This Value Stock Yields 5.3% and Has Paid a Dividend for 92 Consecutive Years. Here's Why It's a Buy in April.

By Daniel Foelber – Apr 15, 2026 at 6:25AM ESTKey PointsDespite falling earnings, Kimberly-Clark can still support its dividend from its operations rather than relying on debt. The company will likely close its acquisition of Kenvue later this year. Kimberly-Clark's high-yield and valuation make it especially appealing to income-focused value investors. The S&P 500 (^GSPC +1.18%) has become far more concentrated in tech-focused growth companies, many of which have low yields or don't pay dividends. The changing composition of the index has compressed the S&P 500 dividend yield to just 1.2%, down from around 2% a decade ago. Investors looking for stocks to boost their passive income have come to the right place. Kimberly-Clark (KMB +0.58%) -- a leading consumer staples company -- has raised its dividend for 54 consecutive years. That makes Kimberly-Clark one of 60 companies that have paid and raised their dividends for at least 50 consecutive years -- known as Dividend Kings. But Kimberly-Clark's dividend track record extends far beyond that time frame, as the company has paid a dividend for 92 consecutive years -- a streak that predates the first FM radio broadcast and the invention of the microwave oven. Here's why Kimberly-Clark is one of the best value stocks for income investors to buy in April. Image source: Getty Images. Navigating a multiyear downturn Kimberly-Clark's yield has soared to 5.3% due to a combination of consistent dividend raises and its falling stock price. The sell-off has gone from bad to worse, and Kimberly-Clark is now hovering around a 12-year low. Sales growth and profit margins are under pressure due to rising costs and weak consumer spending. But unlike some high-yield stocks with falling earnings that must use debt to fund their payouts, Kimberly-Clark continues to generate plenty of operating cash flow to support its long-term capital spending plans, dividend, and share repurchases. Kimberly-Clark's payout ratio is elevated, but its earnings still exceed its dividend payment. Free cash flow (FCF) is barely below the dividend expense, and that's even when factoring in a substantial decrease in FCF in recent years, amplified by a roughly $200 million increase in input costs in fiscal 2025, mainly due to tariff-related headwinds. KMB EPS Diluted (TTM) data by YCharts The good news is that Kimberly-Clark expects margins to improve, with organic growth accelerating in the second half of 2026. Management also set its goal to reach at least 40% gross margins by the end of the decade. What's more, the stock is dirt cheap, trading at just 16 times trailing-12-month earnings and 12.9 times forward earnings. ExpandNASDAQ: KMBKimberly-ClarkToday's Change(0.58%) $0.56Current Price$97.16Key Data PointsMarket Cap$32BDay's Range$95.61 - $97.7452wk Range$92.42 - $144.31Volume2.3KAvg Vol5.7MGross Margin35.67%Dividend Yield5.21% A household products and personal care powerhouse Kimberly-Clark is a textbook example of how great companies can go from cheap to bargain-bin territory when multiple factors magnify investor uncertainty. In Kimberly-Clark's case, the sectorwide sell-off in consumer staples, inflationary cost pressures due in part to high oil prices, weak consumer spending due to cost-of-living increases, and uncertainty around Kimberly-Clark's Kenvue acquisition (expected to close in the second half of 2026) give short-term-minded investors multiple excuses to sell the stock. Long-term investors who believe in the staying power of Kimberly Clark's top brands -- like Huggies, Kleenex, and Scott -- as well as the brands it will get from its acquisition of Kenvue -- like Neutrogena, Aveeno, Listerine, Band-Aid, and Tylenol -- are getting a phenomenal opportunity to scoop up shares of Kimberly-Clark on sale.Read NextApr 6, 2026 •By Lyle DalyThe Largest Healthcare Companies by Market Cap in April 2026Mar 25, 2026 •By Parkev Tatevosian, CFA1 Ridiculously Cheap Dividend Stock Investors Can Buy NowMar 17, 2026 •By Jason HallDividend Kings of 2026Apr 15, 2026 •By Neil PatelAfter the Sell-Off, Is Buying Nike a Smart Move or a Missed Boat?Apr 15, 2026 •By Keith NoonanHere's Everything Disney Investors Need to Know About the Entertainment Giant's Massive Investment in Epic GamesApr 15, 2026 •By James HalleyThis Magnificent Energy Stock Is Down 20%.

Buy It Before It Sets a New All-Time High.About the AuthorDaniel Foelber is a contributing Motley Fool stock market analyst with extensive experience covering the broader stock market and publicly traded companies across energy, industrials, utilities, materials, technology, communications, consumer discretionary, consumer staples, and financial stocks. Daniel looks for industry leaders offering compelling growth, value, or dividends to generate passive income. He has also written for energy trade publications and helped build oil and gas training modules. He holds a bachelor’s degree in finance and a certificate in personal financial planning from the University of Houston. He believes the best investors are those who focus on fundamentals, remain steady through volatility, and filter out market noise.TMFpalomino2Stocks MentionedKimberly-ClarkNASDAQ: KMB$97.16(+0.58%)+$0.56S&P 500 IndexSNPINDEX: ^GSPC$6,967.38(+1.18%)+$81.14KenvueNYSE: KVUE$17.38(+0.69%)+$0.12*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.