Kimberly-Clark Corporation (KMB) Has "An Amazon Problem," Says Jim Cramer

We recently published Jim Cramer Discussed These 10 Stocks & AI-Led Job Growth. Kimberly-Clark Corporation (NYSE:KMB) is one of the stocks Jim Cramer recently discussed.

Kimberly-Clark Corporation (NYSE:KMB) is an American personal care products company. Its shares have lost 2.8% year-to-date, and Cramer has discussed the firm several times during his morning show. The CNBC TV host believes that Kimberly-Clark Corporation (NYSE:KMB) is operating under strong leadership but has advised viewers to wait before buying the stock. Cramer’s hesitance is due to the broader weakness in the retail sector. This time, he discussed Kimberly-Clark Corporation (NYSE:KMB) in the context of competition from Amazon:

“All those guys have an Amazon problem. Kimberly, you have to have a strategy for Amazon. You just can’t let them be in charge. But right now Amazon is in charge. And I think that’s what the episode of four days, the big takeaway is alright, there’s a boss in town. And you better figure out how to work with them. And whether you’re Proctor or Coca-Cola, doesn’t matter. You have to have a strategy, they’re too big.”

Previously, Cramer discussed the firm’s decision to reduce its exposure to Kleenex:

“Then there’s Kimberly-Clark. Today, it took decisive action to cut its exposure in one of the most difficult businesses, its global Kleenex and tissue division, by selling 51% of the business to the Brazilian supplier, Suzano, for $1.73 billion. I like this. Kimberly-Clark gets out of a cyclical business that has not great margins and its far more proprietary business, especially diapers, get to shine.

I thought it was one more attempt by the gutsy CEO, Michael Hsu, to reinvent this company as a consistent grower, much more like Procter & Gamble. I figured the stock could rally a couple of bucks from the news. It was that creative of a deal. Nah, the stock got crushed. It is down more than 2%, crazy town.”

While we acknowledge the potential of KMB as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.