What Analysts Are Saying About Sherwin-Williams Stock

Sherwin-Williams SHW underwent analysis by 7 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $396.57, a high estimate of $423.00, and a low estimate of $355.00. This current average represents a 4.86% decrease from the previous average price target of $416.83.

Breaking Down Analyst Ratings: A Detailed Examination

A clear picture of Sherwin-Williams's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Sherwin-Williams. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Sherwin-Williams compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Sherwin-Williams's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Sherwin-Williams's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Sherwin-Williams analyst ratings.

Discovering Sherwin-Williams: A Closer Look

Sherwin-Williams is the largest provider of architectural paint in the United States. The company has over 5,000 stores and sells premium paint at higher price points than most competitors. Sherwin-Williams also sells paint-related products in big-box stores and provides coatings for original equipment manufacturers.

A Deep Dive into Sherwin-Williams's Financials

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Positive Revenue Trend: Examining Sherwin-Williams's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 0.86% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Materials sector.

Net Margin: Sherwin-Williams's net margin is impressive, surpassing industry averages. With a net margin of 9.06%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 11.7%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Sherwin-Williams's ROA excels beyond industry benchmarks, reaching 2.02%. This signifies efficient management of assets and strong financial health.

Debt Management: Sherwin-Williams's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.94, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Understanding the Relevance of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.