Credit Suisse Initiates SHW At Underperform, $80 PT

Credit Suisse is initiating coverage of Sherwin-Williams Company SHW with an Underperform rating and a 12-month price target of $80. “SHW faces sizeable raw material headwinds in titanium dioxide (TiO2) and potentially acrylics, a relatively weak demand outlook for premium architectural coatings in the U.S., and has a somewhat lofty valuation,” Credit Suisse writes. “Despite the high quality of the business platform, for investors with a 12-month investment horizon, we don't think now is the time to own SHW, as these factors will make it difficult for the stock to outperform the broader chemical space and market.” Sherwin-Williams currently trades at $83.11.