Royal Bank Of Canada Reaffirms Outperform Rating for Sherwin-Williams (NYSE:SHW)

Sherwin-Williams (NYSE:SHW)‘s stock had its “outperform” rating reaffirmed by research analysts at Royal Bank Of Canada in a note issued to investors on Tuesday, Benzinga reports. They presently have a $420.00 target price on the specialty chemicals company’s stock. Royal Bank Of Canada’s price target would indicate a potential upside of 27.77% from the company’s current price.

SHW has been the subject of several other reports. BMO Capital Markets reiterated an “outperform” rating and set a $405.00 target price (up from $400.00) on shares of Sherwin-Williams in a research report on Wednesday, July 29th. Weiss Ratings upgraded shares of Sherwin-Williams from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, August 26th. Guggenheim assumed coverage on shares of Sherwin-Williams in a research report on Monday, August 3rd. They set a “buy” rating and a $400.00 target price for the company. Jefferies Financial Group restated a “hold” rating and issued a $375.00 price objective on shares of Sherwin-Williams in a report on Tuesday, July 28th. Finally, KeyCorp assumed coverage on shares of Sherwin-Williams in a report on Thursday, September 10th. They issued a “sector weight” rating for the company. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $387.47.

Sherwin-Williams Price Performance

Sherwin-Williams stock traded up $8.31 during midday trading on Tuesday, reaching $328.71. 551,142 shares of the stock were exchanged, compared to its average volume of 1,966,232. The company’s fifty day moving average is $338.63 and its 200-day moving average is $327.72. The company has a debt-to-equity ratio of 2.16, a quick ratio of 0.46 and a current ratio of 0.73. The firm has a market cap of $79.80 billion, a PE ratio of 30.28, a PEG ratio of 2.45 and a beta of 1.09. Sherwin-Williams has a 52 week low of $289.86 and a 52 week high of $377.77.

Sherwin-Williams (NYSE:SHW) last announced its earnings results on Tuesday, July 28th. The specialty chemicals company reported $3.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.52 by $0.18. Sherwin-Williams had a net margin of 11.01% and a return on equity of 67.97%. The business had revenue of $6.79 billion during the quarter, compared to analyst estimates of $6.60 billion. During the same period in the previous year, the business posted $3.38 earnings per share. Sherwin-Williams’s revenue for the quarter was up 7.5% on a year-over-year basis. Sherwin-Williams has set its FY 2026 guidance at 11.800-12.200 EPS. On average, sell-side analysts forecast that Sherwin-Williams will post 12.09 EPS for the current year.

Insider Buying and Selling

In related news, insider Karl Jorgenrud sold 7,886 shares of Sherwin-Williams stock in a transaction on Friday, August 7th. The shares were sold at an average price of $368.30, for a total value of $2,904,413.80. Following the transaction, the insider directly owned 11,944 shares of the company’s stock, valued at $4,398,975.20. The trade was a 39.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Justin T. Binns sold 13,500 shares of Sherwin-Williams stock in a transaction on Monday, August 17th. The stock was sold at an average price of $352.70, for a total transaction of $4,761,450.00. Following the completion of the transaction, the insider directly owned 21,937 shares in the company, valued at approximately $7,737,179.90. The trade was a 38.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.23% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. BlackRock Inc. purchased a new position in shares of Sherwin-Williams in the second quarter worth $6,100,083,000. State Street Corp increased its stake in shares of Sherwin-Williams by 2.4% in 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 increased its position in Sherwin-Williams by 0.7% during the 4th 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 purchasing an additional 37,145 shares during the period. Norges Bank purchased a new position in Sherwin-Williams during the 4th quarter valued at $1,089,450,000. Finally, Wellington Management Group LLP increased its position in Sherwin-Williams by 133.7% during the 2nd quarter. Wellington Management Group LLP now owns 2,784,679 shares of the specialty chemicals company’s stock valued at $958,821,000 after purchasing an additional 1,593,009 shares during the period. 77.67% of the stock is owned by hedge funds and other institutional investors.

About Sherwin-Williams

The Sherwin-Williams Company (NYSE: SHW) develops, manufactures, distributes and sells paints, coatings, floorcoverings and related products. Its offerings serve professional contractors, industrial and commercial customers, retailers and do-it-yourself consumers, with products used in residential, commercial, industrial and infrastructure applications.

The company operates through three primary business segments: Paint Stores Group, which supplies professional painting contractors through company-operated stores; Consumer Brands Group, which markets products through home-improvement retailers and other channels; and Performance Coatings Group, which provides specialized coatings for industrial, automotive, aerospace, packaging and other markets.