If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Sherwin-Williams (SHW - Free Report) . This company, which is in the Zacks Chemical - Specialty industry, shows potential for another earnings beat.
This paint and coatings maker has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 5.05%.
For the last reported quarter, Sherwin-Williams came out with earnings of $2.35 per share versus the Zacks Consensus Estimate of $2.24 per share, representing a surprise of 4.91%. For the previous quarter, the company was expected to post earnings of $2.12 per share and it actually produced earnings of $2.23 per share, delivering a surprise of 5.19%.
Price and EPS Surprise
For Sherwin-Williams, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. 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.
Sherwin-Williams has an Earnings ESP of +0.94% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #2 (Buy), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on July 28, 2026.
Investors should note, however, that a negative Earnings ESP reading is not indicative of an earnings miss, but a negative value does reduce the predictive power of this metric.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Bank of Nova Scotia lifted its position in shares of The Sherwin-Williams Company (NYSE:SHW – Free Report) by 37.6% during the first quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 305,135 shares of the specialty chemicals company’s stock after buying an additional 83,370 shares during the quarter. Bank of Nova Scotia owned approximately 0.12% of Sherwin-Williams worth $97,814,000 at the end of the most recent quarter.
Other institutional investors have also recently made changes to their positions in the company. Vanguard Group Inc. boosted its stake in shares of Sherwin-Williams by 2.7% during the fourth quarter. Vanguard Group Inc. now owns 23,237,824 shares of the specialty chemicals company’s stock valued at $7,529,752,000 after purchasing an additional 600,119 shares in the last quarter. State Street Corp lifted its holdings in Sherwin-Williams by 2.4% during the fourth quarter. State Street Corp now owns 15,638,974 shares of the specialty chemicals company’s stock worth $5,067,497,000 after buying an additional 364,832 shares during the period. Geode Capital Management LLC lifted its holdings in Sherwin-Williams by 0.7% during the fourth quarter. Geode Capital Management LLC now owns 5,231,615 shares of the specialty chemicals company’s stock worth $1,687,498,000 after buying an additional 37,145 shares during the period. Norges Bank bought a new stake in Sherwin-Williams during the 4th quarter valued at $1,089,450,000. Finally, Viking Global Investors LP increased its holdings in shares of Sherwin-Williams by 10.1% in the 4th quarter. Viking Global Investors LP now owns 3,172,308 shares of the specialty chemicals company’s stock valued at $1,027,923,000 after acquiring an additional 291,217 shares during the period. Hedge funds and other institutional investors own 77.67% of the company’s stock.
Wall Street Analyst Weigh In A number of equities research analysts recently weighed in on SHW shares. Weiss Ratings cut Sherwin-Williams from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, July 17th. Bank of America cut their target price on Sherwin-Williams from $370.00 to $365.00 and set a “neutral” rating on the stock in a research note on Tuesday, April 21st. Citigroup assumed coverage on shares of Sherwin-Williams in a research report on Wednesday, June 24th. They issued an “overweight” rating on the stock. Wells Fargo & Company decreased their target price on shares of Sherwin-Williams from $365.00 to $350.00 and set an “equal weight” rating for the company in a research report on Wednesday, April 29th. Finally, BMO Capital Markets raised their target price on shares of Sherwin-Williams from $355.00 to $400.00 and gave the company an “outperform” rating in a research note on Monday, July 6th. Seven investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat.com, Sherwin-Williams presently has a consensus rating of “Moderate Buy” and a consensus price target of $373.92.
Get Our Latest Stock Analysis on Sherwin-Williams
Sherwin-Williams Trading Down 3.0% Shares of NYSE:SHW opened at $310.39 on Friday. The business’s 50-day moving average is $320.37 and its 200 day moving average is $332.32. The company has a debt-to-equity ratio of 2.10, a current ratio of 0.86 and a quick ratio of 0.53. The Sherwin-Williams Company has a 1 year low of $289.86 and a 1 year high of $379.65. The firm has a market capitalization of $76.56 billion, a P/E ratio of 29.79, a P/E/G ratio of 2.48 and a beta of 1.10.
Sherwin-Williams (NYSE:SHW – Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The specialty chemicals company reported $2.35 earnings per share for the quarter, topping the consensus estimate of $2.27 by $0.08. Sherwin-Williams had a return on equity of 64.55% and a net margin of 10.86%.The business had revenue of $5.67 billion during the quarter, compared to the consensus estimate of $5.56 billion. During the same quarter last year, the company earned $2.25 earnings per share. The company’s quarterly revenue was up 6.9% on a year-over-year basis. Sherwin-Williams has set its FY 2026 guidance at 11.500-11.900 EPS. On average, research analysts predict that The Sherwin-Williams Company will post 11.78 earnings per share for the current fiscal year.
Sherwin-Williams Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Friday, September 11th. Shareholders of record on Friday, August 21st will be given a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend is Friday, August 21st. Sherwin-Williams’s payout ratio is currently 30.71%.
About Sherwin-Williams (Free Report)
Sherwin-Williams (NYSE: SHW) is a global manufacturer and distributor of paints, coatings and related products. Founded in 1866 and headquartered in Cleveland, Ohio, the company supplies a broad range of coatings for residential, commercial and industrial applications. Its product offering includes architectural paints and stains, industrial and protective coatings, automotive finishes, and a variety of sundry products such as primers, sealants and specialty treatments used by professionals and consumers.
The company sells through multiple channels, including a large network of company-operated retail paint stores that serve professional contractors and do-it-yourself consumers, as well as through distributors and mass retailers.
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The upcoming report from Sherwin-Williams (SHW - Free Report) is expected to reveal quarterly earnings of $3.56 per share, indicating an increase of 5.3% compared to the year-ago period. Analysts forecast revenues of $6.62 billion, representing an increase of 4.8% year over year.
Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
In light of this perspective, let's dive into the average estimates of certain Sherwin-Williams metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts predict that the 'Net Sales- Paint Stores Group' will reach $3.82 billion. The estimate indicates a change of +3.2% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Net Sales- Consumer Brands Group' of $924.16 million. The estimate indicates a year-over-year change of +14.2%.
Based on the collective assessment of analysts, 'Net Sales- Performance Coatings Group' should arrive at $1.87 billion. The estimate suggests a change of +3.6% year over year.
The average prediction of analysts places 'Net New Stores - Paint Stores Group' at 23 . The estimate is in contrast to the year-ago figure of 20 .
The combined assessment of analysts suggests that 'Total stores - Paint Stores Group' will likely reach 4,870 . The estimate is in contrast to the year-ago figure of 4,811 .
Analysts expect 'Segment Profit- Paint Stores Group' to come in at $944.96 million. Compared to the present estimate, the company reported $916.50 million in the same quarter last year.
According to the collective judgment of analysts, 'Adjusted segment profit- Performance Coatings Group (PCG)' should come in at $315.81 million. The estimate is in contrast to the year-ago figure of $302.30 million.
Analysts' assessment points toward 'Adjusted segment profit- Consumer Brands Group (CBG)' reaching $210.08 million. The estimate compares to the year-ago value of $181.40 million.
View all Key Company Metrics for Sherwin-Williams here>>>
Sherwin-Williams shares have witnessed a change of -4% in the past month, in contrast to the Zacks S&P 500 composite's +0.4% move. With a Zacks Rank #2 (Buy), SHW is expected outperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
CLEVELAND, July 22, 2026 /PRNewswire/ -- The Board of Directors of The Sherwin-Williams Company (NYSE: SHW) today announced a regular quarterly dividend of $0.80 per common share, payable on September 11, 2026, to shareholders of record on August 21, 2026.
Wall Street expects a year-over-year increase in earnings on higher revenues when Sherwin-Williams (SHW - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on July 28, 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 paint and coatings maker is expected to post quarterly earnings of $3.56 per share in its upcoming report, which represents a year-over-year change of +5.3%.
Revenues are expected to be $6.62 billion, up 4.8% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has remained unchanged over the last 30 days. 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 Sherwin-Williams?For Sherwin-Williams, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.94%.
On the other hand, the stock currently carries a Zacks Rank of #2.
So, this combination indicates that Sherwin-Williams will most likely 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 Sherwin-Williams would post earnings of $2.24 per share when it actually produced earnings of $2.35, delivering a surprise of +4.91%.
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.
Sherwin-Williams appears 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.
Bessemer Group Inc. cut its position in shares of The Sherwin-Williams Company (NYSE:SHW – Free Report) by 97.3% during the 1st quarter, according to the company in its most recent filing with the SEC. The firm owned 16,519 shares of the specialty chemicals company’s stock after selling 592,553 shares during the quarter. Bessemer Group Inc.’s holdings in Sherwin-Williams were worth $5,297,000 as of its most recent filing with the SEC.
A number of other hedge funds and other institutional investors also recently modified their holdings of SHW. Norges Bank bought a new position in Sherwin-Williams during the fourth quarter valued at about $1,089,450,000. Viking Global Investors LP raised its position in Sherwin-Williams by 101.4% in the second quarter. Viking Global Investors LP now owns 1,957,750 shares of the specialty chemicals company’s stock worth $672,213,000 after acquiring an additional 985,520 shares in the last quarter. Balyasny Asset Management L.P. lifted its holdings in Sherwin-Williams by 53,827.1% in the 4th quarter. Balyasny Asset Management L.P. now owns 662,225 shares of the specialty chemicals company’s stock valued at $214,581,000 after acquiring an additional 660,997 shares during the last quarter. Vanguard Group Inc. lifted its holdings in Sherwin-Williams by 2.7% in the 4th quarter. Vanguard Group Inc. now owns 23,237,824 shares of the specialty chemicals company’s stock valued at $7,529,752,000 after acquiring an additional 600,119 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of Sherwin-Williams by 34.0% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,023,949 shares of the specialty chemicals company’s stock valued at $655,820,000 after purchasing an additional 513,126 shares in the last quarter. Institutional investors own 77.67% of the company’s stock.
Wall Street Analysts Forecast Growth Several analysts recently commented on SHW shares. Weiss Ratings lowered shares of Sherwin-Williams from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday. JPMorgan Chase & Co. dropped their price target on Sherwin-Williams from $385.00 to $365.00 and set an “overweight” rating on the stock in a report on Wednesday, April 29th. Zacks Research upgraded Sherwin-Williams from a “strong sell” rating to a “hold” rating in a research report on Tuesday, March 31st. UBS Group lowered Sherwin-Williams from a “buy” rating to a “neutral” rating and reduced their price objective for the stock from $385.00 to $330.00 in a research note on Tuesday, June 2nd. Finally, Royal Bank Of Canada restated an “outperform” rating and issued a $405.00 target price (up from $391.00) on shares of Sherwin-Williams in a report on Wednesday, July 8th. Eight research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $374.38.
View Our Latest Analysis on SHW
Sherwin-Williams Stock Down 2.2% SHW stock opened at $323.98 on Tuesday. The company has a debt-to-equity ratio of 2.10, a current ratio of 0.86 and a quick ratio of 0.53. The firm has a market capitalization of $79.91 billion, a P/E ratio of 31.09, a P/E/G ratio of 2.86 and a beta of 1.10. The Sherwin-Williams Company has a 52-week low of $289.86 and a 52-week high of $379.65. The company’s 50 day simple moving average is $319.95 and its 200-day simple moving average is $332.52.
Sherwin-Williams (NYSE:SHW – Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The specialty chemicals company reported $2.35 earnings per share for the quarter, topping the consensus estimate of $2.27 by $0.08. Sherwin-Williams had a net margin of 10.86% and a return on equity of 64.55%. The firm had revenue of $5.67 billion for the quarter, compared to analysts’ expectations of $5.56 billion. During the same period in the previous year, the company posted $2.25 EPS. The company’s quarterly revenue was up 6.9% compared to the same quarter last year. Sherwin-Williams has set its FY 2026 guidance at 11.500-11.900 EPS. As a group, equities research analysts anticipate that The Sherwin-Williams Company will post 11.78 EPS for the current year.
Sherwin-Williams Announces Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were given a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend was Friday, May 22nd. Sherwin-Williams’s payout ratio is presently 30.71%.
Sherwin-Williams Profile (Free Report)
Sherwin-Williams (NYSE: SHW) is a global manufacturer and distributor of paints, coatings and related products. Founded in 1866 and headquartered in Cleveland, Ohio, the company supplies a broad range of coatings for residential, commercial and industrial applications. Its product offering includes architectural paints and stains, industrial and protective coatings, automotive finishes, and a variety of sundry products such as primers, sealants and specialty treatments used by professionals and consumers.
The company sells through multiple channels, including a large network of company-operated retail paint stores that serve professional contractors and do-it-yourself consumers, as well as through distributors and mass retailers.
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Andra AP fonden raised its stake in shares of The Sherwin-Williams Company (NYSE:SHW – Free Report) by 23.5% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 75,380 shares of the specialty chemicals company’s stock after buying an additional 14,360 shares during the quarter. Andra AP fonden’s holdings in Sherwin-Williams were worth $24,163,000 as of its most recent filing with the Securities and Exchange Commission (SEC).
Several other hedge funds have also recently modified their holdings of the stock. Wilkerson Advisory Group LLC increased its holdings in shares of Sherwin-Williams by 172.4% in the first quarter. Wilkerson Advisory Group LLC now owns 79 shares of the specialty chemicals company’s stock worth $25,000 after purchasing an additional 50 shares during the last quarter. Ares Financial Consulting LLC bought a new position in Sherwin-Williams during the fourth quarter valued at approximately $27,000. Lloyd Advisory Services LLC. purchased a new position in Sherwin-Williams during the 4th quarter valued at approximately $27,000. Whipplewood Advisors LLC bought a new stake in Sherwin-Williams in the 1st quarter worth approximately $28,000. Finally, Kemnay Advisory Services Inc. purchased a new stake in shares of Sherwin-Williams during the 4th quarter worth approximately $30,000. Hedge funds and other institutional investors own 77.67% of the company’s stock.
Wall Street Analysts Forecast Growth SHW has been the topic of several research reports. Berenberg Bank set a $380.00 price target on shares of Sherwin-Williams in a research report on Monday, June 8th. Wells Fargo & Company dropped their price objective on shares of Sherwin-Williams from $365.00 to $350.00 and set an “equal weight” rating for the company in a research note on Wednesday, April 29th. Royal Bank Of Canada restated an “outperform” rating and issued a $405.00 target price (up from $391.00) on shares of Sherwin-Williams in a report on Wednesday, July 8th. JPMorgan Chase & Co. lowered their price target on shares of Sherwin-Williams from $385.00 to $365.00 and set an “overweight” rating for the company in a report on Wednesday, April 29th. Finally, Mizuho dropped their price target on Sherwin-Williams from $410.00 to $371.00 and set an “outperform” rating for the company in a research report on Monday, March 23rd. Eight research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat, Sherwin-Williams has a consensus rating of “Moderate Buy” and a consensus price target of $374.38.
View Our Latest Stock Report on SHW
Sherwin-Williams Price Performance Sherwin-Williams stock opened at $323.98 on Tuesday. The firm has a 50-day moving average price of $319.95 and a 200-day moving average price of $332.52. The firm has a market capitalization of $79.91 billion, a PE ratio of 31.09, a price-to-earnings-growth ratio of 2.86 and a beta of 1.10. The company has a current ratio of 0.86, a quick ratio of 0.53 and a debt-to-equity ratio of 2.10. The Sherwin-Williams Company has a 12-month low of $289.86 and a 12-month high of $379.65.
Sherwin-Williams (NYSE:SHW – Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The specialty chemicals company reported $2.35 EPS for the quarter, beating the consensus estimate of $2.27 by $0.08. Sherwin-Williams had a net margin of 10.86% and a return on equity of 64.55%. The company had revenue of $5.67 billion for the quarter, compared to the consensus estimate of $5.56 billion. During the same period in the prior year, the firm posted $2.25 EPS. The firm’s revenue was up 6.9% compared to the same quarter last year. Sherwin-Williams has set its FY 2026 guidance at 11.500-11.900 EPS. As a group, equities research analysts forecast that The Sherwin-Williams Company will post 11.78 EPS for the current year.
Sherwin-Williams Announces Dividend The firm also recently announced a quarterly dividend, which was paid on Friday, June 5th. Shareholders of record on Friday, May 22nd were paid a $0.80 dividend. The ex-dividend date was Friday, May 22nd. This represents a $3.20 dividend on an annualized basis and a yield of 1.0%. Sherwin-Williams’s dividend payout ratio (DPR) is presently 30.71%.
About Sherwin-Williams (Free Report)
Sherwin-Williams (NYSE: SHW) is a global manufacturer and distributor of paints, coatings and related products. Founded in 1866 and headquartered in Cleveland, Ohio, the company supplies a broad range of coatings for residential, commercial and industrial applications. Its product offering includes architectural paints and stains, industrial and protective coatings, automotive finishes, and a variety of sundry products such as primers, sealants and specialty treatments used by professionals and consumers.
The company sells through multiple channels, including a large network of company-operated retail paint stores that serve professional contractors and do-it-yourself consumers, as well as through distributors and mass retailers.
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Copeland Capital Management LLC trimmed its position in The Sherwin-Williams Company (NYSE:SHW – Free Report) by 97.3% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,027 shares of the specialty chemicals company’s stock after selling 36,415 shares during the quarter. Copeland Capital Management LLC’s holdings in Sherwin-Williams were worth $329,000 as of its most recent SEC filing.
Several other hedge funds have also made changes to their positions in SHW. Assetmark Inc. grew its position in Sherwin-Williams by 0.7% in the first quarter. Assetmark Inc. now owns 33,178 shares of the specialty chemicals company’s stock worth $10,635,000 after acquiring an additional 232 shares during the period. Angeles Wealth Management LLC increased its stake in Sherwin-Williams by 0.4% during the first quarter. Angeles Wealth Management LLC now owns 12,152 shares of the specialty chemicals company’s stock worth $3,895,000 after acquiring an additional 46 shares during the last quarter. Allspring Global Investments Holdings LLC raised its position in Sherwin-Williams by 22.6% in the first quarter. Allspring Global Investments Holdings LLC now owns 263,709 shares of the specialty chemicals company’s stock valued at $85,890,000 after purchasing an additional 48,540 shares during the period. Independent Financial Group LLC purchased a new stake in Sherwin-Williams in the first quarter valued at $1,535,000. Finally, Aware Super Pty Ltd as trustee of Aware Super acquired a new position in shares of Sherwin-Williams in the 1st quarter valued at $20,087,000. Hedge funds and other institutional investors own 77.67% of the company’s stock.
Sherwin-Williams Trading Down 1.9% Shares of NYSE SHW opened at $331.57 on Friday. The Sherwin-Williams Company has a twelve month low of $289.86 and a twelve month high of $379.65. The company has a current ratio of 0.86, a quick ratio of 0.53 and a debt-to-equity ratio of 2.10. The stock has a fifty day simple moving average of $319.72 and a 200-day simple moving average of $332.48. The stock has a market capitalization of $81.78 billion, a PE ratio of 31.82, a PEG ratio of 2.86 and a beta of 1.10.
Sherwin-Williams (NYSE:SHW – Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The specialty chemicals company reported $2.35 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.27 by $0.08. Sherwin-Williams had a return on equity of 64.55% and a net margin of 10.86%.The firm had revenue of $5.67 billion for the quarter, compared to the consensus estimate of $5.56 billion. During the same quarter in the previous year, the business earned $2.25 EPS. The company’s quarterly revenue was up 6.9% compared to the same quarter last year. Sherwin-Williams has set its FY 2026 guidance at 11.500-11.900 EPS. On average, equities analysts forecast that The Sherwin-Williams Company will post 11.78 earnings per share for the current year.
Sherwin-Williams Announces Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, June 5th. Stockholders of record on Friday, May 22nd were given a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a dividend yield of 1.0%. The ex-dividend date of this dividend was Friday, May 22nd. Sherwin-Williams’s dividend payout ratio is currently 30.71%.
Wall Street Analyst Weigh In A number of equities analysts have recently weighed in on SHW shares. Weiss Ratings cut Sherwin-Williams from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday. Citigroup initiated coverage on shares of Sherwin-Williams in a research report on Wednesday, June 24th. They issued an “overweight” rating on the stock. BMO Capital Markets increased their target price on shares of Sherwin-Williams from $355.00 to $400.00 and gave the stock an “outperform” rating in a research note on Monday, July 6th. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $405.00 target price (up from $391.00) on shares of Sherwin-Williams in a research note on Wednesday, July 8th. Finally, UBS Group cut shares of Sherwin-Williams from a “buy” rating to a “neutral” rating and dropped their price target for the company from $385.00 to $330.00 in a research report on Tuesday, June 2nd. Eight investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, Sherwin-Williams presently has a consensus rating of “Moderate Buy” and an average target price of $374.38.
View Our Latest Stock Report on SHW
Sherwin-Williams Company Profile (Free Report)
Sherwin-Williams (NYSE: SHW) is a global manufacturer and distributor of paints, coatings and related products. Founded in 1866 and headquartered in Cleveland, Ohio, the company supplies a broad range of coatings for residential, commercial and industrial applications. Its product offering includes architectural paints and stains, industrial and protective coatings, automotive finishes, and a variety of sundry products such as primers, sealants and specialty treatments used by professionals and consumers.
The company sells through multiple channels, including a large network of company-operated retail paint stores that serve professional contractors and do-it-yourself consumers, as well as through distributors and mass retailers.
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Allspring Global Investments Holdings LLC raised its position in The Sherwin-Williams Company (NYSE:SHW – Free Report) by 22.6% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 263,709 shares of the specialty chemicals company’s stock after purchasing an additional 48,540 shares during the quarter. Allspring Global Investments Holdings LLC owned about 0.11% of Sherwin-Williams worth $85,890,000 as of its most recent filing with the Securities and Exchange Commission.
A number of other hedge funds also recently made changes to their positions in SHW. Vanguard Group Inc. grew its stake in shares of Sherwin-Williams by 2.7% in the fourth quarter. Vanguard Group Inc. now owns 23,237,824 shares of the specialty chemicals company’s stock worth $7,529,752,000 after purchasing an additional 600,119 shares in the last quarter. State Street Corp raised its stake in shares of Sherwin-Williams by 2.4% in the 4th quarter. State Street Corp now owns 15,638,974 shares of the specialty chemicals company’s stock worth $5,067,497,000 after buying an additional 364,832 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Sherwin-Williams by 0.7% in the fourth quarter. Geode Capital Management LLC now owns 5,231,615 shares of the specialty chemicals company’s stock valued at $1,687,498,000 after buying an additional 37,145 shares during the period. Norges Bank acquired a new stake in shares of Sherwin-Williams in the fourth quarter valued at $1,089,450,000. Finally, Viking Global Investors LP lifted its holdings in Sherwin-Williams by 10.1% in the 4th quarter. Viking Global Investors LP now owns 3,172,308 shares of the specialty chemicals company’s stock valued at $1,027,923,000 after acquiring an additional 291,217 shares during the last quarter. Institutional investors own 77.67% of the company’s stock.
Wall Street Analysts Forecast Growth SHW has been the topic of several recent research reports. Bank of America decreased their price target on shares of Sherwin-Williams from $370.00 to $365.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 21st. JPMorgan Chase & Co. reduced their price objective on Sherwin-Williams from $385.00 to $365.00 and set an “overweight” rating for the company in a research note on Wednesday, April 29th. Evercore restated an “outperform” rating on shares of Sherwin-Williams in a report on Friday, May 8th. UBS Group lowered Sherwin-Williams from a “buy” rating to a “neutral” rating and cut their target price for the stock from $385.00 to $330.00 in a research report on Tuesday, June 2nd. Finally, Mizuho reduced their target price on Sherwin-Williams from $410.00 to $371.00 and set an “outperform” rating for the company in a report on Monday, March 23rd. Eight analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $374.38.
Read Our Latest Stock Analysis on Sherwin-Williams
Sherwin-Williams Price Performance Shares of Sherwin-Williams stock opened at $331.57 on Friday. The company has a debt-to-equity ratio of 2.10, a current ratio of 0.86 and a quick ratio of 0.53. The company has a market cap of $81.78 billion, a PE ratio of 31.82, a price-to-earnings-growth ratio of 2.92 and a beta of 1.10. The firm has a fifty day moving average price of $319.72 and a two-hundred day moving average price of $332.48. The Sherwin-Williams Company has a fifty-two week low of $289.86 and a fifty-two week high of $379.65.
Sherwin-Williams (NYSE:SHW – Get Free Report) last announced its quarterly earnings data on Tuesday, April 28th. The specialty chemicals company reported $2.35 EPS for the quarter, topping analysts’ consensus estimates of $2.27 by $0.08. The company had revenue of $5.67 billion during the quarter, compared to the consensus estimate of $5.56 billion. Sherwin-Williams had a return on equity of 64.55% and a net margin of 10.86%.The company’s quarterly revenue was up 6.9% on a year-over-year basis. During the same quarter last year, the company earned $2.25 EPS. Sherwin-Williams has set its FY 2026 guidance at 11.500-11.900 EPS. Analysts expect that The Sherwin-Williams Company will post 11.77 EPS for the current year.
Sherwin-Williams Dividend Announcement The company also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were issued a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend was Friday, May 22nd. Sherwin-Williams’s dividend payout ratio (DPR) is currently 30.71%.
Sherwin-Williams Profile (Free Report)
Sherwin-Williams (NYSE: SHW) is a global manufacturer and distributor of paints, coatings and related products. Founded in 1866 and headquartered in Cleveland, Ohio, the company supplies a broad range of coatings for residential, commercial and industrial applications. Its product offering includes architectural paints and stains, industrial and protective coatings, automotive finishes, and a variety of sundry products such as primers, sealants and specialty treatments used by professionals and consumers.
The company sells through multiple channels, including a large network of company-operated retail paint stores that serve professional contractors and do-it-yourself consumers, as well as through distributors and mass retailers.
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Remember when the biggest market worry was whether Samsung's (SSNLF +0.00%) earnings were too good? That was Tuesday, aka ages ago. By Wednesday, investors have moved on to weightier concerns such as whether the United States and Iran are about to resume full-scale hostilities.
President Trump declared the interim cease-fire "over" at a NATO summit in Turkey, and Wall Street took the news about as well as expected. The Dow Jones Industrial Average (^DJI 1.05%) fell 1.4% by 12:27 p.m. ET, bearing the brunt of the sell-off. The S&P 500 (^GSPC 0.36%) and Nasdaq Composite (^IXIC 0.13%) indexes each declined 0.7%.
^IXIC data by YCharts
Iran escalation sends oil higher and stocks lower Oil had another good day, which means something probably caught fire again. Sure enough, the Strait of Hormuz remains a mess. Ship traffic through the critical waterway had just started recovering when Tuesday's tanker attacks and subsequent U.S. strikes threw the region back into chaos. The United States Oil Fund (USO +2.42%) jumped 4.4% as Brent crude climbed above $78 per barrel.
The Dow's underperformance relative to the tech-heavy Nasdaq reflects the composition of today's losers.
Goldman Sachs (GS 1.55%) dropped 2.8%, erasing roughly 176 points from the index by itself. Honeywell International (HON 1.53%) continued its post-spinoff slide, falling another 9.7% after losing 8.5% on Tuesday. Sherwin-Williams (SHW 3.24%), Home Depot (HD 2.45%), and American Express (AXP 4.12%) each shed more than 3%. Only six Dow stocks were trading in the green as of this writing.
Image source: Getty Images.
Meanwhile, semiconductor stocks decided they'd had enough of the doom and gloom. The iShares Semiconductor ETF (SOXX +1.87%) rose 1%, breaking a three-day losing streak. Broadcom (AVGO +5.09%) led the charge with a 3.7% gain. Micron Technology (MU +0.07%) traded flat, which counts as a stabilizing victory after losing 7% yesterday.
Alphabet (GOOGL 2.30%) and Amazon (AMZN 1.64%) weren't so lucky, falling 1.9% and 2%, respectively.
And investors lost interest in safe havens despite the turmoil in Iran. Gold (GLD 1.06%) fell 1.75%, and Bitcoin (BTC 2.79%) dropped 3%. When both gold and crypto sell off during geopolitical turmoil, it usually means investors are being extra careful with their money. Who needs a safe investment when you can just convert your assets to cash, right?
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What comes next? The market's attention span is remarkably short. Just yesterday, everyone was convinced AI had peaked because Samsung made too much money. Today's semiconductor bounce suggests the "peak AI" panic may have been premature. It wouldn't be the first time Wall Street jumps to conclusions, only to reverse course right away.
The situation in the Persian Gulf remains fluid. Funeral processions for Iran's Supreme Leader Khamenei are scheduled to conclude July 9, after which negotiations could theoretically resume. But Trump's comments at the NATO summit in Turkey suggest the administration has little interest in returning to the table soon. And both sides are taking military action at the moment. The ceasefire looks fragile, to be polite.
For long-term investors, days like today are noise. For everyone else, buckle up. The road ahead looks bumpy.
American Express is an advertising partner of Motley Fool Money. Anders Bylund has positions in Alphabet, Amazon, American Express, Bitcoin, and Micron Technology. The Motley Fool has positions in and recommends Alphabet, Amazon, American Express, Bitcoin, Broadcom, Goldman Sachs Group, Home Depot, Honeywell Technologies, Micron Technology, and iShares Trust-iShares Semiconductor ETF. The Motley Fool recommends Sherwin-Williams. The Motley Fool has a disclosure policy.
Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- The Sherwin-Williams Company (NYSE: SHW) will issue a press release announcing its financial results for the second quarter ended June 30, 2026, prior to market open on Tuesday, July 28, 2026. At that time, a copy of the press release and information regarding Sherwin-Williams' financial condition, reportable segment results and other information will be available by clicking on this link Sherwin-Williams Press Releases, then clicking on the reference to the July 28 release.
The Company will host a conference call to discuss its financial results for the second quarter, and its outlook for the third quarter and full year 2026, at 10:00 a.m. EDT on Tuesday, July 28, 2026. Participating on the call will be Sherwin-Williams' Chair, President and Chief Executive Officer, Heidi Petz, along with other senior executives.
The conference call will be webcast simultaneously in listen only mode. To listen to the webcast on the Sherwin-Williams website, click on this link Sherwin-Williams Quarterly Results, then click on the webcast icon following the reference to the Q2 Webcast. An archived replay of the webcast will be available at the same link beginning approximately two hours after the call ends.
On June 24, 2026, we present a DCF analysis for Sherwin-Williams Co SHW , a company that has experienced a mixed price performance recently, with a year-to-date change of +0.1% and a one-year decline of -5.2%. Below are key highlights from our analysis:
DCF Earnings-based intrinsic value of $218.38 compared to current price of $322.90 (margin of safety: -47.9%) DCF FCF-based intrinsic value of $167.65 compared to current price (second opinion: -92.6% margin of safety) GF Score™ of 87/100 indicates a strong reliability of the DCF inputs What Is SHW Worth? DCF Earnings-Based Model To determine the intrinsic value of Sherwin-Williams Co SHW , we employed a two-stage DCF model. The first stage accounts for a growth phase over the next ten years, while the second stage considers a terminal phase extending an additional ten years.
Parameter Value Current EPS (TTM, excl. non-recurring) $11.55 10-Year Growth Rate 12.5% 10-Year Treasury Rate 4.49% Discount Rate (ceil(Treasury) + 6%) 11% Terminal Growth Rate 4% In the growth phase (Years 1-10), we project that EPS will grow at a rate of 12.5% per year, which is then discounted at a rate of 11%. The calculated value for this growth stage is $124.44 per share. Following this, in the terminal phase (Years 11-20), we assume a slower growth rate of 4%, also discounted at 11%, yielding a terminal stage value of $93.94 per share.
Stage Description Value Growth Stage (Years 1-10) EPS growing at 12.5%, discounted at 11% $124.44 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 11% $93.94 Intrinsic Value Growth + Terminal $218.38 With the current price at $322.90, the intrinsic value of $218.38 indicates that the stock is modestly overvalued, reflecting a margin of safety of -47.9%. It is important to note that GuruFocus uses EPS without non-recurring items, as research shows that stock prices correlate more closely with earnings than with free cash flow. For further calculations, you can visit the SHW DCF Calculator.
What Does the Free Cash Flow DCF Say? In addition to the earnings-based model, we also evaluated Sherwin-Williams using a free cash flow (FCF) DCF model. The intrinsic value derived from this approach is $167.65 per share. When comparing this FCF-based value to the earnings-based value of $218.38, we find that both models indicate the stock is modestly overvalued, with a margin of safety of -92.6% for the FCF model.
How Does GF Value™ Compare to the DCF Models? The GF Value™ for Sherwin-Williams is $354.78, providing a third perspective on valuation. GF Value™ is GuruFocus' proprietary measure calculated from historical trading multiples, past business growth, and future performance estimates. While the DCF models suggest the stock is overvalued, the GF Value™ indicates it is undervalued, leading to a divergence in valuation perspectives. For more details, visit the GF Value™ page.
What Does SHW's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns (backtested from 2006 to 2021).
Metric Rating GF Score™ 87/100 Financial Strength 5/10 Profitability 9/10 Growth 8/10 Valuation 10/10 Momentum 5/10 The predictability rank for Sherwin-Williams is 2/5 stars, indicating that the DCF model may be less reliable for this stock. For more information, visit the SHW stock page.
Key Assumptions and Limitations It is essential to recognize that DCF models are highly sensitive to the assumptions made regarding growth rates and discount rates. Additionally, stocks with low predictability ratings tend to produce less reliable DCF estimates. The terminal growth rate of 4% is a simplifying assumption that may not reflect actual future growth.
What This Means for Investors In summary, the three valuation models—DCF earnings, DCF FCF, and GF Value™—present a mixed picture for Sherwin-Williams. The DCF models indicate that the stock is overvalued, while the GF Value™ suggests it is undervalued. Overall, the consensus leans towards the stock being overvalued. For the full DCF analysis, visit the SHW DCF Calculator. You can also explore the GF Value™ page, or use the GuruFocus Stock Screener to find undervalued predictable companies.
Frequently Asked Questions What is SHW's intrinsic value based on DCF?
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Sherwin-Williams leverages its vast store network and pricing power to drive resilient growth despite soft end-market demand. SHW's Q1 2026 net sales rose 6.8% year-over-year, aided by the Suvinil acquisition and incremental price increases. Trading at a forward P/E of 27, SHW offers a marginal discount to its fair value estimate of $322 per share.
For the quarter ended March 2026, Sherwin-Williams (SHW - Free Report) reported revenue of $5.67 billion, up 6.8% over the same period last year. EPS came in at $2.35, compared to $2.25 in the year-ago quarter.
The reported revenue represents a surprise of +1.79% over the Zacks Consensus Estimate of $5.57 billion. With the consensus EPS estimate being $2.24, the EPS surprise was +4.91%.
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.
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 Sherwin-Williams performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net New Stores - Paint Stores Group: -6 versus the two-analyst average estimate of 17.Total stores - Paint Stores Group: 4,847 versus 4,870 estimated by two analysts on average.Net Sales- Paint Stores Group: $3.05 billion versus the four-analyst average estimate of $3.01 billion. The reported number represents a year-over-year change of +3.8%.Net Sales- Consumer Brands Group: $908.3 million versus $880.66 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +19.2% change.Net Sales- Performance Coatings Group: $1.71 billion versus $1.68 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +6.5% change.Net Sales- Administrative: $2.9 million compared to the $1.41 million average estimate based on three analysts. The reported number represents a change of +70.6% year over year.Segment Profit- Paint Stores Group: $558.8 million versus $563.21 million estimated by four analysts on average.Adjusted segment profit- Performance Coatings Group (PCG): $281.5 million versus $288.84 million estimated by four analysts on average.Adjusted segment profit- Consumer Brands Group (CBG): $212.8 million versus $171.48 million estimated by four analysts on average.View all Key Company Metrics for Sherwin-Williams here>>>
Shares of Sherwin-Williams have returned +6.4% over the past month versus the Zacks S&P 500 composite's +12.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
Key Takeaways SHW posted Q1 adjusted EPS of $2.35, beating the consensus estimate of $2.24.Sherwin-Williams revenue rose 6.8% to $5.67B, helped by the Suvinil acquisition.SHW returned $772.7M via dividends and buybacks and reaffirmed 2026 EPS guidance of $10.70-$11.10. The Sherwin-Williams Company (SHW - Free Report) reported first-quarter 2026 earnings of $2.15 per share, up 7.5% from the year-ago quarter figure of $2.
Barring one-time items, earnings were $2.35 per share. The bottom line beat the Zacks Consensus Estimate of $2.24, delivering a positive earnings surprise of 4.9%.
Revenues were $5.67 billion, up 6.8% year over year and ahead of the Zacks Consensus Estimate of $5.57 billion. Net income rose 6.1% to $534.7 million, representing 9.4% of net sales, as management pointed to growth initiatives and share gains despite soft demand conditions. Sherwin-Williams attributed the improvement primarily to higher sales and moderating raw material costs, partially offset by the dilutive impact of the Suvinil acquisition.
Selling, general and administrative expenses rose to $1.97 billion or 34.8% of net sales compared with 33.8% in the prior-year quarter. EBITDA climbed 8.8% to $998.2 million.
SHW’s Q1 Segmental ReviewPaint Stores Group’s net sales increased 3.7% year over year to $3.05 billion. Same-store sales rose to 2.4%, and segment profit grew 3.3% to $558.8 million, with a reported segment margin of 18.3%.
Consumer Brands Group net sales jumped 19.2% to $908.3 million, driven mainly by the Suvinil acquisition, a 2.4% favorable foreign currency translation impact and higher sales in Europe, partly offset by softer DIY demand in North America. Segment profit surged 49.5% to $197.2 million, with a reported segment margin of 21.7%, while adjusted segment profit was $212.8 million and adjusted segment margin was 23.4%.
Performance Coatings Group net sales rose 6.5% to $1.71 billion, aided by a 4.1% favorable foreign currency translation impact and low-single-digit volume growth. Segment profit increased 9.3% to $232.4 million, taking the reported segment margin to 13.6%, while adjusted segment profit increased to $281.5 million and adjusted segment margin held at 16.5%.
Sherwin-Williams witnessed heightened global uncertainty and continued softness across most end markets. The growth investments and a focus on winning new accounts and expanding share of wallet supported results in the reported quarter. Targeted price increases by end market and geography, paired with cost-out actions, were employed to limit the burden of inflation on customers. These geopolitical events and potential inflation tied to raw materials, energy, logistics and packaging remain swing factors as 2026 progresses.
Sherwin-Williams Cash Returns and Balance SheetSherwin-Williams generated $139.1 million in net operating cash flow in the quarter. The company returned $772.7 million to shareholders through dividends and share repurchases, including the buyback of 1.6 million shares in the reported quarter.
As of March 31, 2026, cash and cash equivalents were $216.9 million. The company reported short-term borrowings of $2.38 billion and long-term debt of $9.32 billion, while noting it had remaining authorization to repurchase 28 million shares through open market purchases.
SHW’s OutlookFor the second quarter of 2026, Sherwin-Williams expects consolidated net sales to be up a mid-single-digit percentage versus the second quarter of 2025. The company reiterated that it continues to anticipate little to no recovery in most end markets this year based on customer sentiment and the leading indicators it monitors.
For full-year 2026, Sherwin-Williams reaffirmed earnings guidance of $10.70-$11.10 per share and adjusted earnings guidance of $11.50-$11.90, while maintaining an effective tax rate expectation in the low 20% range and projecting net sales growth of a low to mid-single-digit percentage versus 2025.
SHW’s Price PerformanceShares of Sherwin-Williams have lost 3.4% in the past year compared with the industry’s 9.7% rise.
Image Source: Zacks Investment Research
SHW’s Zacks Rank & Key PicksSHW currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the basic materials space are CF Industries Holdings, Inc. (CF - Free Report) , Compass Minerals International, Inc. (CMP - Free Report) and Air Products and Chemicals, Inc. (APD - Free Report) .
CF Industries is slated to report first-quarter 2026 results on May 6. The Zacks Consensus Estimate for earnings is pegged at $2.35 per share, indicating 27.03% year-over-year growth. CF sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Compass Mineral is slated to report second-quarter fiscal 2026 results on May 6. The consensus estimate for CMP’s earnings per share is pegged at 66 cents. CMP presently carries a Zacks Rank #1.
Air Products is scheduled to report second-quarter fiscal 2026 results on April 30. The Zacks Consensus Estimate for APD’s second-quarter earnings per share is pegged at $3.05, indicating 13.38% year-over-year growth. APD carries a Zacks Rank #2 (Buy) at present.
Sherwin-Williams NYSE: SHW fell about 3.5% the day the company delivered its Q1 2026 earnings report. At a time when most investors are attuned to look beyond the headline numbers, the company’s guidance came in flat.
Sherwin-Williams Today
SHW
Sherwin-Williams
$317.24 +0.36 (+0.11%)
As of 03:59 PM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$289.86▼
$379.65Dividend Yield1.01%
P/E Ratio30.45
Price Target$366.77
Specifically, Sherwin-Williams cited elevated mortgage rates, which are contributing to a stagnant housing sector, as a reason to believe that do-it-yourself (DIY) consumer demand will be soft. But the softness isn’t just about new constructions. The company noted that current homeowners are curtailing spending on remodeling projects. Perhaps more unsettling is that the company doesn’t see any signs of reversal on the horizon.
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Adding to the list of investor concerns is the fallout from geopolitical tensions in the Middle East. Sherwin-Williams faces higher producer costs for raw materials, energy inputs, and transportation. The company plans to make selective price increases to mitigate that impact. However, it remains to be seen how successful that will be with waning demand.
Solid Earnings Show Resilience in a Weak Housing MarketThe April 28 report was solid. The company posted a beat on the top and bottom lines with adjusted earnings per share (EPS) of $2.35, beating expectations for $2.28 and up 4% year over year (YOY). More importantly, the company reiterated its forward guidance for full-year 2026 with a forecast of $11.70 at the midpoint. For the full year 2025, Sherwin-Williams posted adjusted EPS of $11.45.
Revenue of $5.67 billion beat expectations of $5.56 billion and was 6.7% higher than the $5.31 billion it posted in Q1 2025. The company guided for low to mid-single digit revenue growth for the full year.
That’s not a bad report, and it shows that Sherwin-Williams is leaning on its channel relationships and leading brands to work through the current business cycle.
Current Price$320.85High Forecast$390.00Average Forecast$366.77Low Forecast$330.00Sherwin-Williams Stock Forecast Details
One concern that investors need to work through is valuation. Analysts were lowering their price targets heading into the report. And the consensus price target of $375.33 as of April 30 is over 15% below the stock price. Investors also have to consider the company’s current price-to-earnings (P/E) ratio of around 31x. That’s a premium to the S&P 500, which is around 27x and the Specialty Chemicals sector, which is around 23x.
That said, Sherwin-Williams has a healthy balance sheet. The company’s operating cash of $139.1 million was a significant year-over-year improvement from the -$61.1 million it reported in Q1 2025. That supports the idea that SHW has the balance sheet discipline that can allow it to compound through a down cycle.
Dividend Growth and Long-Term Compounding Remain KeyPrior to the earnings report, Sherwin-Williams had announced it would issue a quarterly dividend of 80 cents per share, payable on June 8 to shareholders of record on May 22. The company is a Dividend Aristocrat, having increased its dividend for 48 consecutive years, putting it just two years away from Dividend King status.
And that’s where investors need to put their focus. Prior to the post-earnings dip, SHW had delivered a total return of just over 30% in the last five years. That’s reflective of the softness in the housing market. But zoom out to 10 years and beyond, and investors have received a total return that shows the company’s role as a compounder for both growth and value inside of a portfolio.
The problems at Sherwin-Williams are material, and they may exceed the company’s current valuation. The best the company can do is to control the controllables.
In this case, that’s delivering slow, steady growth. But that growth may accelerate if the housing market gets a boost from falling mortgage rates, which could happen if the federal funds rate drops once, or even more, in 2026.
Should You Invest $1,000 in Sherwin-Williams Right Now?Before you consider Sherwin-Williams, you'll want to hear this.
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The Sherwin-Williams Company is rated Sell due to a premium valuation unsupported by near-term fundamentals and softening end-market demand. Q1 '26 results showed headline growth, but organic constant-currency growth was weak, with volumes declining and acquisitions/FX driving most gains. Management reaffirmed full-year EPS guidance but shifted composition to pricing-led growth as volumes are now expected to decline low single digits.
RENO, Nev., May 08, 2026 (GLOBE NEWSWIRE) -- ITS Logistics, an Echo Global Logistics company, announced that major paint manufacturer Sherwin-Williams increased freight utilization by 11% through ITS's retail store delivery solution — delivering 56 million pounds of freight to nearly 400 retail locations across the U.S. The solution has enabled Sherwin-Williams to scale peak season capacity while ensuring the brand's strict driver and operational standards are upheld by an external transportation provider.
"Drivers are usually pulling a blue Sherwin-Williams trailer. That's a 48-foot billboard going down the road,” said Ted Taxon, Regional Transportation Manager at Sherwin-Williams. “It's incredibly important to have a partner that recognizes and reflects the same standard as our Sherwin team.”
Sherwin-Williams operates a private contracted fleet to move freight across its nationwide network of manufacturing facilities, distribution centers, and retail locations. When spring arrives, peak season challenges fleet capacity at their Reno distribution center (DC), which services the West Coast, Pacific Northwest, and into Arizona, Idaho, and Utah. For the past two years, ITS has served as a seamless extension of Sherwin-Williams' private fleet, supporting outbound capacity when demand spikes and delivering directly to Sherwin-Williams stores and retail partners.
"When Sherwin-Williams reaches out, the expectation for us is to get equipment on-site the same day and deliver by the following day,” said Matthew Cooper, Division Manager of Retail at ITS Logistics. “Today, roughly 90% of the loads we manage are delivered within 24 hours of when the store originally expected them, which protects delivery timelines and prevents stockouts during their busiest season of the year.”
ITS Logistics’ store delivery solution addresses the most demanding fulfillment challenges for private fleets: balancing strict brand and driver standards with cost-effective implementation of purchased transportation support. Asset-based providers lack the speed and flexibility Sherwin-Williams needs to cover variable freight volumes when the company’s private fleet is at capacity. Fully brokered solutions can move quickly and are more cost-effective, but struggle to ensure carriers are indistinguishable from private fleet drivers. Multi-stop, high-touch freight presents its own challenges, and Sherwin-Williams requires drivers to be experienced in navigating tight shopping centers and customer-facing retail environments.
ITS Logistics ensures all these expectations are met, handling carrier dispatch, driver briefing, store notification, ETA communication, and proactive delay advisement for every covered shipment.
“Our asset-lite model is key to the success of this high-service solution,” said Josh Allen, Chief Commercial Officer at ITS Logistics. “Drawing from our premium carriers and injecting ITS-owned assets already running on Sherwin-Williams’ lanes enables us to eliminate repositioning, backhaul, and capacity ceilings — ensuring speed and reducing costs so the solution is financially viable and complementary to Sherwin-Williams’ private fleet.”
Key results from the partnership include:
56 million pounds of freight delivered to Sherwin-Williams store locations by ITS carrier partners in 2025, with an additional 11.7 million pounds already moved in early 2026.11% increase in outbound freight volumes from the Reno distribution center during the 2025 peak season, raising total freight utilization from 71.7% to 82.7%.Approximately 400 locations served, encompassing 90% of all Sherwin-Williams stores and retail partners within the Western United States.
"Purchased transportation could sometimes be construed as a necessary evil. I don't look at it that way. I look at it as building a partnership — one that gives us the flexibility to maintain a consistent fleet of drivers and increase capacity when there’s demand,” Taxon continued. “At the end of the day, this has been a successful partnership, and we will continue to utilize each other's strengths and needs as best we can to benefit both parties.”
ITS Logistics provides store delivery solutions for major retailers in the consumer goods and home improvement industries. To learn more about ITS Logistics' store delivery capabilities, visit here.
About Echo Global Logistics
Echo Global Logistics, Inc. is a leading provider of technology-enabled transportation and supply chain management services. Headquartered in Chicago with more than 60 locations across North America, Echo offers freight brokerage and Managed Transportation Solutions across all major modes including Truckload, Partial Truckload, LTL, Intermodal, Cross-Border, Food-Grade and Temperature-Controlled shipping and warehousing, and Warehouse Services. Echo leverages its proprietary technology platform—including automation, machine learning, and AI-driven decision support—to help customers optimize transportation performance, improve visibility, and simplify supply chain execution across complex supply chains. For more information on Echo Global Logistics, visit: www.echo.com.
About ITS Logistics
ITS Logistics, an Echo Global Logistics company, is one of North America’s fastest-growing, asset-based modern 3PLs, providing solutions for the industry’s most complicated supply chain challenges. With a people-first culture committed to excellence, the company relentlessly strives to deliver unmatched value through best-in-class service, expertise, and innovation. The ITS Logistics portfolio features North America’s #16 asset-lite freight brokerage, a top drayage and intermodal solution, an asset-based dedicated fleet, an innovative cloud-based technology ecosystem, and a nationwide distribution and fulfillment network.
About The Sherwin-Williams Company
Founded in 1866, The Sherwin-Williams Company is a global leader in the manufacture, development, distribution, and sale of paint, coatings and related products to professional, industrial, commercial and retail customers. The Company manufactures products under well-known brands such as Sherwin-Williams®, Valspar®, HGTV HOME® by Sherwin-Williams, Dutch Boy®, Krylon®, Minwax®, Thompson's® WaterSeal®, Cabot®, Suvinil® and many more. With global headquarters in Cleveland, Ohio, Sherwin-Williams® branded products are sold exclusively through a chain of more than 5,400 Company-operated stores and branches, while the Company's other brands are sold through leading mass merchandisers, home centers, independent paint dealers, hardware stores, automotive retailers and industrial distributors. The Sherwin-Williams Performance Coatings Group supplies a broad range of highly-engineered solutions for the construction, industrial, packaging and transportation markets in more than 120 countries around the world. Sherwin-Williams shares are traded on the New York Stock Exchange (symbol: SHW). For more information, visit www.sherwin.com.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/68144c74-26e4-452a-916f-77b3dd82e78a
Sherwin-Williams Increases Freight Utilization by 11% with Retail Store Delivery Solution by ITS Log... Partnership proves private fleets can improve utilization, protect brand standards, and scale for pe...
On May 13, 2026, we delve into the DCF analysis for Sherwin-Williams Co SHW , a company that has experienced a challenging price performance recently, with a year-to-date decline of 3.6% and a one-year drop of 11.7%. Below are some key highlights from our analysis:
DCF Earnings-based intrinsic value of $218.38 vs current price of $311.58 (margin of safety: -42.7%) DCF FCF-based intrinsic value of $167.65 vs current price (second opinion, margin of safety: -85.8%) GF Score™ of 90/100, indicating a high reliability of the DCF inputs What Is SHW Worth? DCF Earnings-Based Model The DCF earnings-based model for Sherwin-Williams Co SHW employs a two-stage approach to estimate intrinsic value. In the first stage, we project earnings growth over the next ten years, followed by a terminal phase to account for long-term growth expectations. The assumptions used in this model are as follows:
Parameter Value Current EPS (TTM, excl. non-recurring) $11.55 10-Year Growth Rate 12.5% 10-Year Treasury Rate 4.33% Discount Rate (ceil(Treasury) + 6%) 11% Terminal Growth Rate 4% In the first stage, we assume that EPS will grow at a rate of 12.5% per year for the next ten years, discounted at a rate of 11%. The estimated value from this growth stage is $124.44 per share. In the second stage, we apply a terminal growth rate of 4% for the following ten years, also discounted at 11%, yielding a terminal stage value of $93.94 per share. The summary of these calculations is as follows:
Stage Description Value Growth Stage (Years 1-10) EPS growing at 12.5%, discounted at 11% $124.44 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 11% $93.94 Intrinsic Value Growth + Terminal $218.38 With the current price at $311.58, the intrinsic value of $218.38 indicates that the stock is modestly overvalued, with a margin of safety of -42.7%. It is important to note that GuruFocus uses EPS excluding non-recurring items, as research shows stock prices correlate more closely with earnings than free cash flow. For further details, you can explore the SHW DCF Calculator.
What Does the Free Cash Flow DCF Say? The free cash flow (FCF) based DCF model provides an alternative perspective on the intrinsic value of Sherwin-Williams Co SHW , yielding an intrinsic value of $167.65. When comparing this FCF-based valuation with the earnings-based intrinsic value of $218.38, we observe a significant discrepancy. Both models indicate that the stock is modestly overvalued, with the FCF model showing a margin of safety of -85.8%.
How Does GF Value™ Compare to the DCF Models? The GF Value™ of Sherwin-Williams Co SHW is calculated at $352.88, providing a third valuation perspective. GF Value™ is GuruFocus' proprietary measure derived from historical trading multiples, past business growth, and future performance estimates. While the DCF earnings model suggests overvaluation, the GF Value™ indicates that the stock is undervalued. This divergence among the three models highlights the importance of considering multiple valuation methods. For more insights, visit the GF Value™ page.
What Does SHW's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns based on backtesting from 2006 to 2021. Below is a summary of SHW's GF Score™ metrics:
Metric Rating GF Score™ 90/100 Financial Strength 5/10 Profitability 9/10 Growth 8/10 Valuation 10/10 Momentum 7/10 With a predictability rank of 2/5 stars, the reliability of the DCF model for this stock is lower, suggesting caution in the interpretation of the DCF estimates. For more information, visit the SHW stock page.
Key Assumptions and Limitations It is crucial to recognize that DCF models are highly sensitive to growth rate and discount rate assumptions. Stocks with low predictability ratings, such as Sherwin-Williams Co SHW , produce less reliable DCF estimates. Additionally, the terminal growth rate of 4% is a simplifying assumption that may not accurately reflect future economic conditions.
What This Means for Investors In summary, the DCF earnings-based model suggests that Sherwin-Williams Co SHW is modestly overvalued at a price of $311.58 compared to the intrinsic value of $218.38. The FCF-based model reinforces this view, indicating a significant overvaluation with an intrinsic value of $167.65. However, the GF Value™ presents a contrasting perspective, suggesting the stock is undervalued at $352.88. Overall, the consensus across the three models indicates that SHW is overvalued. For the full DCF analysis, visit the SHW DCF Calculator. You can also explore the GF Value™ page, or use the GuruFocus Stock Screener to find undervalued predictable companies.
Frequently Asked Questions What is SHW's intrinsic value based on DCF?
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Cans of Dulux paint, an AkzoNobel brand, are seen on the shelf of a DIY retail store in Manchester, Britain, June 14, 2024. REUTERS/Phil Noble Purchase Licensing Rights, opens new tab
CompaniesMay 27 (Reuters) - Dulux paint maker AkzoNobel (AKZO.AS), opens new tab struck down a €12.5 billion ($14.6 billion) cash takeover offer from rivals Nippon Paint (4612.T), opens new tab and Sherwin-Williams (SHW.N), opens new tab on Wednesday, sending its shares 20% higher.
The offer price of €73 per share represented a premium of 39% to AkzoNobel's last closing price of €52.52 per share. The shares jumped to €63 by 1241 GMT, firmly on track for their best trading day since at least October 2008.
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Graph shows AkzoNobel share price close over the past 3 yearsAkzoNobel said the non-binding proposal undervalued its business, lacked deal certainty regarding regulatory clearances and would have split the company between the two suitors.
The Dutch company's board continues to recommend the planned merger with U.S. coatings maker Axalta (AXTA.N), opens new tab.
The planned merger, which shareholders are set to vote on in early July, would create a combined coatings company with an enterprise value of $25 billion, led by AkzoNobel CEO Greg Poux-Guillaume. The deal is expected to close in late 2026 or early 2027.
The two parties have said the merged entity would deliver $600 million in annual cost savings, most of them within the first three years.
DEAL OR NO DEAL?Under the rejected proposal, Nippon Paint would have acquired AkzoNobel and retained its decorative paints and industrial coatings businesses, while selling its automotive, marine and powder coatings divisions to Sherwin-Williams.
Nippon Paint Group and Sherwin‑Williams said in light of Azko's decision, the two companies "were considering their next steps, if any" and added they believe their proposal offered significant strategic benefits to AkzoNobel's businesses.
The joint proposal did not include any financing conditions and is not subject to approval from Sherwin-Williams and Nippon Paint shareholders, the companies said.
"Neither proposal qualified as a 'potentially superior' offer, compared to the Axalta merger," an AkzoNobel spokesperson said.
AkzoNobel's comments seem to suggest the proposal was rejected due to its price, brokerage MKI said in a note to investors, while noting the consortium could have deliberately timed its approach for when the share price was low.
"The hint here is probably that the consortium has more up its sleeve," MKI analysts wrote.
AkzoNobel had rejected a similar offer by Pittsburgh-based PPG Industries (PPG.N), opens new tab in 2017.
A hostile approach would be complicated by AkzoNobel's stichting, a Dutch legal entity designed as an anti-takeover mechanism, which holds 48 priority shares worth 400 votes each.
AkzoNobel's stichting is firmly committed to the Axalta merger, so if shareholders were to terminate that deal, the stichting could block the takeover bid and leave the company with no deal at all, MKI explained.
Therefore, Nippon Paint and Sherwin-Williams would likely need to offer a very high price and deep commitments to sway the company's board to abandon the existing plan, the analysts said.
Bank of America is advising Nippon Paint Group financially, with A&O Shearman as legal counsel. Sherwin-Williams has appointed Citi as its financial adviser, while Weil, Gotshal & Manges LLP and Stibbe are acting as its legal advisers.
($1 = 0.8593 euros)
Reporting by Dimitri Rhodes in Gdansk; Additional reporting by Katha Kalia in Bengaluru, editing by Milla Nissi-Prussak
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Shares of AkzoNobel surged on Wednesday after the Dutch paints and coatings maker disclosed that it had rejected a €12.49 billion ($14.53 billion) takeover proposal from Japan’s Nippon Paint Holdings and US-based Sherwin-Williams.
The stock climbed as much as 17% in early European trading to 61.38 euros, wiping out losses accumulated earlier this year, after investors reacted positively to the premium implied in the rejected proposal.
AkzoNobel said the indicative proposal valued the company at 73 euros per share, representing a 39% premium to Tuesday’s closing price of 52.52 euros.
The company revealed that the proposed transaction involved Nippon Paint launching an all-cash offer for AkzoNobel before splitting parts of the business with Sherwin-Williams after completion.
Under the structure outlined by AkzoNobel, Nippon Paint would retain the company’s decorative paints and industrial coatings operations.
Sherwin-Williams, meanwhile, would separately acquire AkzoNobel’s automotive and specialty coatings businesses, as well as its marine and protective coatings and powder coatings units.
AkzoNobel said it rejected the proposal on May 1 and had also turned down an earlier approach made on April 22.
“Neither proposal qualified as a ‘potentially superior’ offer, compared to the Axalta merger,” a company spokesperson told Reuters.
The company reiterated that both its management board and supervisory board continue to unanimously support the planned merger with US coatings company Axalta Coating Systems.
Brokerage KBC also said AkzoNobel remained committed to the Axalta transaction.
“Akzo considers its own merger proposal with Axalta to be superior and pushes ahead on this track,” KBC analysts wrote in a note.
Axalta merger remains central strategyAkzoNobel and Axalta announced their all-stock merger agreement in November, aiming to create a global coatings giant with a combined enterprise value of roughly $25 billion.
The merged entity is expected to be led by AkzoNobel Chief Executive Greg Poux-Guillaume and initially maintain dual listings in Amsterdam and New York.
The companies expect the transaction to close in late 2026 or early 2027.
AkzoNobel and Axalta have projected annual cost savings of approximately $600 million within three years of completing the merger, with around 90% of the synergies expected during that period.
The combined business would operate across more than 160 countries, significantly expanding its scale in industrial, automotive and decorative coatings markets.
Still, the Axalta merger has faced resistance from some shareholders since its announcement, amid questions over valuation and integration risks.
The takeover interest also comes against the backdrop of increasing consolidation pressure within the global coatings industry.
Last year, activist investor Cevian Capital disclosed a 5% stake in AkzoNobel and backed strategic changes at the company.
Cevian has historically pushed European companies toward mergers, breakups or acquisitions to unlock shareholder value.
However, CEO Greg Poux-Guillaume previously said Cevian was not involved in the decision to merge with Axalta.
Axalta itself has a substantial presence in industrial and automotive coatings markets.
The company generated around $5.3 billion in net sales in 2024, including strong contributions from refinish coatings, industrial coatings and vehicle OEM mobility coatings businesses.
AkzoNobel’s own performance coatings division, which spans automotive, marine, powder and industrial coatings applications, generated roughly €6.4 billion in third-party revenue last year.
The emergence of rival bidders highlights the strategic value of AkzoNobel’s assets at a time when coatings manufacturers are increasingly seeking scale, cost efficiencies and stronger global positioning amid uncertain economic conditions and fluctuating raw material costs.
, /PRNewswire/ -- Nippon Paint Group and Sherwin-Williams note today's press release issued by AkzoNobel regarding their proposal to acquire all of the issued and outstanding shares of AkzoNobel (the "Joint Proposal"). The Joint Proposal was rejected by the Boards of AkzoNobel, and Nippon Paint Group and Sherwin-Williams are considering their next steps, if any.
Nippon Paint Group and Sherwin-Williams carefully considered AkzoNobel's all-stock merger with Axalta announced on 18 November 2025, which set out an alternative path to AkzoNobel's standalone strategy. Nippon Paint Group and Sherwin-Williams thoroughly assessed options for engaging with AkzoNobel at this pivotal moment, in accordance with the terms of AkzoNobel's existing merger agreement with Axalta, and jointly submitted the comprehensive Joint Proposal to the Boards of AkzoNobel for a recommended public offer for AkzoNobel, taking the interests of all stakeholders of AkzoNobel into account. The Joint Proposal does not include any financing conditions and is not subject to Sherwin-Williams or Nippon Paint shareholders' approvals. The Joint Proposal submitted on 29 April 2026 followed a previous offer on 16 April 2026.
Nippon Paint Group and Sherwin-Williams expressed to the Boards of AkzoNobel their desire to enter into constructive discussions with AkzoNobel about the Joint Proposal, but AkzoNobel informed Nippon Paint Group and Sherwin‑Williams that its Boards rejected the Joint Proposal. In light of this decision, Nippon Paint Group and Sherwin‑Williams are considering their next steps if any.
The Joint Proposal envisages the acquisition of AkzoNobel's Decorative Paints and Industrial Coatings business ("Deco") by Nippon Paint Group and the acquisition of AkzoNobel's Marine & Protective Coatings, Automotive & Specialty Coatings and Powder Coatings businesses ("Coatings") by Sherwin-Williams.
Nippon Paint Group and Sherwin-Williams have assessed and taken into account the interests of all AkzoNobel stakeholders and firmly believe that the Joint Proposal offers significant strategic benefits to AkzoNobel's businesses. Both the Deco and Coatings businesses would become part of robust global platforms offering greater access to incremental resources and capital that would allow them to prosper and accelerate growth. Both combinations would provide AkzoNobel's businesses with clear strategic ownership with sustainable, successful business peers, with full respect for AkzoNobel's heritage, identity and businesses.
For Nippon Paint Group, the potential acquisition of AkzoNobel's Deco business would further strengthen its decorative paints portfolio, including the reunification of the Dulux brand on a global basis, while accelerating international growth across key markets.
For Sherwin-Williams, the potential acquisition of AkzoNobel's Coatings business would complement Sherwin-Williams's existing portfolio and enhance its position in certain specific premium coatings segments where Sherwin-Williams currently has limited presence.
Nippon Paint Group and Sherwin-Williams will provide further updates as appropriate and in accordance with applicable laws and regulations.
Bank of America is acting as financial advisor and A&O Shearman is serving as legal advisor to Nippon Paint Group. Citi is acting as financial advisor, and Weil, Gotshal & Manges LLP and Stibbe are both serving as legal advisors to Sherwin-Williams.
About Nippon Paint Group
Nippon Paint Group is a global leader in paint and adjacencies businesses—No. 1 in Asia and No. 4 worldwide—delivering innovative solutions that create high added value for customers. Headquartered in Japan, we accelerate growth through our unique Asset Assembler model built on two pillars: expanding our existing businesses and actively seeking M&A opportunities. With operations spanning 48 regions, we leverage strong brands and high-quality solutions to strengthen our competitive position in each market and continuously expand market share, driven by an unrelenting ambition to grow.
About The Sherwin-Williams Company
Founded in 1866, The Sherwin-Williams Company is a global leader in the manufacture, development, distribution, and sale of paint, coatings and related products to professional, industrial, commercial, and retail customers. The Company manufactures products under well-known brands such as Sherwin-Williams®, Valspar®, HGTV HOME® by Sherwin-Williams, Dutch Boy®, Krylon®, Minwax®, Thompson's® WaterSeal®, Cabot®, Suvinil® and many more. With global headquarters in Cleveland, Ohio, Sherwin-Williams® branded products are sold exclusively through more than 5,400 Company-operated stores and branches, while the Company's other brands are sold through leading mass merchandisers, home centers, independent paint dealers, hardware stores, automotive retailers, and industrial distributors. The Sherwin-Williams Performance Coatings Group supplies a broad range of highly-engineered solutions for the construction, industrial, packaging and transportation markets in more than 120 countries around the world. Sherwin-Williams shares are traded on the New York Stock Exchange (symbol: SHW). For more information, visit www.sherwin.com.
For more information
Nippon Paint Group
Media contact
Rene Loman
Spokesperson
[email protected]
+31 6 5185 2226 (direct)
Investor relations contact
Ryosuke Tanaka
Corporate Officer - General Manager, Investor Relations,
Sustainability and Public Relations
This communication contains forward-looking statements within the meaning of the U.S. securities laws. Such forward-looking statements can sometimes be identified by the use of forward-looking terms such as "believes," "expects," "may," "will," "shall," "should," "would," "could," "potential," "seeks," "intends," "plans," "estimates," "anticipates" or other comparable terms or negatives of these terms, but not all forward-looking statements include such identifying words. Forward-looking statements in this communication include, but are not limited to, statements regarding the potential acquisition of AkzoNobel by Nippon Paint Group and the potential acquisition of certain AkzoNobel businesses by Sherwin-Williams, the anticipated benefits and strategic rationale of any such transaction, the willingness or intention of Nippon Paint Group and Sherwin-Williams to enter into discussions with the boards of AkzoNobel, the expected scope and structure of any such transaction (including Sherwin-Williams's proposed acquisition of certain AkzoNobel businesses), and whether the Joint Proposal may constitute a superior proposal under the terms of AkzoNobel's existing merger agreement with Axalta.
You are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.
Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, without limitation: AkzoNobel's willingness to engage in discussions regarding the Joint Proposal; the ability of Nippon Paint Group and Sherwin-Williams to negotiate and enter into definitive agreements with AkzoNobel on acceptable terms or at all; the outcome and timing of any due diligence process; the terms and conditions of AkzoNobel's existing merger agreement with Axalta, including any matching rights, termination fees or other provisions that may affect the feasibility, timing or terms of the Joint Proposal; AkzoNobel's evaluation of whether the Joint Proposal constitutes a superior proposal under the terms of its existing merger agreement with Axalta; the ability to obtain required regulatory approvals from governmental authorities in applicable jurisdictions, and the terms, conditions, timing or remedies associated with any such approvals; the ability of Nippon Paint Group and Sherwin-Williams to coordinate and execute such transactions; the possibility that competing offers or acquisition proposals may be made; general economic, market and industry conditions; and the other risks and uncertainties described in Sherwin-Williams's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission (the "SEC").
Nippon Paint Group and Sherwin-Williams have not made any decision to make or participate in any binding offer to acquire AkzoNobel. No assurance can be given that any transaction will be proposed, that the parties will enter into any definitive agreement providing for any such transaction, or the terms or timing of any transaction.
Nippon Paint Group and Sherwin-Williams caution you not to place undue reliance on any of these forward-looking statements, as they are not guarantees of future performance or outcomes. Except as required by applicable law, none of Sherwin-Williams, Nippon Paint Group or any of their respective affiliates assumes any obligation to update or revise any forward-looking statement contained herein, whether as a result of new information, future events or otherwise.
Further, this communication does not constitute an offer to buy or a solicitation of an offer to sell securities. This communication is not a substitute for any proxy statement, offer to purchase, or other document that may be delivered to AkzoNobel securityholders in connection with a proposed transaction, should one be entered into. Investors and securityholders of AkzoNobel are urged to read offer documents carefully in their entirety if and when they become available as they will contain important information about the proposed transaction.
A month has gone by since the last earnings report for Sherwin-Williams (SHW - Free Report) . Shares have lost about 2.5% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Sherwin-Williams due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
Sherwin-Williams' Q1 Earnings Top Estimates, Sales Rise Y/Y on Suvinil BuyoutSherwin-Williams reported first-quarter 2026 earnings of $2.15 per share, up 7.5% from the year-ago quarter figure of $2.
Barring one-time items, earnings were $2.35 per share. The bottom line beat the Zacks Consensus Estimate of $2.24, delivering a positive earnings surprise of 4.9%.
Revenues were $5.67 billion, up 6.8% year over year and ahead of the Zacks Consensus Estimate of $5.57 billion. Net income rose 6.1% to $534.7 million, representing 9.4% of net sales, as management pointed to growth initiatives and share gains despite soft demand conditions. Sherwin-Williams attributed the improvement primarily to higher sales and moderating raw material costs, partially offset by the dilutive impact of the Suvinil acquisition.
Selling, general and administrative expenses rose to $1.97 billion or 34.8% of net sales compared with 33.8% in the prior-year quarter. EBITDA climbed 8.8% to $998.2 million.
Segmental ReviewPaint Stores Group’s net sales increased 3.7% year over year to $3.05 billion. Same-store sales rose to 2.4%, and segment profit grew 3.3% to $558.8 million, with a reported segment margin of 18.3%.
Consumer Brands Group net sales jumped 19.2% to $908.3 million, driven mainly by the Suvinil acquisition, a 2.4% favorable foreign currency translation impact and higher sales in Europe, partly offset by softer DIY demand in North America. Segment profit surged 49.5% to $197.2 million, with a reported segment margin of 21.7%, while adjusted segment profit was $212.8 million and adjusted segment margin was 23.4%.
Performance Coatings Group net sales rose 6.5% to $1.71 billion, aided by a 4.1% favorable foreign currency translation impact and low-single-digit volume growth. Segment profit increased 9.3% to $232.4 million, taking the reported segment margin to 13.6%, while adjusted segment profit increased to $281.5 million and adjusted segment margin held at 16.5%.
Sherwin-Williams witnessed heightened global uncertainty and continued softness across most end markets. The growth investments and a focus on winning new accounts and expanding share of wallet supported results in the reported quarter. Targeted price increases by end market and geography, paired with cost-out actions, were employed to limit the burden of inflation on customers. These geopolitical events and potential inflation tied to raw materials, energy, logistics and packaging remain swing factors as 2026 progresses.
Cash Returns and Balance SheetSherwin-Williams generated $139.1 million in net operating cash flow in the quarter. The company returned $772.7 million to shareholders through dividends and share repurchases, including the buyback of 1.6 million shares in the reported quarter.
As of March 31, 2026, cash and cash equivalents were $216.9 million. The company reported short-term borrowings of $2.38 billion and long-term debt of $9.32 billion, while noting it had remaining authorization to repurchase 28 million shares through open market purchases.
OutlookFor the second quarter of 2026, Sherwin-Williams expects consolidated net sales to be up a mid-single-digit percentage versus the second quarter of 2025. The company reiterated that it continues to anticipate little to no recovery in most end markets this year based on customer sentiment and the leading indicators it monitors.
For full-year 2026, Sherwin-Williams reaffirmed earnings guidance of $10.70-$11.10 per share and adjusted earnings guidance of $11.50-$11.90, while maintaining an effective tax rate expectation in the low 20% range and projecting net sales growth of a low to mid-single-digit percentage versus 2025.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates revision.
VGM ScoresCurrently, Sherwin-Williams has a nice Growth Score of B, though it is lagging a bit on the Momentum Score front with a C. Charting a somewhat similar path, the stock was allocated a score of D on the value side, putting it in the bottom 40% for value investors.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Sherwin-Williams has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Zillow (ZG 2.51%) (Z 2.05%) stock is hovering around a three-year low. This follows the company's delivery of weak guidance with a forecast for a flat housing market in the second half of the year, even when factoring in a slower-than-expected start to the year.
Here's a look at why the housing market is under pressure, and at three stocks that can reward patient investors.
Image source: Getty Images.
The housing market is a textbook example of supply and demand. Supply is influenced by housing availability, from existing homes and new builds, which are impacted by zoning and tax laws. Demand fluctuates based on interest rates, lending options, employment, and housing prices relative to the median household income.
Housing prices surged early in the pandemic as 30-year mortgage interest rates fell to multi-decade lows. But those prices have stayed high even as mortgage rates have climbed far above pre-pandemic levels:
US Existing Home Median Sales Price data by YCharts.
The Case-Shiller U.S. National Home Price Index tracks changes in the value of single-family U.S. homes, similar to how stock market indexes like the S&P 500 and the Dow Jones Industrial Average measure changes in a basket of stocks. As you can see in the above chart, the Case-Shiller index and the median sales price of an existing U.S. home surged in the early 2000s, then pulled back during the Great Recession, but both have rapidly recovered over the last 15 years.
However, housing affordability is now at multi-decade lows, because housing prices have risen significantly faster than household incomes. A value of 100 on the Fixed Housing Affordability Index means that a family with a median household income can qualify for a mortgage on a median home price with a 20% down payment. Historically, the vast majority of households could qualify, but the value fell below 100 in recent years:
US Fixed Housing Affordability Index data by YCharts.
The index would likely be even lower if it focused only on potential first-time homebuyers, as it's somewhat inflated by including existing homeowners, who tend to have higher down payments.
Aside from lowering mortgage interest rates and raising household incomes, another way to make housing more affordable is to increase supply. But as you can see in the following chart, U.S housing starts have flatlined while U.S. existing home sales are near multi-decade lows:
US Housing Starts data by YCharts.
This means that developers aren't building new units fast enough, and existing homeowners aren't rushing to sell their homes, which reduces supply. Throw in the inflationary pressure of higher oil prices, and it's understandable that housing demand remains constrained.
The growth play Zillow thrives when homes are rapidly changing hands in a hot housing market. But it's proving that it can still generate strong results even during a slowdown.
The company has a highly valuable database that connects real estate professionals, buyers, sellers, and renters. It sells software, tools, and advertising options to industry professionals, agents, and property management companies looking to reach potential customers. Zillow Home Loans offers financing for home purchases.
However, traffic to Zillow's mobile apps and site was down 3% year over year in its latest quarter. Since the platform is free, Zillow still has a massive user base, with 220 million average monthly unique users. Despite the slower traffic, revenue jumped 18%, and the company is now consistently profitable.
For long-term investors looking for a growth stock poised to recover in lockstep with the housing market, Zillow looks like a great buy.
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The income and value play Home Depot (HD +0.73%) is the largest home-improvement retailer in the world. But because it operates exclusively in the U.S., Canada, and Mexico (with the vast majority of its business in the U.S.), the company is extremely sensitive to consumer spending and the U.S. housing market.
When interest rates are low and household incomes are rising, folks may be more inclined to improve their existing home or to buy a home that needs improvements. Home Depot has been in a multiyear slowdown because its customers are putting off big-ticket home improvement projects.
In the latest quarter, the average ticket rose 2.2% while overall transaction volume fell 1.3%. Home Depot's operating margins have been ticking down, and revenue is growing at a relatively low rate.
However, Home Depot is a coiled spring for a recovery in the housing market, because the company continues to build new stores, reinnovate existing stores, and expand its contractor business to diversify its revenue stream.
Home Depot also has a history of 18 consecutive years of dividend raises, and currently yields a sizable 3%. That makes it a top choice for dividend stock investors.
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The balanced play You may be familiar with Sherwin-Williams (SHW +0.13%) through either its own stores or its channel partners like Lowe's Companies that sell Sherwin-Williams-branded products. You might also know its other company-owned brands, such as Valspar paints and coatings, Cabot wood care and stain products, or Krylon spray paint. Sherwin-Williams also has a sizable performance coatings division, which made up 29% of 2025 sales.
A good chunk of its retail business is commercial and industrial -- not residential. It also has a significant international segment, making it less dependent on U.S consumers.
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As a result, Sherwin-Williams has been less affected by the housing-market slowdown than Zillow and Home Depot, with strong margins and all-time-high sales. Its growth has allowed it to steadily repurchase a ton of stock and boost its dividend for 47 consecutive years, including some massive raises that have nearly tripled the dividend over the last decade:
SHW Revenue (TTM) data by YCharts.
Sherwin-Williams does have a premium valuation compared to Home Depot, and a far lower yield at just 1%. But for investors looking for a stock that benefits from a strong housing market, it's a solid buy, and it's less of a pure play than Zillow and Home Depot.
, /PRNewswire/ -- Nippon Paint Group and Sherwin-Williams today announced that they have decided to end their efforts to jointly acquire AkzoNobel.
The decision follows AkzoNobel's previously disclosed rejection of both joint all-cash offers put forward by Nippon Paint and Sherwin-Williams.
About Nippon Paint Group
Nippon Paint Group is a global leader in paint and adjacencies businesses—No. 1 in Asia and No. 4 worldwide—delivering innovative solutions that create high added value for customers. Headquartered in Japan, we accelerate growth through our unique Asset Assembler model built on two pillars: expanding our existing businesses and actively seeking M&A opportunities. With operations spanning 48 regions, we leverage strong brands and high-quality solutions to strengthen our competitive position in each market and continuously expand market share, driven by an unrelenting ambition to grow.
About The Sherwin-Williams Company
Founded in 1866, The Sherwin-Williams Company is a global leader in the manufacture, development, distribution, and sale of paint, coatings and related products to professional, industrial, commercial, and retail customers. The Company manufactures products under well-known brands such as Sherwin-Williams®, Valspar®, HGTV HOME® by Sherwin-Williams, Dutch Boy®, Krylon®, Minwax®, Thompson's® WaterSeal®, Cabot®, Suvinil® and many more. With global headquarters in Cleveland, Ohio, Sherwin-Williams® branded products are sold exclusively through a chain of more than 5,400 Company-operated stores and branches, while the Company's other brands are sold through leading mass merchandisers, home centers, independent paint dealers, hardware stores, automotive retailers, and industrial distributors. The Sherwin-Williams Performance Coatings Group supplies a broad range of highly-engineered solutions for the construction, industrial, packaging and transportation markets in more than 120 countries around the world. Sherwin-Williams shares are traded on the New York Stock Exchange (symbol: SHW). For more information, visit www.sherwin.com.
For more information
Nippon Paint Group
Media contact
Rene Loman
Spokesperson
[email protected]
+31 6 5185 2226 (direct)
Investor relations contact
Ryosuke Tanaka
Corporate Officer - General Manager, Investor
Relations, Sustainability and Public Relations
This communication contains forward-looking statements within the meaning of the U.S. securities laws. Such forward-looking statements can sometimes be identified by the use of forward-looking terms such as "believes," "expects," "may," "will," "shall," "should," "would," "could," "potential," "seeks," "intends," "plans," "estimates," "anticipates" or other comparable terms or negatives of these terms, but not all forward-looking statements include such identifying words. Forward-looking statements in this communication include, but are not limited to, statements regarding the potential acquisition of AkzoNobel by Nippon Paint Group and the potential acquisition of certain AkzoNobel businesses by Sherwin-Williams, the anticipated benefits and strategic rationale of any such transaction, the willingness or intention of Nippon Paint Group and Sherwin-Williams to enter into discussions with the boards of AkzoNobel, the expected scope and structure of any such transaction (including Sherwin-Williams's proposed acquisition of certain AkzoNobel businesses), and whether the Joint Proposal may constitute a superior proposal under the terms of AkzoNobel's existing merger agreement with Axalta.
You are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.
Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, without limitation: AkzoNobel's willingness to engage in discussions regarding the Joint Proposal; the ability of Nippon Paint Group and Sherwin-Williams to negotiate and enter into definitive agreements with AkzoNobel on acceptable terms or at all; the outcome and timing of any due diligence process; the terms and conditions of AkzoNobel's existing merger agreement with Axalta, including any matching rights, termination fees or other provisions that may affect the feasibility, timing or terms of the Joint Proposal; AkzoNobel's evaluation of whether the Joint Proposal constitutes a superior proposal; the ability to obtain required regulatory approvals from governmental authorities in applicable jurisdictions, and the terms, conditions, timing or remedies associated with any such approvals; the ability of Nippon Paint Group and Sherwin-Williams to coordinate and execute such transactions; the possibility that competing offers or acquisition proposals may be made; general economic, market and industry conditions; and the other risks and uncertainties described in Sherwin-Williams's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission (the "SEC").
Nippon Paint Group and Sherwin-Williams have not made any decision to make or participate in any binding offer to acquire AkzoNobel. No assurance can be given that any transaction will be proposed, that the parties will enter into any definitive agreement, or as to the terms or timing of any transaction.
Nippon Paint Group and Sherwin-Williams caution you not to place undue reliance on any of these forward-looking statements, as they are not guarantees of future performance or outcomes. Except as required by applicable law, none of Sherwin-Williams, Nippon Paint Group or any of their respective affiliates assumes any obligation to update or revise any forward-looking statement contained herein, whether as a result of new information, future events or otherwise.
Further, this communication does not constitute an offer to buy or a solicitation of an offer to sell securities. This communication is not a substitute for any proxy statement, offer to purchase, or other document that may be delivered to AkzoNobel securityholders in connection with a proposed transaction. Investors and securityholders of AkzoNobel are urged to read offer documents carefully in their entirety if and when they become available as they will contain important information about the proposed transaction.
On June 10, 2026, we delve into the DCF analysis for Sherwin-Williams Co SHW . The stock has experienced a price performance of +6.0% over the past week, but is down -1.7% over the past month and -3.7% year-to-date. Over the last year, the stock has declined by -12.4%.
DCF Earnings-based intrinsic value: $218.38 vs current price $310.55 (margin of safety: -42.2%) DCF FCF-based intrinsic value: $167.65 vs current price $310.55 (margin of safety: -85.2%) GF Score™ of 88/100 indicates a high reliability of the DCF inputs. What Is SHW Worth? DCF Earnings-Based Model The DCF earnings-based model utilizes a two-stage approach to determine the intrinsic value of Sherwin-Williams Co. In the first stage, we project earnings growth over the next 10 years, followed by a terminal growth phase. The assumptions for this model are as follows:
Parameter Value Current EPS (TTM, excl. non-recurring) $11.55 10-Year Growth Rate 12.5% 10-Year Treasury Rate 4.53% Discount Rate (ceil(Treasury) + 6%) 11% Terminal Growth Rate 4% In the Growth Phase (Years 1-10), the EPS is expected to grow at 12.5% per year, discounted at 11%. The calculated value for this stage is $124.44 per share. In the Terminal Phase (Years 11-20), we assume a 4% terminal growth rate, discounted at the same rate, yielding a value of $93.94 per share. The summary of these calculations is presented below:
Stage Description Value Growth Stage (Years 1-10) EPS growing at 12.5%, discounted at 11% $124.44 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 11% $93.94 Intrinsic Value Growth + Terminal $218.38 Comparing the current price of $310.55 with the intrinsic value of $218.38 indicates that the stock is modestly overvalued, with a margin of safety of -42.2%. It is important to note that GuruFocus uses EPS excluding non-recurring items because research shows stock prices correlate more closely with earnings than free cash flow. For further details, visit the SHW DCF Calculator.
What Does the Free Cash Flow DCF Say? The free cash flow (FCF) based DCF model provides an intrinsic value of $167.65 for Sherwin-Williams Co. When compared with the earnings-based intrinsic value of $218.38, the two models indicate a similar conclusion: the stock is modestly overvalued, with a significant margin of safety of -85.2% in the FCF model.
How Does GF Value™ Compare to the DCF Models? The GF Value™ for Sherwin-Williams Co is calculated at $354.07, providing a third perspective on the stock's valuation. GF Value™ is GuruFocus' proprietary measure derived from historical trading multiples, past business growth, and future performance estimates. When comparing all three models, the DCF earnings-based and FCF-based models indicate overvaluation, while GF Value™ suggests the stock is undervalued. For more information, visit the GF Value™ page.
What Does SHW's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns (backtested 2006-2021). The following table summarizes SHW's GF Score™ metrics:
Metric Rating GF Score™ 88/100 Financial Strength 5/10 Profitability 9/10 Growth 8/10 Valuation 10/10 Momentum 5/10 With a predictability rank of 2/5 stars, it suggests that the DCF model may be less reliable for this stock. For more details, visit the SHW stock page.
Key Assumptions and Limitations It is important to note that DCF models are highly sensitive to growth rate and discount rate assumptions. Stocks with low predictability ratings, such as Sherwin-Williams Co, tend to produce less reliable DCF estimates. The terminal growth rate of 4% is a simplifying assumption that may not reflect future economic conditions accurately.
What This Means for Investors In synthesizing the findings from the DCF earnings-based model, the DCF FCF model, and the GF Value™, it is clear that Sherwin-Williams Co is currently overvalued based on the DCF analyses, while the GF Value™ suggests a different perspective of undervaluation. Overall, the consensus indicates that investors should approach this stock with caution. For the full DCF analysis, visit the SHW DCF Calculator. You can also explore the GF Value™ page, or use the GuruFocus Stock Screener to find undervalued predictable companies.
Frequently Asked Questions What is SHW's intrinsic value based on DCF?
earnings-based $218.38, FCF-based $167.65
Is SHW overvalued or undervalued?
Based on the DCF models, SHW is overvalued, while the GF Value™ suggests it is undervalued.
How reliable is the DCF model for SHW?
The predictability rank of 2/5 indicates that the DCF model may be less reliable for this stock.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
