

Confidence

Evidence

International personal care categories compete on brand recognition/loyalty and product performance; established brands (e.g., Huggies, Kotex, Depend, Intimus) help win repeat purchases and justify premium tiers.

Erosion risks

  • Birth-rate declines reducing category growth in key markets
  • Local competitors and private label expanding in value tiers
  • Currency weakness and macro volatility reducing affordability

Leading indicators

  • Category volume growth vs birth-rate trends
  • Organic sales growth and price/mix by region
  • Market exits or restructuring under the 2024 Transformation Initiative

Counterarguments

  • In many emerging markets, consumers trade down quickly and brand premium can be fragile
  • Regulation and geopolitics can disrupt supply and raise costs, weakening brand advantage

Capex Knowhow Scale

Supply

Strength

Durability

Confidence

Evidence

Absorbent hygiene products benefit from proprietary materials/absorbency know-how and sustained R&D plus manufacturing process expertise; management emphasized investment in science and technology to accelerate innovation.

Erosion risks

  • Competitors replicate features quickly and compete via promotions
  • Supplier innovations in materials reduce differentiation
  • Cost-focused redesigns can degrade perceived performance

Leading indicators

  • New product launches and premium mix
  • R&D/innovation cadence and claims vs peers
  • Consumer repeat rates and product review trends

Counterarguments

  • Many hygiene technologies diffuse across the industry; differentiation windows can be short
  • Scale is not unique - global rivals invest similar R&D and capex

International Family Care and Professional

International consumer tissue and away-from-home/professional hygiene products

FY2024 segment net sales $3,335m and segment operating profit $377m (Kimberly-Clark FY2024 Form 10-K, Note 15). On June 5, 2025 the company announced an agreement with Suzano to form a JV comprised of substantially all of the IFP business (SEC Form 8-K, June 5, 2025), expected to close mid-2026.

Oligopoly

Brand Trust

Demand

Strength

Durability

Confidence

Evidence

International tissue/professional offerings leverage recognized brands (e.g., Kleenex, Scott, Andrex, Scottex, Wypall), which can support preference and premium tiers where brand matters.

Erosion risks

  • Private label market share gains in tissue
  • Retailer consolidation and discounters increasing pricing pressure
  • Commoditization and limited differentiation in core tissue SKUs

Leading indicators

  • Private label share trends in tissue
  • Net price realization vs volume in tissue categories
  • Promotional intensity and retailer mix changes

Counterarguments

  • Brand preference is weaker in tissue; consumers often trade down to private label
  • Retailers can substitute brands quickly if price gaps widen

Distribution Control

Supply

Strength

Durability

Confidence

Evidence

Professional products are sold through distributors and directly to commercial facilities; strong go-to-market and distributor relationships can help maintain placement, service levels, and tender wins.

Erosion risks

  • Distributor consolidation and line rationalization
  • Customers standardize on lowest total cost, reducing brand influence
  • JV/portfolio changes disrupt channel relationships

Leading indicators

  • Distributor concentration and contract retention
  • Service levels and on-time-in-full performance
  • Channel inventory and sell-through

Counterarguments

  • Distribution is rarely exclusive; rivals can reach the same distributors
  • Contract bidding can turn products into commodities

Evidence

sec_filing
Kimberly-Clark Form 10-K (FY ended 2024-12-31) - Competition / Brands

Describes key elements of competition (including brand recognition/loyalty, product innovation, quality/performance) and lists major brands across categories.

sec_filing
Kimberly-Clark Form 10-K (FY ended 2024-12-31) - Distribution & Major Customer Concentration

Describes retail and e-commerce distribution channels and discloses Walmart as the largest customer (about 14% of net sales, primarily in North America).

sec_filing
Kimberly-Clark Form 10-K (FY ended 2024-12-31) - Properties & Raw Materials

Discloses global production footprint (79 facilities across 30 countries) and identifies key commodity raw materials used in products.

sec_filing
Kimberly-Clark Form 10-K (FY ended 2024-12-31) - Competition / Segment Description

Filing describes competitive factors (brand recognition/loyalty, quality/performance, innovation) and lists key personal-care brands used internationally.

sec_filing
Kimberly-Clark Form 10-K (FY ended 2024-12-31) - 2024 Transformation Initiative (Innovation/Technology)

Describes the 2024 Transformation Initiative, including investing in science and technology to capture growth via pioneering innovation.

Showing 5 of 9 sources.

Risks & Indicators

Erosion risks

  • Brand dilution from quality or safety incidents
  • Spec/feature parity and promotion intensity from large rivals
  • Trade-down to value tiers in consumer downturns
  • Retailer consolidation increases buyer power
  • Channel shift to e-commerce and DTC reduces traditional shelf advantages
  • Delisting/planogram resets at major accounts

Leading indicators

  • Organic sales growth by segment
  • Price/mix vs volume trends
  • Share and shelf-space signals at major retailers
  • Customer concentration disclosures and retailer mix changes
  • Trade promotion and merchandising spend
  • E-commerce share of sales and fulfillment performance
Created 2026-01-12
Updated 2026-01-12

Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.