This 4.5%-Yielding Dividend Stock Is Beating the S&P 500 and the Nasdaq. 3 Reasons That Can Continue in the Second Half of 2026

Kimberly-Clark is outperforming the S&P 500 and Nasdaq in 2026 with a 4.5% dividend yield and 54 consecutive years of dividend increases. The company trades at a discount valuation (15.2x 2026 earnings vs. 21.9x historical median) and is acquiring Kenvue to diversify revenue streams and unlock $2.1 billion in annual synergies. However, risks include execution challenges from the acquisition and potential dividend sustainability concerns.