Kimberly-Clark Corp. KMB, -1.15% was downgraded to sell from hold at CFRA Research after concerns that a declining U.S. birth rate in 2021 could impact the business.CFRA lowered its price target to $150 from $156.
Read: More than half of working mothers say their job performance has slipped during the pandemic — and they’re the lucky ones The group also suggests that the pandemic is increasing the amount of stress on families, which will stop them from having additional children. And time spent at home is keeping new prospective couples from meeting.“The extended nature of this crisis also is likely to create large structural changes in the economy; a sizable share of the jobs lost will be permanent,” the report said.
“More specifically, we expect some of the net benefit from COVID dynamics, including higher consumer demand, to reverse. In addition, commodity costs are rising globally, and we’re also reflecting our latest view on economic conditions and birth-rate trends.”