The competition in the personal care industry is at an all-time high due to the ongoing long-term strategic initiatives by market leaders P&G and Unilever (Read: Are P&G And Unilever Headed In Opposite Directions?). Kimberly-Clark is also beleaguered by soaring commodity cost inflation, which dragged down its EBITDA margin by 2.2 percentage points, to 19%, in 2014. We believe that these two factors, that is, the threat of market share losses due to increasing competition and lower profit margins due to commodity cost inflation, could potentially have a significant impact on Kimberly-Clark's valuation.
Source Forbes - Markets http://ift.tt/1LaYbpR
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