News / US / cnbc
Jim Cramer Adds Kimberly-Clark and CVS Health to Investing Club Watchlist
Consumer Non-Durables · Household/Personal Care · cnbc · 2026-09-01
KMB, CVS, PG, PANW, @CL26V, DELL, KVUE, BF.B, LLY, CAH, JNJ, XLV, CRWD, XLP
The CNBC Investing Club is eyeing Kimberly-Clark and CVS Health as defensive additions to its portfolio amid broader market volatility and rising yields.
What Happened
Strategic Portfolio Additions: The CNBC Investing Club is expanding its defensive watchlist by adding Kimberly-Clark and CVS Health to its bullpen. These selections are driven by a need for stable, undervalued assets with attractive dividend yields as the portfolio maintains a significant cash position.
Kimberly-Clark Investment Thesis: Kimberly-Clark is favored for its solid 4.77% dividend yield and its potential growth catalyst involving the acquisition of Kenvue. The club views the company as a strong consumer staple alternative to Procter & Gamble, trading at a reasonable valuation of 14 times earnings.
CVS Health Operational Outlook: CVS Health has gained attention due to improved operational discipline under CEO David Joyner and market share gains following the exit of competitors like Rite Aid. Despite recent stock price pressure linked to conservative 2027 earnings guidance, the club sees value in the company's current 2.75% yield and 11 times earnings valuation.
Broader Market Context: The decision to pivot toward defensive names comes as rising oil prices and Treasury yields create headwinds for the broader equity market. The club continues to monitor upcoming earnings reports from technology firms like Palo Alto Networks and Dell Technologies to gauge the health of the AI server sector.