Have you assessed how the international operations of RPM International (RPM - Free Report) performed in the quarter ended August 2026? For this specialty chemicals company, possessing an expansive global footprint, parsing the trends of international revenues could be critical to gauge its financial resilience and growth prospects.
In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.
Participation in global economies acts as a defense against economic difficulties at home and a pathway to more rapidly developing economies. However, it also comes with the complexities of dealing with fluctuating currencies, geopolitical risks and different market dynamics.
Our review of RPM's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.
The company's total revenue for the quarter amounted to $2.22 billion, marking an increase of 4.8% from the year-ago quarter. We will next turn our attention to dissecting RPM's international revenue to get a clearer picture of how significant its operations are outside its main base.
Decoding RPM's International Revenue TrendsCanada generated $150.16 million in revenues for the company in the last quarter, constituting 6.8% of the total. This represented a surprise of +4% compared to the $144.38 million projected by Wall Street analysts. Comparatively, in the previous quarter, Canada accounted for $146.32 million (6.6%), and in the year-ago quarter, it contributed $148.82 million (7%) to the total revenue.
Other Foreign accounted for 1.7% of the company's total revenue during the quarter, translating to $38.06 million. Revenues from this region represented a surprise of +9.39%, with Wall Street analysts collectively expecting $34.79 million. When compared to the preceding quarter and the same quarter in the previous year, Other Foreign contributed $30.34 million (1.4%) and $30.01 million (1.4%) to the total revenue, respectively.
Of the total revenue, $54.57 million came from Asia Pacific during the last fiscal quarter, accounting for 2.5%. This represented a surprise of +7.32% as analysts had expected the region to contribute $50.85 million to the total revenue. In comparison, the region contributed $52.83 million, or 2.4%, and $39.43 million, or 1.9%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, Latin America contributed $87.28 million in revenue, making up 3.9% of the total revenue. When compared to the consensus estimate of $86.6 million, this meant a surprise of +0.78%. Looking back, Latin America contributed $86.24 million, or 3.9%, in the previous quarter, and $70.92 million, or 3.4%, in the same quarter of the previous year.
During the quarter, Europe contributed $330.67 million in revenue, making up 14.9% of the total revenue. When compared to the consensus estimate of $346.41 million, this meant a surprise of -4.55%. Looking back, Europe contributed $336.28 million, or 15.1%, in the previous quarter, and $312.36 million, or 14.8%, in the same quarter of the previous year.
Revenue Projections for Overseas MarketsWall Street analysts expect RPM International to report a total revenue of $2.01 billion in the current fiscal quarter, which suggests an increase of 5% from the prior-year quarter. Revenue shares from Canada, Other Foreign, Asia Pacific, Latin America and Europe are predicted to be 6.4%, 1.6%, 2.4%, 4.1%, and 15.9%, corresponding to amounts of $128.29 million, $32.4 million, $48.48 million, $81.6 million, and $319.14 million, respectively.
For the full year, the company is expected to generate $8.25 billion in total revenue, up 4.9% from the previous year. Revenues from Canada, Other Foreign, Asia Pacific, Latin America and Europe are expected to constitute 6.4% ($530.32 million), 1.6% ($130.06 million)2.4% ($196.51 million)4% ($329.96 million) and 15.8% ($1.3 billion) of the total, respectively.
Final ThoughtsRelying on international markets for revenues, RPM International faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.
In an era of growing international ties and escalating geopolitical disputes, financial analysts on Wall Street pay keen attention to these developments to fine-tune their earnings estimations for businesses operating across borders. It's important to note, however, that a range of additional variables, like a company's local market status, also play a crucial role in shaping these forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short-term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
The Zacks Rank, our proprietary stock rating mechanism, demonstrates a notable performance history confirmed through external audits. It effectively utilizes the power of earnings estimate revisions to act as a predictor of a stock's price performance in the near term.
At present, RPM International holds a Zacks Rank #4 (Sell). This ranking implies that its near-term performance might underperform the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Reviewing RPM International's Recent Stock Price TrendsOver the past month, the stock has seen a decline of 2.5% in its value, whereas the Zacks S&P 500 composite has posted an increase of 2.4%. The Zacks Basic Materials sector, RPM International's industry group, has descended 7.9% over the identical span. In the past three months, there's been a decline of 7% in the company's stock price, against a rise of 3.9% in the S&P 500 index. The broader sector has increased by 4.7% during this interval.
RPM International (NYSE:RPM) shareholders elected 12 directors, approved executive compensation on an advisory basis and ratified Deloitte & Touche LLP as the company’s independent registered public accounting firm for fiscal 2027 at the company’s 2026 annual meeting.
Approximately 114 million shares, or about 89% of outstanding shares, were represented by proxy at the meeting. The 12 director nominees received support from an average of about 98% of shares voting, according to a preliminary proxy tabulation. Shareholders also approved the company’s Say-on-Pay proposal with approximately 93% of voting shares in favor, while Deloitte’s appointment was supported by approximately 99% of shares voting.
Record Fiscal 2026 Results Chairman and Chief Executive Officer Frank Sullivan said fiscal 2026 produced record results despite what he described as volatility in the company’s markets. RPM reported fiscal-year revenue of $7.9 billion, while adjusted EBIT rose 4.4% to a record $1.019 billion. Adjusted diluted earnings per share increased 4.3% to a record $5.53. Cash provided by operating activities rose 17% to $899 million, Sullivan said, representing the company’s second-highest annual operating cash flow.
North America accounted for 77% of the company’s fiscal 2026 revenue, while Europe represented 15%. Sales in Southern Hemisphere and developing markets totaled nearly $600 million, or 8% of consolidated revenue, up from less than 5% several years ago, according to Sullivan.
RPM said it continues to invest in expansion through acquisitions and manufacturing capacity. The company completed the acquisition of Kalzip, a Germany-based producer of specialty aluminum and metal roofing, during the summer. Sullivan said the business complements Tremco Roofing’s North American operations and that RPM intends to bring Kalzip technology to the U.S. market.
He also highlighted the prior-year acquisition of Ready Seal by RPM’s Rust-Oleum subsidiary, saying distribution of its wood stain and protective products has continued to expand across North America. In addition, RPM plans to open a manufacturing facility in Mumbai, India, this year, following the opening of a facility in Malaysia during the past year.
Efficiency Programs and Fiscal 2027 Outlook RPM’s operating-improvement initiatives, launched in 2018, remain in place. Sullivan said the company’s focus on selling, general and administrative expense efficiencies is expected to deliver $75 million of improvements in fiscal 2027.
The company’s Green Belt programs have delivered more than $50 million during its MAP periods, with an additional $25 million of projects in the pipeline, he said. RPM is expanding those improvement efforts into other functional areas.
RPM plans to hold an investor day in Maple Shade, New Jersey, on Nov. 9 to discuss a new long-term strategic plan extending through 2030.
For the first quarter of fiscal 2027, which ended in August, Sullivan said sales rose 4.8% to an all-time record. Adjusted EBITDA increased 4.5% to a record level, while diluted earnings per share grew 5.3% to $1.98. The company expects another record year for sales and earnings in fiscal 2027.
Dividend Raised for 53rd Consecutive Year RPM’s board voted to increase the annual cash dividend to $2.28 per share, or $0.57 quarterly. The increase represents a 5.6% rise from the prior dividend and marks the company’s 53rd consecutive annual dividend increase.
Sullivan said the company is among fewer than 40 of more than 5,000 U.S. public companies that have increased their cash dividends for at least as long.
Waterproofing and Data Center Opportunities During the shareholder question-and-answer session, RPM discussed its Volteco acquisition. The Italy-based waterproofing company operates throughout Europe and its products have been used in Venice, Sullivan said. Tremco had been Volteco’s sole U.S. distributor during the past several years.
RPM sees an opportunity to expand Volteco’s below-grade waterproofing systems in U.S. construction markets through Tremco and believes it can double the size of the business by continuing growth in Europe and introducing its product lines more broadly in the U.S.
Sullivan also said RPM’s Euclid Chemical, Tremco, Carboline and Stonhard businesses are on track to supply more than $100 million on an annualized basis of products to data centers being built globally. He said the company expects data centers to remain a growth area in coming years.
Board Changes Newly elected directors Jeffrey D. Rowe and Thomas C. Gentile III joined the board. Rowe is executive vice president and chief operating officer of Archer-Daniels-Midland Co. and formerly served as chief executive officer of Saint-Gobain Group. Gentile is chairman, president and chief executive officer of Hexcel Corp. and previously served as president and CEO of Spirit AeroSystems.
RPM also recognized the retirements of directors Bruce A. Carbonari and William B. Summers Jr. Carbonari joined the board in 2002, while Summers joined in 2004. Sullivan said that during their tenures, RPM’s annual sales rose from $1.9 billion to $7.9 billion, quarterly dividends increased by more than 330%, and market capitalization grew from roughly $2 billion to $14 billion.
About RPM International (NYSE:RPM) RPM International Inc is a multinational manufacturer of specialty coatings, sealants, building materials and related products. The company serves the construction, industrial, automotive, marine and consumer markets through a portfolio of businesses that develop products for protecting, repairing, maintaining and enhancing surfaces and structures.
Its brands and businesses include Rust-Oleum consumer and industrial coatings, DAP caulks and sealants, Tremco and Euclid Chemical construction products, Carboline protective coatings, Stonhard seamless flooring systems and Flowcrete flooring products.
RPM International’s Dividend King Status Just Got StrongerRPM International NYSE: RPM shareholders elected 12 directors, approved executive compensation on an advisory basis and ratified Deloitte & Touche LLP as the company’s independent registered public accounting firm for fiscal 2027 at the company’s 2026 annual meeting.
Approximately 114 million shares, or about 89% of outstanding shares, were represented by proxy at the meeting. The 12 director nominees received support from an average of about 98% of shares voting, according to a preliminary proxy tabulation. Shareholders also approved the company’s Say-on-Pay proposal with approximately 93% of voting shares in favor, while Deloitte’s appointment was supported by approximately 99% of shares voting.
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Record Fiscal 2026 Results RPM International's Blowout Quarter Sparks a 15% Rally Chairman and Chief Executive Officer Frank Sullivan said fiscal 2026 produced record results despite what he described as volatility in the company’s markets. RPM reported fiscal-year revenue of $7.9 billion, while adjusted EBIT rose 4.4% to a record $1.019 billion. Adjusted diluted earnings per share increased 4.3% to a record $5.53.
Cash provided by operating activities rose 17% to $899 million, Sullivan said, representing the company’s second-highest annual operating cash flow.
RPM International Thrives in Rate-Cut Driven Construction RallyNorth America accounted for 77% of the company’s fiscal 2026 revenue, while Europe represented 15%. Sales in Southern Hemisphere and developing markets totaled nearly $600 million, or 8% of consolidated revenue, up from less than 5% several years ago, according to Sullivan.
RPM said it continues to invest in expansion through acquisitions and manufacturing capacity. The company completed the acquisition of Kalzip, a Germany-based producer of specialty aluminum and metal roofing, during the summer. Sullivan said the business complements Tremco Roofing’s North American operations and that RPM intends to bring Kalzip technology to the U.S. market.
He also highlighted the prior-year acquisition of Ready Seal by RPM’s Rust-Oleum subsidiary, saying distribution of its wood stain and protective products has continued to expand across North America. In addition, RPM plans to open a manufacturing facility in Mumbai, India, this year, following the opening of a facility in Malaysia during the past year.
Efficiency Programs and Fiscal 2027 Outlook RPM’s operating-improvement initiatives, launched in 2018, remain in place. Sullivan said the company’s focus on selling, general and administrative expense efficiencies is expected to deliver $75 million of improvements in fiscal 2027.
The company’s Green Belt programs have delivered more than $50 million during its MAP periods, with an additional $25 million of projects in the pipeline, he said. RPM is expanding those improvement efforts into other functional areas.
RPM plans to hold an investor day in Maple Shade, New Jersey, on Nov. 9 to discuss a new long-term strategic plan extending through 2030.
For the first quarter of fiscal 2027, which ended in August, Sullivan said sales rose 4.8% to an all-time record. Adjusted EBITDA increased 4.5% to a record level, while diluted earnings per share grew 5.3% to $1.98. The company expects another record year for sales and earnings in fiscal 2027.
Dividend Raised for 53rd Consecutive Year RPM’s board voted to increase the annual cash dividend to $2.28 per share, or $0.57 quarterly. The increase represents a 5.6% rise from the prior dividend and marks the company’s 53rd consecutive annual dividend increase.
Sullivan said the company is among fewer than 40 of more than 5,000 U.S. public companies that have increased their cash dividends for at least as long.
Waterproofing and Data Center Opportunities During the shareholder question-and-answer session, RPM discussed its Volteco acquisition. The Italy-based waterproofing company operates throughout Europe and its products have been used in Venice, Sullivan said. Tremco had been Volteco’s sole U.S. distributor during the past several years.
RPM sees an opportunity to expand Volteco’s below-grade waterproofing systems in U.S. construction markets through Tremco and believes it can double the size of the business by continuing growth in Europe and introducing its product lines more broadly in the U.S.
Sullivan also said RPM’s Euclid Chemical, Tremco, Carboline and Stonhard businesses are on track to supply more than $100 million on an annualized basis of products to data centers being built globally. He said the company expects data centers to remain a growth area in coming years.
Board Changes Newly elected directors Jeffrey D. Rowe and Thomas C. Gentile III joined the board. Rowe is executive vice president and chief operating officer of Archer-Daniels-Midland Co. and formerly served as chief executive officer of Saint-Gobain Group. Gentile is chairman, president and chief executive officer of Hexcel Corp. and previously served as president and CEO of Spirit AeroSystems.
RPM also recognized the retirements of directors Bruce A. Carbonari and William B. Summers Jr. Carbonari joined the board in 2002, while Summers joined in 2004. Sullivan said that during their tenures, RPM’s annual sales rose from $1.9 billion to $7.9 billion, quarterly dividends increased by more than 330%, and market capitalization grew from roughly $2 billion to $14 billion.
About RPM International (NYSE:RPM)RPM International Inc is a multinational manufacturer of specialty coatings, sealants, building materials and related products. The company serves the construction, industrial, automotive, marine and consumer markets through a portfolio of businesses that develop products for protecting, repairing, maintaining and enhancing surfaces and structures.
Its brands and businesses include Rust-Oleum consumer and industrial coatings, DAP caulks and sealants, Tremco and Euclid Chemical construction products, Carboline protective coatings, Stonhard seamless flooring systems and Flowcrete flooring products.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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While macroeconomic headwinds persist and affect activity across industries, RPM International quietly grows, sets new records, and drives robust cash flows.
RPM International Inc. (RPM) Q1 2027 Earnings Call October 6, 2026 10:00 AM EDT
Company Participants
Matthew Schlarb - Vice President of Investor Relations & Sustainability
Frank Sullivan - Chairman & CEO
Michael Laroche - VP, Controller & Chief Accounting Officer
Russell Gordon - VP & CFO
Conference Call Participants
John Ezekiel Roberts - Mizuho Securities USA LLC, Research Division
John McNulty - BMO Capital Markets Equity Research
David Begleiter - Deutsche Bank AG, Research Division
Hakim Sanfo - BofA Securities, Research Division
Alexander Yi
Ghansham Panjabi - Robert W. Baird & Co. Incorporated, Research Division
Frank Mitsch - Fermium Research, LLC
Joshua Spector - UBS Investment Bank, Research Division
Abigail Eberts - Wells Fargo Securities, LLC, Research Division
Michael Harrison - Seaport Research Partners
Salvator Tiano
Kevin McCarthy - Vertical Research Partners, LLC
Arun Viswanathan - RBC Capital Markets, Research Division
Jeffrey Zekauskas - JPMorgan Chase & Co, Research Division
Vincent Andrews - Morgan Stanley, Research Division
Eric Boyes - Evercore ISI Institutional Equities, Research Division
Presentation
Operator
Good morning, and welcome to the RPM International Fiscal 2027 First Quarter Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the call over to Matt Schlarb, Vice President of Investor Relations and Sustainability. Please go ahead.
Matthew Schlarb
Vice President of Investor Relations & Sustainability
Thank you, Gary, and welcome to RPM International's conference call for the fiscal 2027 First Quarter. Today's call is being recorded. Joining today's call are Frank Sullivan, RPM's Chair and CEO; Rusty Gordon, Vice President and Chief Financial Officer; Michael Laroche, Vice President, Controller and Chief Accounting Officer. This call is also being webcast and can be accessed live or replayed on the RPM website at www.rpminc.com. Comments made on this call include forward-looking statements based on current expectations that involve risks and uncertainties, which could cause actual results to be materially different. For more information on these risks and uncertainties, please review RPM's report filed with
RPM International's Blowout Quarter Sparks a 15% Rally RPM International NYSE: RPM reported record first-quarter sales, adjusted EBITDA and adjusted earnings per share for fiscal 2027, as growth in its Performance Coatings and Consumer segments offset temporary weakness in Construction Products.
Adjusted diluted EPS rose 5.3% year over year to a first-quarter record of $1.98, according to Vice President, Controller and Chief Accounting Officer Michael Laroche. The company said higher sales and benefits from its MAP operational improvement program, including SG&A optimization, more than offset raw-material inflation, warranty costs and bad-debt expense.
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RPM International Thrives in Rate-Cut Driven Construction RallyChairman and CEO Frank Sullivan said the results reflected the company’s “balanced business model” amid sluggish end markets and operating headwinds. Gross margin declined 100 basis points because the rate of raw-material inflation exceeded pricing and MAP benefits, but RPM held its adjusted EBITDA margin consistent with the prior-year quarter by reducing SG&A as a percentage of sales.
Segment performance diverged Construction Products Group sales increased due to the Kalzip acquisition, but organic sales declined as education and healthcare markets slowed. Those two markets account for more than one-quarter of the segment’s end-market exposure, Laroche said. The segment also faced finished-product shortages stemming from supplier constraints involving polyurethane raw materials.
RPM International Pulls Back Critical Levels; Is It Time To Buy?Construction Products adjusted EBITDA declined as reduced volume hurt fixed-cost absorption, while inflation, bad debt and warranty costs added pressure. Sullivan said the polyurethane supply shortage has been resolved from a production standpoint, although RPM is still rebuilding inventory in the second quarter and working through delayed projects.
The company expects Construction Products to improve sequentially in the second quarter and return to positive organic growth later in the fiscal year. However, Sullivan said the recovery in its roofing-related businesses will be weighted toward spring because of the seasonal nature of roofing work.
Performance Coatings Group posted record results, supported by broad-based demand for engineered solutions used in high-performance buildings, energy and infrastructure projects. Food coatings and ingredients also contributed. The segment’s adjusted EBITDA and adjusted EBITDA margin reached records as stronger fixed-cost utilization and SG&A actions offset inflation.
Consumer Group sales also reached a record, including 5.2% organic growth. RPM cited shelf-space gains, new products and pricing, as well as improved results for The Pink Stuff cleaning brand. The company also pointed to gains in abrasives, primers, retail automotive and Ready Seal exterior wood stains. Consumer adjusted EBITDA and margin increased as higher volume improved fixed-cost absorption.
Sullivan said underlying consumer conditions remain challenging, citing sluggish retail traffic, weak housing turnover and higher interest rates. Still, he said RPM generated positive unit-volume growth in Consumer through market-share gains, new placements and product initiatives.
Inflation outlook rises, guidance narrows Chief Financial Officer Rusty Gordon said raw-material inflation expectations have increased since the company’s July earnings call. RPM now expects second-quarter inflation of 9% to 11%, compared with its previous estimate of 6% to 8%. Third-quarter inflation is expected to be 7% to 9%.
Higher polyurethane feedstock costs, sustained increases in oil and commodity prices, and elevated freight costs contributed to the revised outlook. RPM has implemented additional price increases across all segments and freight surcharges in some businesses. Sullivan said the company covered inflation on a dollar basis in the first quarter and expects to do “a little bit better” in the second quarter, although gross-margin pressure is expected for the year.
For the fiscal second quarter, RPM expects consolidated sales and adjusted EBITDA to increase in the low- to mid-single-digit range. Segment sales are projected to rise in the low-single digits for Construction Products, mid- to high-single digits for Performance Coatings, and low- to mid-single digits for Consumer.
RPM narrowed its full-year fiscal 2027 outlook to mid-single-digit sales growth, from a previous range of 3% to 7%. It now expects adjusted EBITDA growth in the mid-single digits, versus prior guidance for an increase of 5% to 10%.
The company said MAP benefits, including $75 million in previously announced SG&A-focused savings, and incremental pricing are expected to offset persistent inflation. However, the outlook also incorporates startup costs at new shared facilities and more difficult comparisons in the second half.
Cash flow, acquisitions and emerging markets RPM said it generated strong cash flow from improved profitability and working-capital efficiency. Working capital improved by 150 basis points from the prior year. The company returned $90.5 million to shareholders through dividends and repurchases, up 10.2% year over year, while total debt declined by $263 million.
The company completed the acquisition of Volteco in early October. Volteco, an Italy-based supplier of below-grade waterproofing solutions, generated calendar 2025 sales of €28 million and joined the Construction Products Group.
Emerging-market revenue grew more than 20%, driven by demand for engineered solutions for high-performance buildings and infrastructure. Sullivan said the company’s Platform Group structure, which coordinates operations across Africa, the Middle East, Asia-Pacific and now South America, has helped accelerate growth. He said the Southern Hemisphere developing world represented 8% of first-quarter consolidated sales, up from slightly less than 5% about five years ago.
RPM plans to provide further details on MAP 2030, operational initiatives and longer-term financial goals at its Investor Day on Nov. 9 in Maple Shade, New Jersey.
About RPM International (NYSE:RPM)RPM International Inc is a multinational manufacturer of specialty coatings, sealants, building materials and related products. The company serves the construction, industrial, automotive, marine and consumer markets through a portfolio of businesses that develop products for protecting, repairing, maintaining and enhancing surfaces and structures.
Its brands and businesses include Rust-Oleum consumer and industrial coatings, DAP caulks and sealants, Tremco and Euclid Chemical construction products, Carboline protective coatings, Stonhard seamless flooring systems and Flowcrete flooring products.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Should You Invest $1,000 in RPM International Right Now?Before you consider RPM International, you'll want to hear this.
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What happened RPM International Inc. (NYSE: RPM) said fiscal 2027 first-quarter sales rose 4.8% to $2.22 billion, a record for the period. Net income was $256.4 million and diluted EPS was $2.01. Adjusted diluted EPS was a record $1.98, and adjusted EBITDA was a record $405.5 million.
The company said it moved certain Latin America businesses into Performance Coatings Group on June 1, 2026. Results now reflect that structure for current and prior periods. RPM also said it acquired Volteco, an Italy-based supplier of below-grade waterproofing solutions, for Construction Products Group.
Key numbers Metric Latest Change Source First-quarter sales $2.22 billion from $2.11 billion, +4.8% SEC 8-K Net income $256.4 million from $227.6 million, +12.6% SEC 8-K Diluted EPS $2.01 from $1.77, +13.6% SEC 8-K Adjusted diluted EPS $1.98 from $1.88, +5.3% SEC 8-K Adjusted EBITDA $405.5 million from $388.0 million, +4.5% SEC 8-K Cash provided by operating activities $263.9 million from $237.5 million, +11.1% SEC 8-K Read more: RPM International (RPM) stock analysis and investment case Why it matters OptimistFi's case is that RPM's niche formulations and repair and maintenance exposure can keep pricing and cash conversion ahead of construction and raw-material cycles. This quarter supports that view. Operating cash flow improved by $26.4 million to $263.9 million, and the company returned $90.5 million to stockholders through dividends and share repurchases.
Total debt fell to $2.41 billion from $2.67 billion a year ago, while total liquidity rose to $1.21 billion from $933.4 million. Performance Coatings Group sales rose 10.2% to $629.7 million and Consumer Group sales rose 5.3% to $726.7 million. Both gained from pricing and higher volumes.
The weak spot was Construction Products Group. Sales rose only 0.8% and adjusted EBITDA fell 9.7%. The company also cited raw-material inflation, a $4.4 million bad-debt expense tied to a customer bankruptcy, and a $6.3 million warranty charge at a small European business under review for closure.
Full-year guidance still calls for sales and adjusted EBITDA to increase in the mid-single-digit range, after prior outlooks of 3% to 7% sales growth and 5% to 10% adjusted EBITDA growth.
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What's next RPM said it will hold an investor day on November 9, 2026, at its Stonhard facility in New Jersey. The presentation will be provided before the event, and a public webcast will start at about 12:00 p.m. ET.
The second-quarter outlook calls for sales and adjusted EBITDA to increase in the low- to mid-single-digit range. A stronger case would show that range holding while CPG improves. A weaker read would be another soft quarter in Construction Products Group.
More from OptimistFi RPM stock: the RPM International thesis, its status and the next test to watch United States Brent Oil Fund, LP (NYSE Arca: BNO) Tracks a Supply Gap Alpha Teknova, Inc. (NASDAQ: TKNO) Adds Regulatory Support for PluriFreeze Meta Platforms, Inc. (NASDAQ: META) Has a Conditional $18 Billion Bill Stock research on every company OptimistFi covers Latest stock research and investment-case updates OptimistFi: evidence-first equity research Sources SEC 8-K earnings release — RPM Reports Record Fiscal 2027 First-Quarter Results. SEC filing Read the full OptimistFi thesis on RPM International Inc.: https://optimistfi.com/stocks/RPM
See what would break the RPM International Inc. thesis and track it live on the OptimistFi Thesis-Break Engine.
Browse every company OptimistFi covers at optimistfi.com/stocks, or read the latest evidence-first research.
The full RPM International Inc. investment case, its status and the next test to watch live on the RPM International Inc. thesis page.
Originally published on OptimistFi, evidence-first equity research. More at optimistfi.com.
RPM International (RPM - Free Report) reported $2.22 billion in revenue for the quarter ended August 2026, representing a year-over-year increase of 4.8%. EPS of $1.98 for the same period compares to $1.88 a year ago.
The reported revenue represents a surprise of -0.1% over the Zacks Consensus Estimate of $2.22 billion. With the consensus EPS estimate being $1.95, the EPS surprise was +1.54%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how RPM International performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net Sales- Construction Products Group/ CPG: $859.21 million compared to the $936.32 million average estimate based on five analysts. The reported number represents a change of -2.5% year over year.Net Sales- Consumer Segment: $726.73 million compared to the $720.01 million average estimate based on five analysts. The reported number represents a change of +4.7% year over year.Net Sales- Performance Coatings Group/ PCG: $629.65 million versus the five-analyst average estimate of $559.84 million. The reported number represents a year-over-year change of +16.9%.Adjusted EBIT- Construction Products Group/ CPG: $146.6 million compared to the $179.16 million average estimate based on five analysts.Adjusted EBIT- Corporate/Other: $-29.23 million versus $-42.71 million estimated by five analysts on average.Adjusted EBIT- Consumer Segment: $127.47 million versus $122.04 million estimated by five analysts on average.Adjusted EBIT- Performance Coatings Group/ PCG: $107.9 million compared to the $90.17 million average estimate based on five analysts.View all Key Company Metrics for RPM International here>>>
Shares of RPM International have returned -9.7% over the past month versus the Zacks S&P 500 composite's +0.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
RPM International (NYSE:RPM – Get Free Report) posted its quarterly earnings results on Tuesday. The specialty chemicals company reported $1.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.95 by $0.03, FiscalAI reports. The firm had revenue of $2.22 billion during the quarter, compared to analyst estimates of $2.22 billion. RPM International had a return on equity of 22.45% and a net margin of 8.41%.
RPM International Stock Down 4.1% Shares of NYSE:RPM opened at $95.17 on Tuesday. RPM International has a 1 year low of $92.92 and a 1 year high of $121.78. The business has a 50 day simple moving average of $105.77 and a two-hundred day simple moving average of $104.60. The firm has a market capitalization of $12.14 billion, a PE ratio of 18.44, a price-to-earnings-growth ratio of 2.03 and a beta of 1.05. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.68 and a quick ratio of 1.16.
Analyst Ratings Changes RPM has been the topic of a number of research analyst reports. Bank of America boosted their price target on RPM International from $129.00 to $130.00 and gave the stock a “buy” rating in a report on Thursday, July 23rd. Weiss Ratings reissued a “hold (c)” rating on shares of RPM International in a report on Friday, July 24th. KeyCorp assumed coverage on shares of RPM International in a research note on Friday, September 11th. They set an “overweight” rating and a $123.00 price target on the stock. Wall Street Zen cut shares of RPM International from a “buy” rating to a “hold” rating in a research note on Saturday, August 22nd. Finally, BMO Capital Markets upped their target price on shares of RPM International from $143.00 to $151.00 and gave the company an “outperform” rating in a research report on Thursday, July 23rd. Twelve research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, RPM International has an average rating of “Moderate Buy” and a consensus target price of $125.85.
Read Our Latest Stock Report on RPM International RPM International Company Profile (Get Free Report)
RPM International Inc is a multinational manufacturer of specialty coatings, sealants, building materials and related products. The company serves the construction, industrial, automotive, marine and consumer markets through a portfolio of businesses that develop products for protecting, repairing, maintaining and enhancing surfaces and structures.
Its brands and businesses include Rust-Oleum consumer and industrial coatings, DAP caulks and sealants, Tremco and Euclid Chemical construction products, Carboline protective coatings, Stonhard seamless flooring systems and Flowcrete flooring products.
Further Reading Five stocks we like better than RPM International NVIDIA’s Record High Raises a Bigger Question About How Far the Rally Can Run A Manufacturing Surprise Could Be a Big Win for These 2 Companies What a $1 Billion Chip Deal Says About Amazon’s AI Ambitions 3 Stocks Benefiting From AI Demand Just Announced Major Buybacks
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RPM International (RPM - Free Report) came out with quarterly earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.95 per share. This compares to earnings of $1.88 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +1.54%. A quarter ago, it was expected that this specialty chemicals company would post earnings of $1.84 per share when it actually produced earnings of $1.89, delivering a surprise of +2.72%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
RPM International, which belongs to the Zacks Chemical - Specialty industry, posted revenues of $2.22 billion for the quarter ended August 2026, missing the Zacks Consensus Estimate by 0.1%. This compares to year-ago revenues of $2.11 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
RPM International shares have lost about 8.4% since the beginning of the year versus the S&P 500's gain of 13.6%.
What's Next for RPM International?While RPM International has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for RPM International was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.33 on $2.02 billion in revenues for the coming quarter and $5.96 on $8.25 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Chemical - Specialty is currently in the bottom 19% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Hawkins (HWKN - Free Report) , another stock in the same industry, has yet to report results for the quarter ended September 2026. The results are expected to be released on October 26.
This chemical maker is expected to post quarterly earnings of $1.22 per share in its upcoming report, which represents a year-over-year change of +13%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Hawkins' revenues are expected to be $302.7 million, up 7.9% from the year-ago quarter.
Key Takeaways RPM International expects consolidated sales to increase y/y in the mid-single-digit range.Construction, infrastructure, maintenance and restoration demand are supporting sales activity.SG&A reductions are expected to provide $25M in Q1 benefits, partly offset by higher costs. RPM International Inc. (RPM - Free Report) is slated to report first-quarter fiscal 2027 results on Oct. 6, before the opening bell.
In the last reported quarter, RPM’s adjusted earnings per share (EPS) topped the Zacks Consensus Estimate by 2.7% and increased 9.9% year over year. Meanwhile, net sales beat the consensus estimate by 2.1% and increased 7.2% year over year.
The company’s earnings topped analysts’ expectations in three of the trailing four quarters and missed on the remaining one occasion, with the average surprise being 10.6%.
How Are Estimates Placed for RPM Stock?The Zacks Consensus Estimate for the fiscal first quarter’s adjusted EPS has declined slightly in the past 30 days to $1.95 per share from $1.96. The revised estimated figure indicates 3.7% growth from the year-ago reported figure of $1.88.
The consensus mark for net sales is pegged at $2.22 billion, indicating 4.9% year-over-year growth.
Factors Likely to Shape RPM’s Q1 ResultsNet SalesRPM International’s fiscal first-quarter net sales are likely to have increased year over year, supported by demand from high-performance buildings, infrastructure projects, maintenance and restoration. The Consumer segment is also likely to have benefited from easier comparisons and signs of stabilization in DIY markets. The company’s system-selling approach and solid pipeline of construction projects are additional factors supporting sales activity.
The company expects consolidated sales to increase in the mid-single-digit range in the fiscal first quarter from the prior-year record results. By segment, Construction Products Group (“CPG”), Performance Coatings Group (“PCG”) and Consumer Group sales are each expected to increase in the mid-single-digit range.
Our model predicts fiscal first-quarter CPG sales (which contributed 40.5% to fourth-quarter fiscal 2026 net sales) to grow 6.5% year over year to $938.7 million. We expect net sales in the Consumer Group (34.3%) and PCG (25.2%) segments to increase 3.7% and 3.8% year over year, respectively.
RPM’s focus on high-performance buildings and infrastructure is likely to support demand, while resilient repair and maintenance activity should provide additional support. The company’s engineered system offerings also help it capture a larger share of project spending.
However, economic uncertainty is likely to limit demand visibility. DIY markets remain a challenge, particularly for Consumer. A temporary supplier issue affecting propylene oxide-derived raw materials is also expected to have some negative impact on fiscal first-quarter sales growth, although the company expects the situation to improve toward the end of the summer.
Margins & EarningsRPM’s fiscal first-quarter earnings are likely to benefit from SG&A-focused optimization actions and pricing implemented to offset higher raw material costs. The company expects its previously announced SG&A reductions to generate $25 million in benefits in the fiscal first quarter, partly offset by higher health care and benefit expenses.
At the same time, inflation is expected to pressure the gross margin. The company expects 5-6% in fiscal first-quarter raw material inflation, with pricing increases already implemented to offset the inflation on a dollar basis. Additional pricing is expected to help recover the gross margin percentage lost in the fiscal first quarter.
The company expects consolidated adjusted EBITDA to increase year over year in the mid-single-digit range. Our model predicts the metric to rise 5.3% to $410 million.
What Our Model Indicates for RPMOur proven model does not conclusively predict an earnings beat for RPM International this time around. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. This is not the case here, as you will see below.
Earnings ESP: The company’s earnings ESP is -1.64%. You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Zacks Rank: RPM currently carries a Zacks Rank of 4 (Sell).
Stocks With the Favorable CombinationsAccording to our model, the following companies in the broader Basic Materials sector possess the right combination of elements to post an earnings beat in the upcoming quarter.
Reliance, Inc. (RS - Free Report) currently has an Earnings ESP of +3.26% and a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Reliance reported better-than-expected earnings in two of the trailing four quarters and missed on the remaining two occasions, the average surprise being 3.2%. Earnings for Reliance’s to-be-reported quarter are expected to grow 85.4% year over year.
Air Products and Chemicals (APD - Free Report) currently has an Earnings ESP of +0.79% and a Zacks Rank of 2.
APD reported better-than-expected earnings in three of the trailing four quarters and missed on the remaining occasion, the average surprise being 2.9%. Earnings for APD’s to-be-reported quarter are expected to soar 6.2% year over year.
Agnico Eagle Mines (AEM - Free Report) has an Earnings ESP of +6.05% and it sports a Zacks Rank of 3 at present.
Agnico Eagle reported better-than-expected earnings in the trailing four quarters, the average surprise being 9.8%. Earnings for Agnico Eagle’s to-be-reported quarter are expected to surge 13.4% year over year.
A French industrials company wants to create “the industry’s most complete Software & AI powerhouse.” That’s Schneider Electric (SBGSY +3.65%), the company that sells the electrical gear that powers artificial intelligence (AI) data centers, factories, and grids. It is now buying the blueprints, having agreed to acquire PTC (PTC -1.67%) for $205 per share in cash in a deal valued at $23.7 billion. That’s a 42.3% premium to PTC's last closing price. Team Hidden Gems has recommended both PTC and Schneider Electric, and has a five-year price prediction of $137.80 for the latter.
Building a recurring, digital flywheel: Schneider already owns AVEVA, whose software helps operate and maintain industrial assets. PTC’s software also manages that engineering data. Schneider is trying to own more of the stack and boost the share of high-margin recurring revenue. The deal will lift software and services to an estimated 24% of Schneider's pro forma revenue. It could pause buyback in 2027 and 2028, but that’s a sensible price to pay for steadier recurring revenue.AI spills over into the physical economy: Schneider’s move signals a broader industry shift. The line between companies that build AI infrastructure and those that provide the software to run it is blurring. AI spending is creating a second wave of beneficiaries in industrial software, energy management, and automation. While this deal may not close before the third quarter of 2027, it signals where industrial companies see the next leg of growth.2. AI Task Force AssemblesMove over, AI. President Donald Trump has created a "Super Intelligence Force," or SIF, led by Director of National Intelligence Jay Clayton, to ensure the U.S. leads in AI. The task force will bring together intelligence, defense, regulators, infrastructure providers, and AI companies. It follows a Sept. 29 executive order telling agencies to replace "artificial intelligence" with "super intelligence." Elon Musk got the memo: SpaceX (SPCX +7.36%) will rename its AI unit SpaceXSI, he says.
The tug-of-war we’re all watching: Within 120 days, SIF must deliver a report on the technology’s risks and opportunities. The companies it will work with aren’t all on the same page, though. OpenAI CEO Sam Altman says the world should accept "some bad things happening" in exchange for broad access to AI, while Anthropic has pushed for tougher safeguards.AI spending could shift: That increasingly interesting debate matters because the eventual rules could decide who captures the next wave of growth. Either way, Washington’s move to put intelligence, defense, and industry under one AI umbrella signals AI’s growing importance as a strategic asset. Whoever gets paid to make AI increasingly usable, secure, and deployable at scale could take home the money.3. The Economy’s Next TestThe Nasdaq hit an intraday record Friday, but investors heading into the week will watch the bond market more than the scoreboard. The S&P 500 slipped 0.27% last week while the Nasdaq gained 0.45%. Monday's ISM Services report, a survey of service-sector companies, which is also the economy’s biggest sector, is the week’s first test. A strong reading could ease recession worries, revive rate hike talks, and support consumer-facing stocks. A weak reading would do the opposite, easing rate pressure but hurting higher-beta stocks, which swing more than the market.
Minutes with a message: Wednesday's Fed meeting minutes could show how divided policymakers are on the next rate move. Friday's University of Michigan consumer survey will show whether inflation expectations are rising. If consumers’ inflation expectations climb, the market could start pricing in a tougher Fed again.RPM's cost-squeeze test: In a thin earnings week, RPM International (RPM -0.03%) reports fiscal first-quarter earnings Tuesday. RPM is recommended in Dividend Investor, and in Stock Advisor by Team Rule Breakers. Here’s what to watch: Can price increases offset raw material inflation? Higher inflation or slower housing turnover delays home improvement and repainting projects. Tuesday's results will reveal whether RPM's operational efficiencies and pricing power can protect margins against a tough macro backdrop.4. Getting Schooled by Blue BirdTeam Hidden Gems
Team Hidden Gems has a 5-year price prediction of $84.32 for school bus maker Blue Bird (BLBD +1.67%), about 50% above today's $55.60. We've recommended the stock nine times since December 2024, with gains on our early buys and losses on our latest ones so far. Our April 2025 buy is up about 65%, and our May 2026 buy is down about 22%. Those losses haven't shaken our conviction, since few brands earn more trust from school districts than Blue Bird.
Plan B pays: Electric buses haven't sparked the upgrade cycle we expected. Tight school budgets struggle to cover their steep price, so electric models made up just 10% of Blue Bird's unit sales in its June 2026 quarter. Instead, many districts choose propane buses, which burn cleaner than diesel and cost much less than electric. Thanks to propane, more than half of the buses Blue Bird sold that quarter skipped diesel. Blue Bird gets paid whichever bus a district picks, so its growth can outpace the slow shift to electric.Bigger business, cheaper stock: In 2028, Blue Bird takes over Ford's (F -1.39%) commercial chassis line, the frames under motorhomes and delivery trucks. That deal reaches customers far beyond cash-strapped school districts. Today's price buys this bigger business for less than we paid in spring 2026.At about 12 times expected earnings, Blue Bird looks like the bargain we bought in April 2025.
5. Today’s Question!Do you love a brand so much that you’d hold its stock through a bad quarter?
Discuss with friends and family, or become a member to hear what your fellow Fools are saying!
The Motley Fool has positions in Blue Bird, PTC, and Schneider Electric. The Motley Fool has a disclosure policy. Pre-market price and change as of 5am Eastern, versus previous day’s futures settle price for indexes and previous pre-market price for Bitcoin.
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In its upcoming report, RPM International (RPM - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $1.95 per share, reflecting an increase of 3.7% compared to the same period last year. Revenues are forecasted to be $2.22 billion, representing a year-over-year increase of 4.9%.
The consensus EPS estimate for the quarter has been revised 0.5% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some RPM International metrics that are commonly tracked and projected by analysts on Wall Street.
The consensus among analysts is that 'Net Sales- Construction Products Group/ CPG' will reach $939.42 million. The estimate points to a change of +6.6% from the year-ago quarter.
Based on the collective assessment of analysts, 'Net Sales- Consumer Segment' should arrive at $717.65 million. The estimate points to a change of +3.4% from the year-ago quarter.
Analysts expect 'Net Sales- Performance Coatings Group/ PCG' to come in at $559.58 million. The estimate indicates a change of +3.9% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Adjusted EBIT- Consumer Segment' of $120.38 million. Compared to the present estimate, the company reported $119.85 million in the same quarter last year.
Analysts predict that the 'Adjusted EBIT- Performance Coatings Group/ PCG' will reach $90.13 million. The estimate is in contrast to the year-ago figure of $87.00 million.
The consensus estimate for 'Adjusted EBIT- Construction Products Group/ CPG' stands at $180.88 million. Compared to the current estimate, the company reported $169.12 million in the same quarter of the previous year.
View all Key Company Metrics for RPM International here>>>
Shares of RPM International have demonstrated returns of -4.4% over the past month compared to the Zacks S&P 500 composite's -0.4% change. With a Zacks Rank #4 (Sell), RPM is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
MEDINA, Ohio--(BUSINESS WIRE)--RPM International Inc. (NYSE:RPM) today announced that it has completed the previously communicated acquisition of Volteco S.p.A. (Volteco), an Italy-based leading supplier of below-grade waterproofing solutions, for its Tremco Construction Products Group (Tremco CPG). This strategic acquisition brings a unique and differentiated technology platform to Tremco CPG.
Headquartered in Ponzano Veneto, Italy, Volteco specializes in advanced waterproofing technology and is recognized for its Amphibia™ waterproofing sheet membrane. The company also produces a line of bagged powder goods for patch and repair applications, alongside flexible liquids, mortars, resins and damp-proofing materials. Volteco’s waterproofing solutions have been used in numerous high-profile projects, including the protection of historical landmarks in Venice, the Santa Giulia Ice Hockey Arena in Milan (a venue for the Milan Cortina 2026 Winter Olympic Games), the underground tunnel connecting the Abruzzo Regional Citadel to the L’Aquila bus terminal, and Y-40, the world’s deepest thermal pool.
Volteco generated calendar year 2025 net sales of approximately €28 million; terms of the transaction were not disclosed.
About Tremco Construction Products Group
Tremco Construction Products Group (Tremco CPG), part of the RPM International Inc. portfolio, unites industry-leading building envelope solutions manufacturers and trusted brands—including Tremco, Nudura, Dryvit, Willseal, Flowcrete, Nullifire and Vandex—to deliver comprehensive, integrated construction systems. With operations spanning North America, Europe, Asia-Pacific, India and Latin America, Tremco CPG has a global presence supported by regional businesses and distributors who understand local market needs. Tremco CPG solutions ensure long-lasting performance for commercial, industrial and residential projects worldwide, while international teams collaborate on training, testing and innovation to build high-performing structures in any geography or climate.
About RPM
RPM International Inc. owns subsidiaries that are world leaders in specialty coatings, sealants, building materials and related services. The company operates across three reportable segments: consumer, construction products and performance coatings. RPM has a diverse portfolio of market-leading brands, including Rust-Oleum, DAP, Zinsser, Varathane, The Pink Stuff, Stonhard, Carboline, Finish Works, Tremco, Euclid Chemical, Dryvit and Nudura. From homes and workplaces to infrastructure and precious landmarks, RPM’s brands are trusted by consumers and professionals alike to help build a better world. The company employs approximately 17,500 individuals worldwide. Visit www.RPMinc.com to learn more.
For more information, contact Matt Schlarb, Vice President – Investor Relations & Sustainability, at 330-220-6064 or [email protected].
Forward-Looking Statements
This press release includes forward-looking statements relating to our business. These forward-looking statements, or other statements made by us, are made based on our expectations and beliefs concerning future events impacting us and are subject to uncertainties and factors (including those specified below), which are difficult to predict and, in many instances, are beyond our control. As a result, our actual results could differ materially from those expressed in or implied by any such forward-looking statements. These uncertainties and factors include (a) global and regional markets and general economic conditions, including uncertainties surrounding the volatility in financial markets, the availability of capital and the viability of banks and other financial institutions; (b) the prices, supply and availability of raw materials, including assorted pigments, resins, solvents, and other natural gas- and oil-based materials; packaging, including plastic and metal containers; and transportation services, including fuel surcharges; (c) continued growth in demand for our products; (d) legal, environmental and litigation risks inherent in our businesses and risks related to the adequacy of our insurance coverage for such matters; (e) the effect of changes in interest rates; (f) the effect of fluctuations in currency exchange rates upon our foreign operations; (g) changes in global trade policies, including the adoption or expansion of tariffs and trade barriers; (h) the effect of non-currency risks of investing in and conducting operations in foreign countries, including those relating to domestic and international political, social, economic and regulatory factors; (i) risks and uncertainties associated with our ongoing acquisition and divestiture activities; (j) the timing of and the realization of anticipated cost savings from restructuring initiatives, the ability to identify additional cost savings opportunities, and the risks of failing to meet any other objectives of our improvement plans; (k) risks related to the adequacy of our contingent liability reserves; (l) risks relating to a public health crisis similar to the Covid pandemic; (m) risks related to acts of war similar to the Middle East conflict and the Russian invasion of Ukraine; (n) risks related to the transition or physical impacts of climate change and other natural disasters or meeting sustainability-related voluntary goals or regulatory requirements; (o) risks related to our or our third parties' use of technology including AI, data breaches and data privacy violations; (p) the shift to remote work and online purchasing and the impact that has on residential and commercial real estate construction; and (q) other risks detailed in our filings with the Securities and Exchange Commission, including the risk factors set forth in our Annual Report on Form 10-K for the year ended May 31, 2026, as the same may be updated from time to time. We do not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the filing date of this press release.
The market expects RPM International (RPM - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended August 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on October 6, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis specialty chemicals company is expected to post quarterly earnings of $1.95 per share in its upcoming report, which represents a year-over-year change of +3.7%.
Revenues are expected to be $2.22 billion, up 5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.51% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for RPM International?For RPM International, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.64%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that RPM International will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that RPM International would post earnings of $1.84 per share when it actually produced earnings of $1.89, delivering a surprise of +2.72%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
RPM International doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Key Takeaways RPM agreed to acquire Volteco, a waterproofing supplier based in Italy, for its Tremco CPG business.RPM will add Volteco's Amphibia membrane and other waterproofing products to Tremco CPG's portfolio.Acquisitions added 3.6% to RPM's fiscal 2026 sales, supporting growth amid weak DIY & European markets. RPM International Inc. (RPM - Free Report) has signed a definitive agreement to acquire an Italy-based leading supplier of below-grade waterproofing solutions, Volteco S.p.A., which recorded sales of €28 million in 2025.
The acquired company will be included in RPM’s Tremco Construction Products Group (Tremco CPG), bringing a unique and differentiated technology platform to the business. Subject to customary closing conditions, the strategic transaction is expected to close in the second quarter of fiscal 2027.
Volteco’s expertise lies in advanced waterproofing technology and is mainly recognized for its Amphibia waterproofing sheet membrane. Its product portfolio stretches through bagged powder goods for patch and repair applications, alongside flexible liquids, mortars, resins and damp-proofing materials. The addition of this company will be revolutionary for RPM’s waterproofing solutions, given the former’s several milestones in high-profile projects, including the protection of historical landmarks in Venice and the construction of modern facilities like the Santa Giulia Ice Hockey Arena in Milan.
Per Frank Sullivan, RPM chairman and CEO, “This acquisition provides Tremco CPG with new technologies that can be leveraged through its global sales force to drive growth and enhance its 'Power of One' value proposition for customers.”
RPM’s Inorganic Efforts to Stimulate Diversified GrowthOne of RPM’s core strategies for adding complementary technologies, expanding system capabilities and entering adjacent categories is carefully curated acquisition plans. The company spent $202.4 million on acquisitions in fiscal 2026 and described its pipeline as healthy. During fiscal 2026, acquired businesses contributed 3.6% to consolidated net sales, aiding the fiscal year amid weak DIY and European markets.
During fiscal 2026, the company completed six acquisitions across its three reportable segments, mainly Kalzip GmbH, a global leader in the design and production of metal-based roofs and facades for building envelopes, and Ready Seal Inc., a Texas-based manufacturer of premium exterior wood stains. Management expects Kalzip to become margin accretive after integration over the next several years.
Thus, continued bolt-on activity could broaden RPM’s system offerings, increase project content and support sales growth in higher-value construction and consumer categories.
RPM Stock’s Price PerformanceShares of the coatings, sealants and specialty chemicals manufacturer and marketer have inched up 1.2% in the past six months, outperforming the Zacks Chemical - Specialty industry but underperforming the Zacks Basic Materials sector and the S&P 500 Index.
Image Source: Zacks Investment Research
Even though buyout strategies and MAP-driven efficiency actions are boding well for the company, elevated raw material inflation, ongoing geopolitical pressures and a weak DIY market are causing near-term concerns.
RPM’s Zacks Rank & Key PicksRPM International currently carries a Zacks Rank #4 (Sell).
Here are some better-ranked stocks from the same sector.
Sensient Technologies Corporation (SXT - Free Report) currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Sensient delivered a trailing four-quarter earnings surprise of 14.1%, on average. The stock has trended up 48.5% over the past six months. The Zacks Consensus Estimate for Sensient’s 2026 sales and EPS implies an increase of 11.6% and 20.7%, respectively, from a year ago.
Ternium S.A. (TX - Free Report) presently sports a Zacks Rank of 1. The company delivered a trailing four-quarter negative earnings surprise of 11.1%, on average. Ternium stock has gained 41.5% over the past six months.
The Zacks Consensus Estimate for Ternium’s 2026 sales and EPS implies an increase of 12.3% and 201.4%, respectively, from a year ago.
Quaker Chemical Corporation (KWR - Free Report) currently sports a Zacks Rank of 1. The company delivered a trailing four-quarter earnings surprise of 8.1%, on average. Quaker stock has gained 25.8% over the past six months.
The Zacks Consensus Estimate for Quaker’s 2026 sales and EPS implies an increase of 8.1% and 11.8%, respectively, from a year ago.
RPM International Inc. (NYSE:RPM) will release its first-quarter earnings report before the opening bell on Tuesday, Oct. 6.
Analysts expect the Medina, Ohio-based company to report quarterly earnings of $1.95 per share, up from $1.88 per share in the year-ago period. The consensus estimate for RPM’s quarterly revenue is $2.22 billion. It reported $2.11 billion last year, according to Benzinga Pro.
On July 22, RPM International reported better-than-expected fourth-quarter financial results.
RPM shares fell 1% to close at $100.06 on Wednesday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.
Morgan Stanley analyst Vincent Sinisi maintained an Equal-Weight rating and cut the price target from $121 to $117 on July 23, 2026. This analyst has an accuracy rate of 73%. BMO Capital analyst John McNulty maintained an Outperform rating and raised the price target from $143 to $151 on July 23, 2026. This analyst has an accuracy rate of 59%. RBC Capital analyst Arun Viswanathan maintained an Outperform rating and increased the price target from $126 to $128 on July 23, 2026. This analyst has an accuracy rate of 52%. Fermium Research analyst Frank Mitsch upgraded the stock from Hold to Buy on July 22, 2026. This analyst has an accuracy rate of 52%. Citigroup analyst Patrick Cunningham maintained a Buy rating and boosted the price target from $125 to $128 on May 29, 2026. This analyst has an accuracy rate of 57%. Considering buying RPM stock? Here’s what analysts think:
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Market News and Data brought to you by Benzinga APIs
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
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What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.8% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: RPM International (RPM - Free Report) RPM International Inc., through its subsidiaries, manufactures and markets high-performance coatings, sealants and specialty chemicals, primarily for maintenance and improvement applications.
RPM is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. RPM has a Growth Style Score of B, forecasting year-over-year earnings growth of 8.5% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.04 to $6.00 per share. RPM also boasts an average earnings surprise of +10.6%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, RPM should be on investors' short list.
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.94% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: RPM International (RPM - Free Report) RPM International Inc., through its subsidiaries, manufactures and markets high-performance coatings, sealants and specialty chemicals, primarily for maintenance and improvement applications.
RPM is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Basic Materials stock. RPM has a Momentum Style Score of B, and shares are up 5.3% over the past four weeks.
For fiscal 2027, four analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.04 to $6.00 per share. RPM boasts an average earnings surprise of +10.6%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, RPM should be on investors' short list.
A month has gone by since the last earnings report for RPM International (RPM - Free Report) . Shares have added about 5.3% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is RPM International due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for RPM International Inc. before we dive into how investors and analysts have reacted as of late.
RPM International Q4 Earnings & Sales Beat, Both Up Y/YRPM International reported strong fourth-quarter fiscal 2026 results, with adjusted earnings and net sales topping the Zacks Consensus Estimate and increasing on a year-over-year basis.
The quarterly results were driven by increased demand for engineered solutions for high-performance buildings and infrastructure projects, acquisitions, positive pricing and favorable foreign currency translation. These tailwinds were partly offset by soft demand in do-it-yourself markets.
Inside RPM International’s HeadlinesThe company’s adjusted earnings per share of $1.89 topped the Zacks Consensus Estimate of $1.84 by 2.7%. In the prior-year quarter, RPM reported adjusted earnings of $1.72 per share.
Net sales of $2.23 billion also surpassed the consensus mark of $2.19 billion by 2.1% and increased 7.2% year over year. Net sales rose 2.5% organically during the quarter year over year. Acquisitions net of divestitures and favorable foreign currency translation aided sales by 3.5% and 1.2%, respectively.
Geographically, sales climbed 11.1% in Europe, which represented 15% of the fiscal fourth quarter’s total sales, compared with the prior-year quarter, primarily driven by acquisitions. North American sales, accounting for 77% of total sales, increased 5.1% year over year due to strength in turnkey and system solutions for high-performance buildings.
Sales in Latin America, representing 4% of total sales, rose 18.9% year over year. Sales in Africa, the Middle East and other foreign markets increased 14.5% year over year, while Asia-Pacific sales surged 39.4% year over year. Emerging-market growth benefited from demand for engineered solutions for high-performance buildings and infrastructure projects.
RPM’s Operational DiscussionSelling, general and administrative expenses were $635.3 million compared with $592.8 million in the prior-year quarter. As a percentage of net sales, the metric remained unchanged at 28.5%.
Adjusted EBIT increased 7.7% year over year to a record $338.6 million. Adjusted EBIT margin expanded 10 bps to 15.2%. Higher volumes improved fixed-cost utilization, while operational-efficiency initiatives helped offset increased healthcare and insurance expenses and inflation.
Segmental Details of RPM InternationalConstruction Products Group: In the reported quarter, the segment’s net sales increased 8.8% year over year to $904.2 million, owing to 5.7% organic sales growth, a 1.6% contribution from acquisitions net of divestitures and a 1.5% favorable foreign currency translation impact.
Adjusted EBIT of $175.1 million increased 14.6% year over year, and adjusted EBIT margin expanded 100 bps to 19.4%. Results benefited from broad-based strength led by concrete admixtures, roofing restoration systems and labor-saving wall systems for high-performance buildings, including data centers.
Performance Coatings Group: The segment’s net sales grew 5% year over year to $562.8 million. Sales increased 2.2% organically, while acquisitions and favorable foreign currency translation added 1.5% and 1.3%, respectively.
Adjusted EBIT rose 10.6% year over year to $84.9 million, and adjusted EBIT margin increased 80 bps to 15.1%. Strength in fireproofing systems, infrastructure projects and food coatings and ingredients was partly offset by a $3.2-million bad-debt expense related to a customer bankruptcy.
Consumer Group: Net sales in the segment increased 7% year over year to $764.8 million. Organic sales declined 0.8%, while acquisitions and favorable foreign currency translation contributed 7.2% and 0.6%, respectively.
The segment’s adjusted EBIT increased 2.6% year over year to $123.3 million. Adjusted EBIT margin contracted 70 bps to 16.1%. Acquisitions, pricing and operational improvements more than offset lower volumes, inflation and reduced fixed-cost absorption.
RPM’s Fiscal 2026 HighlightsFor fiscal 2026, RPM reported adjusted earnings of $5.53 per share, up 4.3% year over year from $5.30. Net sales of $7.86 billion increased 6.7% year over year from $7.37 billion.
Adjusted EBIT increased 4.4% year over year to a record $1.02 billion. Growth was supported by higher sales, improved fixed-cost leverage and benefits from operational-improvement initiatives.
RPM International’s Balance SheetAt the fiscal 2026-end, RPM International had total liquidity of $1.09 billion compared with $969.1 million at the fiscal 2025-end. This includes cash and cash equivalents of $315.2 million compared with $302.1 million at the fiscal 2025-end.
Total debt at the fiscal 2026-end was $2.53 billion, down from $2.65 billion at the fiscal 2025-end, as the company used a portion of its strong operating cash flow to reduce debt.
Cash provided by operating activities amounted to $898.7 million in fiscal 2026, up from $768.2 million in the prior year.
In fiscal 2026, capital expenditures were $223.5 million compared with $229.9 million in fiscal 2025. The company returned $349.2 million to stockholders through cash dividends and share repurchases, up 7.3% year over year from $325.6 million.
RPM’s Fiscal 2027 OutlookFor the first quarter of fiscal 2027, RPM expects consolidated sales to increase in the mid-single-digit range year over year. Sales across the Construction Products, Performance Coatings and Consumer groups are also projected to grow in the mid-single-digit range year over year.
Consolidated adjusted EBITDA is expected to increase in the mid-single-digit range year over year. For fiscal 2027, management expects sales growth of 3% to 7% and adjusted EBITDA growth of 5% to 10% year over year.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in fresh estimates.
VGM ScoresAt this time, RPM International has a average Growth Score of C, however its Momentum Score is doing a bit better with a B. Charting a somewhat similar path, the stock has a grade of C on the value side, putting it in the middle 20% for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, RPM International has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: RPM International (RPM - Free Report) RPM International Inc., through its subsidiaries, manufactures and markets high-performance coatings, sealants and specialty chemicals, primarily for maintenance and improvement applications.
RPM is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Basic Materials stock. RPM has a Momentum Style Score of B, and shares are up 6.3% over the past four weeks.
Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.06 to $6.02 per share. RPM boasts an average earnings surprise of +10.6%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, RPM should be on investors' short list.
On August 04, 2026, RPM International Inc (RPM) shares rose 3.2% to a current price of $115.09. The stock has fluctuated within a 52-week range of $92.92 to $12
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.94% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: RPM International (RPM - Free Report) RPM International Inc., through its subsidiaries, manufactures and markets high-performance coatings, sealants and specialty chemicals, primarily for maintenance and improvement applications.
RPM is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. RPM has a Growth Style Score of B, forecasting year-over-year earnings growth of 8.9% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.06 to $6.02 per share. RPM also boasts an average earnings surprise of +10.6%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, RPM should be on investors' short list.
On August 03, 2026, RPM International Inc (RPM) shares rose 4.1%, currently trading at $111.49. The stock has fluctuated between a 52-week high of $129.12 and a
RPM International now presents a more attractive relative value after underperforming the S&P 500 and seeing its valuation moderate. Construction and Performance segments are gaining share, with operating synergies and MAP 3.0 restructuring expected to drive margin and efficiency improvements. Management guides for 3%-7% revenue and 5%-10% EBITDA growth, with pricing actions and working capital gains supporting free cash flow expansion.
Did you analyze how RPM International (RPM - Free Report) fared in its international operations for the quarter ending May 2026? Given the widespread global presence of this specialty chemicals company, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.
In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.
Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.
While delving into RPM's performance for the past quarter, we observed some fascinating trends in the revenue from its foreign segments that are commonly modeled and observed by analysts on Wall Street.
The company's total revenue for the quarter stood at $2.23 billion, increasing 7.2% year over year. Now, let's delve into RPM's international revenue breakdown to gain insights into the significance of its operations beyond home turf.
A Closer Look at RPM's Revenue Streams AbroadDuring the quarter, Canada contributed $146.32 million in revenue, making up 6.6% of the total revenue. When compared to the consensus estimate of $146 million, this meant a surprise of +0.22%. Looking back, Canada contributed $91.84 million, or 5.7%, in the previous quarter, and $148.82 million, or 7.2%, in the same quarter of the previous year.
Other Foreign generated $30.34 million in revenues for the company in the last quarter, constituting 1.4% of the total. This represented a surprise of -10.29% compared to the $33.82 million projected by Wall Street analysts. Comparatively, in the previous quarter, Other Foreign accounted for $29.67 million (1.8%), and in the year-ago quarter, it contributed $26.5 million (1.3%) to the total revenue.
Of the total revenue, $52.83 million came from Asia Pacific during the last fiscal quarter, accounting for 2.4%. This represented a surprise of +12.18% as analysts had expected the region to contribute $47.09 million to the total revenue. In comparison, the region contributed $43.78 million, or 2.7%, and $37.9 million, or 1.8%, to total revenue in the previous and year-ago quarters, respectively.
Latin America accounted for 3.9% of the company's total revenue during the quarter, translating to $86.24 million. Revenues from this region represented a surprise of +3.48%, with Wall Street analysts collectively expecting $83.34 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $70.95 million (4.4%) and $72.56 million (3.5%) to the total revenue, respectively.
During the quarter, Europe contributed $336.28 million in revenue, making up 15.1% of the total revenue. When compared to the consensus estimate of $338.98 million, this meant a surprise of -0.8%. Looking back, Europe contributed $269.39 million, or 16.8%, in the previous quarter, and $302.71 million, or 14.5%, in the same quarter of the previous year.
Projected Revenues in Foreign MarketsWall Street analysts expect RPM International to report a total revenue of $2.23 billion in the current fiscal quarter, which suggests an increase of 5.3% from the prior-year quarter. Revenue shares from Canada, Other Foreign, Asia Pacific, Latin America and Europe are predicted to be 6.6%, 1.6%, 2.2%, 3.9%, and 15.8%, corresponding to amounts of $145.77 million, $36.04 million, $49.89 million, $86.74 million, and $350.62 million, respectively.
For the full year, the company is expected to generate $8.26 billion in total revenue, up 5% from the previous year. Revenues from Canada, Other Foreign, Asia Pacific, Latin America and Europe are expected to constitute 6.4% ($531.92 million), 1.6% ($135.37 million)2.3% ($189.33 million)4% ($327.22 million) and 15.8% ($1.31 billion) of the total, respectively.
Final ThoughtsRelying on international markets for revenues, RPM International faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.
With the increasing intricacies of global interdependence and geopolitical strife, Wall Street analysts meticulously observe these patterns, especially for companies with an international footprint, to tweak their forecasts of earnings. Importantly, several additional factors, such as a company's domestic market status, also impact these earnings forecasts.
At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.
The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.
RPM International, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Examining the Latest Trends in RPM International's Stock ValueOver the past month, the stock has seen a decline of 4.9% in its value, whereas the Zacks S&P 500 composite has posted an increase of 0.8%. The Zacks Basic Materials sector, RPM International's industry group, has ascended 0.4% over the identical span. In the past three months, there's been an increase of 5.6% in the company's stock price, against a rise of 3.8% in the S&P 500 index. The broader sector has declined by 7.2% during this interval.
Key Takeaways RPM enters fiscal 2027 with 3% to 7% sales growth outlook and favorable construction backlogs.RPM targets about $75M in SG&A savings to support 5% to 10% adjusted EBITDA growth.RPM faces DIY weakness, raw material inflation and customer concentration risks entering fiscal 2027. RPM International Inc. (RPM - Free Report) enters fiscal 2027 with operating momentum in construction-linked businesses and a still-muted consumer backdrop.
The stock story depends on whether demand for engineered systems, repair work and efficiency savings can keep offsetting do-it-yourself weakness and early-year inflation.
How RPM International Makes MoneyRPM manufactures high-performance coatings, sealants and specialty chemicals used mainly in maintenance and improvement applications. Its products were sold in nearly 167 countries and territories as of May 31, 2026.
Its mix spans Construction Products, Performance Coatings, Consumer and Specialty-related operations after portfolio changes moved units into the larger groups. Products include roofing systems, concrete repair, flooring, fireproofing, hobby paints, caulks, adhesives, wood stains and building-envelope solutions.
RPM Gains From Repair and Infrastructure DemandInfrastructure and repair work remain central to RPM’s fiscal 2027 setup. Construction Products Group sales rose 8.8% in the latest quarter, supported by concrete admixtures, roofing restoration systems and labor-saving wall systems.
Performance Coatings Group sales increased 5%, helped by fireproofing systems, infrastructure projects and emerging-market demand. Backlogs in both construction segments were favorable entering fiscal 2027, while full-year consolidated sales are expected to increase 3% to 7%.
RPM Uses Systems To Win More Project SpendRPM’s system-selling strategy gives it a way to capture more of each project. Integrated roofing, wall, flooring and building-envelope offerings can simplify procurement, reduce labor needs and shorten construction schedules.
That matters when customers are managing tight timelines and skilled-labor constraints. The strategy also differentiates RPM from broader coatings peers such as The Sherwin-Williams Company (SHW - Free Report) , a major paints and coatings company, by emphasizing bundled project solutions rather than stand-alone product volume alone.
RPM Expands With Deals and Efficiency ProgramsAcquisitions are adding capability and category exposure. Kalzip brings metal roofing and façade offerings to Construction Products, while The Pink Stuff and Ready Seal supported Consumer Group sales during soft do-it-yourself conditions.
Efficiency is the other lever. RPM expects previously announced actions to generate about $75 million of fiscal 2027 selling, general and administrative benefits, including about $25 million in the fiscal first quarter, while plant consolidation and MAP-driven process work support its 5% to 10% adjusted EBITDA growth outlook.
What Could Slow RPM InternationalCost pressure is the clearest near-term issue. Raw material inflation is expected to remain elevated in the first half of fiscal 2027, with price-cost likely somewhat negative before improving later in the year.
Consumer demand is another constraint. Organic sales in the Consumer Group declined 0.8% in the latest quarter, and unit volumes fell about 2% to 3%. Masco Corporation (MAS - Free Report) , which operates in branded home improvement and building products, offers a relevant comparison point for investors watching consumer repair and remodeling demand.
Customer concentration adds risk because large retail customers accounted for about 65% of Consumer segment sales in fiscal 2025 and 22% of consolidated sales. Weather, interest rates and broader economic conditions can also affect construction, roofing and exterior paint demand.
How RPM’s Ratings Fit This StoryThe bottom line is balanced. RPM has credible drivers in infrastructure, restoration, acquisitions and cost discipline, but the near-term signal is not aggressive because inflation and consumer softness still limit earnings visibility.
The stock currently carries a Zacks Rank #3 (Hold). Its VGM Score of D, Value Score of C, Growth Score of C and Momentum Score of F point to a mixed style profile, especially after the current fiscal-year earnings estimate moved 0.4% lower over the past four weeks. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Those ratings fit a cautious stance. The Style Scores are designed to complement the Zacks Rank, and higher scores generally indicate more favorable value, growth or momentum characteristics. RPM’s current mix suggests investors may want more confirmation from estimate trends, margin recovery and consumer stabilization before taking a stronger view.
RPM International's earnings beat and construction strength support the story, but inflation, DIY weakness and modest upside keep the stock in hold territory.
Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades, downgrades and initiations, please see our analyst ratings page.
Considering buying RPM stock? Here’s what analysts think:
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Russell L. Gordon, VP and CFO of RPM International Inc. (RPM +5.81%), reported a disposition of 1,137 shares of common stock on July 19, 2026, according to a recent SEC Form 4 filing.
Transaction summaryMetricValueTransaction value~$119,500Shares sold1,137Post-transaction shares (directly held)80,281Post-transaction value$8.16 millionKey questionsWhat were the mechanics behind this transaction?
The transaction was a non-discretionary sale of 1,137 shares at $105.08 per share to cover tax liabilities stemming from the vesting of performance stock units granted in 2023. This disposition was part of a pre-arranged tax-withholding process and does not reflect a discretionary trade based on the executive's view of the company's valuation.What is the insider's remaining equity exposure?
After this transaction, Gordon holds 80,281 shares directly. The CFO also holds 219,800 direct derivative securities, which include stock appreciation rights granted between 2017 and 2026 that vest in four equal annual installments.How does this activity align with the company's financial profile?
RPM International Inc. provides specialty chemicals for construction and industrial markets. As of the July 20, 2026, market close, the company had a market capitalization of $13 billion, with trailing twelve-month revenue of $7.7 billion and net income of $665.9 million.Company OverviewMetricValueShare Price (as of market close 2026-07-20)$101.63Market Capitalization$13.0 billionRevenue (TTM)$7.7 billionNet Income (TTM)$665.9 millionCompany SnapshotRPM International Inc. manufactures and distributes specialty chemicals for construction, industrial, specialty, and consumer markets, including waterproofing and coating systems, sealants, air barriers, roofing solutions, and resin flooring systems across four operating segments.The company generates revenue through the development and sale of high-performance specialty chemical products that address specific application needs in construction, building maintenance, industrial manufacturing, and consumer home improvement sectors.RPM serves a diverse customer base, including construction contractors, building maintenance professionals, industrial manufacturers, and residential consumers seeking specialized chemical solutions for waterproofing, sealing, bonding, and protective coating applications.RPM International Inc. is a $13.0 billion market capitalization specialty chemicals manufacturer generating $7.7 billion in TTM revenue. The company maintains a diversified portfolio across construction, industrial, and consumer markets, leveraging proprietary formulations and established distribution networks to compete in fragmented specialty chemical segments. RPM's strategic positioning in high-growth end markets such as building weatherization, infrastructure maintenance, and industrial flooring solutions provides sustainable competitive advantages through product differentiation and customer relationships.
What this transaction means for investorsThe performance shares that triggered this filing were granted in 2023 and paid out this month, which means the vesting rewards three years of results that just culminated in a strong finish. Gordon kept 80,281 shares plus a large stack of appreciation rights, and ultimately, nothing about a withholding trade signals his view of the stock.
The timing does line up with news, though. RPM just capped fiscal 2026 with record fourth-quarter results, each of its three segments growing sales and adjusted operating profit, and CEO Frank Sullivan noted the quarter marked "the 16th time in the past 18 quarters” the company hit record adjusted EBIT — despite eight straight quarters of weak do-it-yourself demand. Against the records, long-term investors should keep an eye on this dynamic and the consumer softness. RPM keeps setting profit highs on cost discipline and its construction and coatings segments, but a persistently weak DIY market is the drag that has offset its efficiency, and with shares down about 4% in the past year, it’s clear investors are craving more.
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About the Author
Jonathan Ponciano is a contributing stock market analyst at The Motley Fool. He has nearly a decade of experience as a financial journalist, most recently as an editor and senior reporter at Forbes focused on markets, technology, and entrepreneurship. Jonathan has also written for Investopedia and the Los Angeles Business Journal. He holds a dual B.A. in Business Journalism and Economics from the University of North Carolina at Chapel Hill and an M.B.A. from Columbia Business School. A North Carolina native now based in New York City, Jonathan has also lived in Mexico City and Los Angeles.
Janeen B. Kastner, the vice president of corporate benefits and risk management of RPM International Inc. (RPM +5.81%), disposed of 1,137 shares of common stock on July 19, 2026, according to a recent SEC Form 4 filing.
Transaction summaryMetricValueTransaction value$119,500Shares sold1,137Post-transaction shares (directly held)~135,000Post-transaction shares (indirectly held)1,123Post-transaction value$13.85 millionTransaction value based on SEC Form 4 weighted average sale price ($105.08).
Key questionsWas this a discretionary market transaction?
No, this was a non-discretionary transaction where the insider disposed of shares back to the issuer specifically to satisfy tax withholding obligations. These obligations were triggered by the vesting of Performance Stock Units originally granted to Janeen B. Kastner in 2023.What is the insider's total remaining equity interest in the company?
Beyond the roughly 136,000 shares held directly and through the company 401(k) plan, the insider also holds 212,000 stock appreciation rights. These derivative securities were granted between 2017 and 2026 and are set to vest in four equal annual installments starting one year from their respective grant dates.How does the company's current valuation compare to its recent financial performance?
As of the July 20, 2026, market close, shares were priced at $101.63, resulting in a market capitalization of $13 billion. This valuation is supported by trailing twelve-month revenue of $7.7 billion and net income of $665.9 million generated across the company's four primary operating segments: CPG, PCG, Consumer, and SPG.Company OverviewMetricValueShare Price (as of market close 2026-07-20)$101.63Market Capitalization$13.0 billionRevenue (TTM)$7.7 billionNet Income (TTM)$665.9 millionCompany SnapshotRPM International Inc. manufactures and distributes specialty chemicals for construction, industrial, specialty, and consumer markets, including waterproofing and coating systems, sealants, air barriers, roofing solutions, and resin flooring systems across four operating segments.The company generates revenue through the development and sale of high-performance specialty chemical products that address specific application needs in construction, building maintenance, industrial manufacturing, and consumer home improvement sectors.RPM serves a diverse customer base, including construction contractors, building maintenance professionals, industrial manufacturers, and residential consumers seeking specialized chemical solutions for waterproofing, sealing, bonding, and protective coating applications.RPM International Inc. is a $13 billion market capitalization specialty chemicals manufacturer with approximately 17,778 employees, generating $7.7 billion in TTM revenue. The company maintains a diversified portfolio across construction, industrial, and consumer markets, leveraging proprietary formulations and established distribution networks to compete in fragmented specialty chemical segments. RPM's strategic positioning in high-growth end markets such as building weatherization, infrastructure maintenance, and industrial flooring solutions provides sustainable competitive advantages through product differentiation and customer relationships.
What this transaction means for investorsKastner runs corporate benefits and risk management, so she of all people understands that a vesting event brings a tax bill, and that's exactly what this filing is. The same 2023 performance shares that vested for other RPM executives this week vested for her too, and 1,137 of them went to withholding rather than to the market. She holds around 136,000 shares across direct and retirement accounts, plus 212,000 appreciation rights, so her tie to the company runs deep.
RPM just closed fiscal 2026 on a high note, posting record fourth-quarter results as all three of its main segments grew despite persistent weakness in do-it-yourself consumer spending. The company produced $899 million in operating cash flow, one of its best years ever, and lifted its dividend for a 52nd straight year. CEO Frank Sullivan pointed to "system selling," bundling multiple products into engineered solutions, as a growth driver. Still, consumer softness remains a swing factor. RPM's construction and coatings businesses have carried the load thus far, but the DIY market's recovery would remove the one drag on an otherwise strong run.
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About the Author
Jonathan Ponciano is a contributing stock market analyst at The Motley Fool. He has nearly a decade of experience as a financial journalist, most recently as an editor and senior reporter at Forbes focused on markets, technology, and entrepreneurship. Jonathan has also written for Investopedia and the Los Angeles Business Journal. He holds a dual B.A. in Business Journalism and Economics from the University of North Carolina at Chapel Hill and an M.B.A. from Columbia Business School. A North Carolina native now based in New York City, Jonathan has also lived in Mexico City and Los Angeles.
RPM International's Blowout Quarter Sparks a 15% Rally RPM International NYSE: RPM reported record fiscal fourth-quarter results, with management saying each of its three segments increased sales and adjusted EBIT despite inflation, supply chain disruption and continued softness in do-it-yourself consumer markets.
Chairman and Chief Executive Officer Frank Sullivan said the company’s Construction Products Group and Performance Coatings Group continued to lead growth by focusing on maintenance and restoration, higher-growth end markets and “system selling,” an approach that combines multiple RPM products into broader engineered solutions. Sullivan said the quarter marked the 16th time in the past 18 quarters that RPM achieved record adjusted EBIT results.
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RPM International Thrives in Rate-Cut Driven Construction Rally“Our associates demonstrated their ability to adapt to increased global uncertainty, procure raw materials, continue implementing operational efficiency improvements, and serve customers with high-quality products and services,” Sullivan said.
Construction and coatings businesses lead growth Michael Laroche, vice president, controller and chief accounting officer, said consolidated sales rose 7.2% to a record, driven by engineered solutions for high-performance buildings and infrastructure projects, acquisitions and pricing actions intended to offset inflation. Adjusted EBIT and adjusted EPS also reached records, according to Laroche.
RPM International Pulls Back Critical Levels; Is It Time To Buy?Laroche said all international regions posted double-digit growth, led by emerging markets, while North American sales rose 5% on strength in turnkey and system solutions for high-performance buildings. Growth in Europe was driven by mergers and acquisitions, and foreign currency translation also helped sales in most countries outside the United States.
Within the Construction Products Group, Laroche said sales reached a record on broad-based strength, led by the concrete admixtures business. Demand was strongest in roofing and wall systems for high-performance buildings, including data centers and infrastructure projects. Volume growth and operational efficiencies helped lift adjusted EBIT to a record.
The Performance Coatings Group also posted record sales, with growth led by infrastructure project solutions, food coatings and ingredients, emerging markets, and fireproofing systems for high-performance buildings. Adjusted EBIT reached a record, though results were partly offset by a $3.2 million bad debt expense tied to a customer bankruptcy.
Consumer segment improves despite weak DIY demand RPM’s Consumer Group delivered record sales and higher adjusted EBIT, with results helped by acquisitions and pricing. Laroche said DIY end markets remained soft, while MAP operational improvements, including SG&A-focused optimization actions, more than offset lower fixed-cost absorption from reduced volumes and inflation. Adjusted EBIT excluded a $9.7 million non-cash impairment charge related to the Color Group.
During the question-and-answer portion of the call, Sullivan said Consumer unit volume in the quarter was down about 2% to 3%, while Construction Products and Performance Coatings saw low- to mid-single-digit unit volume growth. He said the Consumer segment benefited from The Pink Stuff and Ready Seal acquisitions, but DIY takeaway has been weak for roughly two years.
“It does feel like after two years of a pretty steady single-digit negative declines in consumer takeaway and volume impact, that we’re hitting bottom,” Sullivan said. He added that he did not yet see evidence of a “robust rebound.”
Raw material inflation remains a focus Management said raw material inflation and supply availability remain key considerations for fiscal 2027. Sullivan said RPM’s center-led procurement team helped the company secure supply and limit exposure to spot-price volatility. He said price-cost mix was slightly favorable in the fourth quarter, with businesses implementing price increases where needed.
For the first quarter of fiscal 2027, RPM expects raw material inflation of 5% to 6%, with pricing up by a similar dollar amount. For the second quarter, inflation could reach 6% to 8%, Sullivan said. The company expects price increases, including in Consumer, to recover gross margin percentage lost in the first quarter as the year progresses.
Sullivan said supply availability improved overall, but a fire at a supplier’s plant has caused tightness in propylene oxide-derived raw materials in North America. He also noted tight MDI supplies due to supplier issues. In response to an analyst question, Sullivan said the supplier fire would have some negative cost impact and could affect first-quarter sales growth in Tremco Roofing, but he described the issue as temporary.
Cash flow, buybacks and acquisitions Matt Schlarb, vice president of investor relations and sustainability, said RPM generated $899 million of operating cash flow in fiscal 2026, the second-highest amount in company history. The company returned $349 million to shareholders through dividends and share repurchases, up more than 7% from the prior year.
Schlarb said RPM’s board authorized a $700 million increase to its share repurchase program, in addition to $115 million remaining under a prior authorization. Sullivan said during the Q&A that the company’s stronger balance sheet and improved cash generation give it more capital to deploy, including for acquisitions and potentially more opportunistic repurchases.
Capital expenditures totaled about $224 million for the year, slightly below the prior year. Schlarb cited investments including a shared European distribution center and a new operating facility in India. RPM also spent $202 million on acquisitions, including Kalzip, a metal roofing and facades company acquired by the Construction Products Group in the fourth quarter. Schlarb said RPM expects Kalzip to be margin accretive once fully integrated over the next couple of years.
Fiscal 2027 outlook calls for growth amid volatility Chief Financial Officer Russell Gordon said RPM expects first-quarter sales to rise in the mid-single-digit range, with all segments expected to grow at a similar pace. Adjusted EBITDA is also expected to increase in the mid-single-digit range.
For full-year fiscal 2027, RPM forecast sales growth of 3% to 7% and adjusted EBITDA growth of 5% to 10%. Gordon said the company expects Consumer end markets to stabilize, though he noted RPM has the least visibility in that segment. He said price-cost is expected to be somewhat negative in the first half of the year before becoming more neutral in the second half as additional pricing takes effect and inflation moderates.
RPM also expects previously announced SG&A optimization actions to generate about $75 million in benefits during fiscal 2027, partly offset by higher healthcare and benefits expenses. Sullivan said RPM has trained 620 associates through its Green Belt efficiency program, which has developed a pipeline of more than $30 million of additional savings. The company plans to provide more detail on its MAP 3.0 strategic plan at an investor day on Nov. 9.
Asked whether the fiscal 2027 outlook represented a new growth algorithm for RPM, Sullivan said the company could generate mid-single-digit revenue growth and double-digit earnings growth “in a period of stability.” However, he said the current environment remains volatile due to geopolitical developments, oil prices, trade flows, transportation costs and tariffs.
About RPM International (NYSE:RPM)RPM International Inc is a global holding company whose subsidiaries specialize in the manufacture and marketing of high-performance coatings, sealants, building materials, and specialty chemicals. Through its two principal operating segments—Performance Coatings and Industrial Coatings—RPM serves a diverse range of end markets, including construction, consumer products, industrial maintenance, and specialty applications.
The company's Performance Coatings segment offers a broad portfolio of architectural coatings, waterproofing systems, and specialty building products used by contractors, builders, and homeowners.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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RPM International (RPM - Free Report) reported $2.23 billion in revenue for the quarter ended May 2026, representing a year-over-year increase of 7.2%. EPS of $1.89 for the same period compares to $1.72 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $2.19 billion, representing a surprise of +2.06%. The company delivered an EPS surprise of +2.72%, with the consensus EPS estimate being $1.84.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how RPM International performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net Sales- Construction Products Group/ CPG: $904.24 million compared to the $891 million average estimate based on four analysts. The reported number represents a change of +11.7% year over year.Net Sales- Consumer Segment: $764.8 million compared to the $751.41 million average estimate based on four analysts. The reported number represents a change of +10.6% year over year.Net Sales- Performance Coatings Group/ PCG: $562.8 million versus the four-analyst average estimate of $549.23 million. The reported number represents a year-over-year change of +41%.Adjusted EBIT- Consumer Segment: $123.35 million versus the four-analyst average estimate of $128.59 million.Adjusted EBIT- Performance Coatings Group/ PCG: $84.89 million versus the four-analyst average estimate of $76.55 million.Adjusted EBIT- Construction Products Group/ CPG: $175.06 million versus $173.82 million estimated by four analysts on average.Adjusted EBIT- Corporate/Other: $-44.69 million compared to the $-44.59 million average estimate based on four analysts.View all Key Company Metrics for RPM International here>>>
Shares of RPM International have returned -4.3% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
RPM International (RPM - Free Report) came out with quarterly earnings of $1.89 per share, beating the Zacks Consensus Estimate of $1.84 per share. This compares to earnings of $1.72 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.72%. A quarter ago, it was expected that this specialty chemicals company would post earnings of $0.37 per share when it actually produced earnings of $0.57, delivering a surprise of +54.05%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
RPM International, which belongs to the Zacks Chemical - Specialty industry, posted revenues of $2.23 billion for the quarter ended May 2026, surpassing the Zacks Consensus Estimate by 2.06%. This compares to year-ago revenues of $2.08 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
RPM International shares have lost about 2.4% since the beginning of the year versus the S&P 500's gain of 9.7%.
What's Next for RPM International?While RPM International has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for RPM International was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.92 on $2.23 billion in revenues for the coming quarter and $5.94 on $8.23 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Chemical - Specialty is currently in the top 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
CSW Industrials (CSW - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on July 30.
This industrial products and coatings maker is expected to post quarterly earnings of $3.66 per share in its upcoming report, which represents a year-over-year change of +28.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
CSW Industrials' revenues are expected to be $340.56 million, up 29.2% from the year-ago quarter.
Analysts on Wall Street project that RPM International (RPM - Free Report) will announce quarterly earnings of $1.84 per share in its forthcoming report, representing an increase of 7% year over year. Revenues are projected to reach $2.19 billion, increasing 5% from the same quarter last year.
The consensus EPS estimate for the quarter has undergone a downward revision of 1.3% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some RPM International metrics that are commonly tracked and projected by analysts on Wall Street.
The consensus among analysts is that 'Net Sales- Construction Products Group/ CPG' will reach $891.00 million. The estimate suggests a change of +10% year over year.
The consensus estimate for 'Net Sales- Consumer Segment' stands at $751.41 million. The estimate indicates a change of +8.7% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Net Sales- Performance Coatings Group/ PCG' of $549.23 million. The estimate indicates a year-over-year change of +37.6%.
According to the collective judgment of analysts, 'Adjusted EBIT- Consumer Segment' should come in at $128.59 million. Compared to the present estimate, the company reported $122.47 million in the same quarter last year.
Analysts predict that the 'Adjusted EBIT- Performance Coatings Group/ PCG' will reach $76.55 million. Compared to the current estimate, the company reported $57.77 million in the same quarter of the previous year.
It is projected by analysts that the 'Adjusted EBIT- Construction Products Group/ CPG' will reach $173.82 million. The estimate compares to the year-ago value of $158.11 million.
View all Key Company Metrics for RPM International here>>>
Shares of RPM International have demonstrated returns of -5.5% over the past month compared to the Zacks S&P 500 composite's -0.6% change. With a Zacks Rank #3 (Hold), RPM is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
MEDINA, Ohio--(BUSINESS WIRE)--RPM NAMES ANDREW G. POLANCO AS VICE PRESIDENT – OPERATIONS AND ANTHONY R. NICHOLSON AS VICE PRESIDENT – FINANCIAL PLANNING & ANALYSIS.
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MEDINA, Ohio--(BUSINESS WIRE)--RPM International Inc. (NYSE: RPM) today announced that its board of directors declared a regular quarterly cash dividend of $0.54 per share, payable on July 31, 2026, to stockholders of record as of July 14, 2026.
RPM’s last cash dividend increase of 6% in October 2025 marked RPM’s 52nd consecutive year of increased cash dividends paid to its stockholders, which places RPM in an elite category of less than half of 1 percent of all publicly traded U.S. companies. Only 39 other U.S. companies have consecutively paid an increasing annual dividend for a longer period of time, according to stockanalysis.com. During this timeframe, the company has returned approximately $3.9 billion in cash dividends to its stockholders.
About RPM
RPM International Inc. owns subsidiaries that are world leaders in specialty coatings, sealants, building materials and related services. The company operates across three reportable segments: consumer, construction products and performance coatings. RPM has a diverse portfolio of market-leading brands, including Rust-Oleum, DAP, Zinsser, Varathane, The Pink Stuff, Stonhard, Carboline, Tremco, Euclid Chemical, Dryvit and Nudura. From homes and workplaces to infrastructure and precious landmarks, RPM’s brands are trusted by consumers and professionals alike to help build a better world. The company employs approximately 17,800 individuals worldwide. Visit www.RPMinc.com to learn more.
For more information, contact Matt Schlarb, Vice President – Investor Relations & Sustainability, at 330-220-6064 or [email protected].
RPM International Inc. (NYSE: RPM) announced today that it will release its financial results for the fiscal 2026 fourth quarter and fiscal year before the stock market opens on Wednesday, July 22, 2026. The results will be issued via newswire and will also be available on the RPM website at www.RPMinc.com.
Management will host a conference call to discuss the results beginning at 10:00 a.m. Eastern Time the same day. The call can be accessed via webcast at www.RPMinc.com/Investors/Presentations-Webcasts/or by dialing 844-481-2915, or 412-317-0708 for international callers. Participants are asked to call the assigned number approximately 10 minutes before the conference call begins and request to join the RPM International call. The call, which will last approximately one hour, will be open to the public, but only financial analysts will be permitted to ask questions. The media and all other participants will be in a listen-only mode.
For those unable to listen to the live call, a replay will be available from July 22, 2026, until July 29, 2026. The replay can be accessed by dialing 855-669-9658, or 412-317-0088 for international callers. The access code is 8887341. The call also will be available both live and for replay, and as a written transcript, via the RPM website at www.RPMinc.com.
About RPM
RPM International Inc. owns subsidiaries that are world leaders in specialty coatings, sealants, building materials and related services. The company operates across three reportable segments: consumer, construction products and performance coatings. RPM has a diverse portfolio of market-leading brands, including Rust-Oleum, DAP, Zinsser, Varathane, The Pink Stuff, Stonhard, Carboline, Tremco, Euclid Chemical, Dryvit and Nudura. From homes and workplaces to infrastructure and precious landmarks, RPM’s brands are trusted by consumers and professionals alike to help build a better world. The company employs approximately 17,800 individuals worldwide. Visit www.RPMinc.com to learn more.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260630456363/en/
