Sherwin Williams Co (SHW)
Materials · Specialty Chemicals · US stock · S&P 500 component
$345.63
▲ +8.36 (2.48%)
Fair valueFair
$294 −14.9% to fair value
$147fair band $250–$356$441
Day's range
$334.79 – $346.19
52-week range
$289.86 – $377.77
About Sherwin Williams Co
Sherwin-Williams makes and sells paints, coatings and related products for homeowners, professional painters and industrial customers. It sells mostly through its own network of paint stores, as well as through retailers and other channels. The company earns money from product sales, with raw material costs, such as resins and pigments, influencing margins. Housing activity, remodeling and industrial production are important to demand.
Looking at the top line, revenue was $24.4 billion for the latest twelve months and it grew by 2.1% a year over three years. Operating margin was 16.4%, and return on invested capital is 20%. Its net debt to EBITDA ratio is 2.9 times. Shareholders receive a dividend with a yield of 0.9%. The overall X-Ray Score is 54 out of 100.
Price chart
52-wk range $289.86 – $377.77Volume 1,697,886Daily, split-adjusted
Vitals
Market cap$85.0B
52-week range$289.86 – $377.77
Volume (last day)1,697,886
P/E (TTM)31.9
EBIT / EV yield4.1%
Free-cash-flow yield3.8%
Dividend yield0.9%
Revenue (TTM)$24.4B
Net income (TTM)$2.7B
Operating margin16.4%
Return on capital19.7%
Debt incl. leases$12.1B
Cash & securities$294M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$294middle half of models $267 – $330
Fair
−14.9% to fair value
Average of the 14 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $346
Undervalued < $250Fair $250 – $356Overvalued > $356
P/E multiple
$347
P/B multiple
$321
P/S multiple
$321
EV/EBITDA multiple
$318
EV/EBIT multiple
$369
EV/revenue multiple
$326
10-year DCF, EBITDA exit
$308
5-year DCF, EBITDA exit
$332
10-year DCF, revenue exit
$310
5-year DCF, revenue exit
$333
10-year DCF, growth exit
$185
5-year DCF, growth exit
$184
Dividend discount, stable · not used
$127
Dividend discount, multi-stage
$210
Earnings power value
$253
Growth the price implies
16.9%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Average business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Materials peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Weak
35/100
Expensive against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield4.1%
Free-cash-flow yield3.8%
Fair value vs price0.9×
Growth
Fair
60/100
Growing at a typical pace for its sector.
See the numbers →
Revenue growth (3y)2.1%
EPS growth (3y)9.9%
Growth consistency80%
Profitability
Strong
82/100
Earns high returns on the capital it uses.
See the numbers →
Return on invested capital19.7%
Operating margin16.4%
Gross profitability44.4%
Financial health
Weak
31/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score6 / 9
Net debt / EBITDA2.9×
Interest cover7.8×
Dividends
Fair
64/100
Dividend is typical for its sector.
See the numbers →
Dividend yield0.9%
Dividends vs free cash flow24%
Dividend growth8.5%
Quarterly results: last 6 quarters
-1.1%
Mar '25
+0.7%
Jun '25
+3.2%
Sep '25
+5.6%
Dec '25
+6.8%
Mar '26
+7.5%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $6.8B, diluted EPS $3.43.
Compare with peers
PPG Ppg Industries Inc66 ECL Ecolab Inc.50 ALB Albemarle Corp46 IFF International Flavors...24Other Specialty Chemicals companies by X-Ray Score.
SWOT analysis: Sherwin Williams Co
Strengthsinside the company
- Return on invested capital is 19.7%, against a median of 7.9% for industry peers.
- Operating margin of 16.4% is well above the 11.6% median of industry peers, a sign of pricing power or lower costs.
Weaknessesinside the company
- Altman Z-score of 0.8 is in the zone linked with financial distress in past studies.
Opportunitiesvaluation and setting
- Trades at 31.6x earnings, 34% below the 47.6x median of industry peers.
- Price momentum is strong on the weekly and monthly signals (trends can reverse).
Threatsvaluation and setting
- Earnings in Specialty Chemicals follow the industry cycle, so margins and profits can swing from year to year.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare SHW with peers and sector
Medians of 4 Specialty Chemicals peers and of 22 Materials stocks in our universe.
Largest peers (X-Ray Score): ECL 50, PPG 66, IFF 24, ALB 46.
| Metric | SHW | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 54 | 48 | 51 |
| Valuation | 35 | 39 | 46 |
| Growth | 60 | 36 | 55 |
| Profitability | 82 | 47 | 49 |
| Financial health | 31 | 57 | 50 |
| Dividends | 64 | 57 | 54 |
Sector leaders: highest X-Ray Score in Materials
SHW ranks #10 of 23 in Materials and #2 of 5 in Specialty Chemicals by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for SHW
Each factor is rated by where SHW stands among the 23 Materials stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 7 Good · 10 Average · 6 Bad of 23
Growth: 0 · 2 · 1
Profitability: 5 · 0 · 0
Financial strength: 0 · 2 · 2
Valuation: 0 · 2 · 3
Cash flow: 2 · 2 · 0
Efficiency: 0 · 2 · 0
| Factor | SHW | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +2.1% | Average beats 63% | +0.6% | – | – |
| Revenue growth, last year | +2.1% | Bad beats 33% | +5.3% | +4.1% | ▼ Worse |
| EPS growth, 3 years a year | +9.9% | Average beats 59% | +0.5% | – | – |
| Profitability | |||||
| Gross margin | 49.0% | Good beats 98% | 27.9% | 46.7% | ≈ In line |
| Operating margin | 16.4% | Good beats 67% | 11.8% | 16.1% | ≈ In line |
| Net margin | 11.0% | Good beats 72% | 7.8% | 10.4% | ≈ In line |
| Return on invested capital | 19.7% | Good beats 89% | 10.0% | – | – |
| Return on equity | 69.7% | Good beats 98% | 14.8% | 65.1% | ≈ In line |
| Financial strength | |||||
| Net debt / EBITDA | 2.9x | Bad beats 33% | 2.4x | 2.8x | ≈ In line |
| Interest cover | 7.8x | Average beats 48% | 7.8x | 9.2x | ▼ Worse |
| Current ratio | 0.73 | Bad beats 2% | 1.61 | 0.87 | ▼ Worse |
| Piotroski F-score | 6 / 9 | Average beats 46% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 31.6x | Average beats 45% | 21.6x | 32.2x | ≈ In line |
| Price / book | 22.1x | Bad beats 2% | 3.1x | 21.3x | ≈ In line |
| Price / sales | 3.5x | Bad beats 33% | 2.1x | 3.5x | ≈ In line |
| EV / EBITDA | 24.2x | Bad beats 20% | 14.2x | 24.1x | ≈ In line |
| Free cash flow yield | 3.8% | Average beats 55% | 3.4% | 2.4% | ▲ Better |
| Cash flow | |||||
| Free cash flow margin | 13.2% | Good beats 70% | 7.7% | 9.4% | ▲ Better |
| Cash from operations / net income | 1.45 | Average beats 34% | 1.50 | 1.20 | ▲ Better |
| Free cash flow growth, 3 years a year | +27.7% | Good beats 72% | +11.3% | – | – |
| Accruals (lower is better) | −4.4% | Average beats 61% | −4.2% | – | – |
| Efficiency | |||||
| Inventory turnover | 4.9x | Average beats 42% | 5.3x | 5.2x | ≈ In line |
| Days sales outstanding | 53 days | Average beats 53% | 54 days | 42 days | ▼ Worse |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 5 Good · ● 7 Average · ● 4 BadCash quality
Earnings backed by cashAverage
Free-cash-flow yieldAverage
Risk models
Altman Z''Bad
Piotroski F-ScoreAverage
Growth
EPS growth (3y)Average
Free-cash-flow growth (3y)Good
Revenue growth (3y)Average
Growth consistencyGood
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverAverage
Valuation
Fair value vs priceBad
EBIT / EV yieldAverage
Profitability
Return on invested capitalGood
Operating marginGood
Gross profitabilityGood
Each check is graded against the company's sector, not a fixed number. Checklist score 54/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $19.9B | $22.1B | $23.1B | $23.1B | $23.6B |
| Operating income | $3.1B | $3.4B | $4.2B | $3.9B | $3.8B |
| Net income | $1.9B | $2.0B | $2.4B | $2.7B | $2.6B |
| Operating cash flow | $2.2B | $1.9B | $3.5B | $3.2B | $3.5B |
| Operating margin | 15.5% | 15.3% | 18.1% | 16.7% | 16.1% |
| Free cash flow | $1.9B | $1.3B | $2.6B | $2.1B | $2.7B |
| Diluted EPS | $6.98 | $7.72 | $9.25 | $10.55 | $10.26 |
Fiscal years, from SEC filings.
Technical summary
Daily
Strongly bullish
12 bullish · 1 neutral · 3 bearish
Weekly
Strongly bullish
11 bullish · 1 neutral · 0 bearish
Monthly
Strongly bullish
7 bullish · 1 neutral · 0 bearish
Moving averages (daily)
| SMA 10 | 331.1 | Bullish |
| EMA 10 | 333.3 | Bullish |
| SMA 20 | 327.1 | Bullish |
| EMA 20 | 329.9 | Bullish |
| SMA 50 | 331.9 | Bullish |
| EMA 50 | 330.4 | Bullish |
| SMA 100 | 331.8 | Bullish |
| EMA 100 | 330.9 | Bullish |
| SMA 200 | 332.1 | Bullish |
| EMA 200 | 332.0 | Bullish |
Oscillators (daily)
| RSI (14) | 65.54 | Neutral |
| MACD (12, 26) | 2.60 | Bullish |
| Momentum (12) | 7.62 | Bullish |
| Stochastic %K (14) | 98.40 | Bearish |
| Williams %R (14) | -1.60 | Bearish |
| CCI (20) | 153.2 | Bearish |
Pivot points (classic, last session)
S3 326.8 | S2 330.8 | S1 338.2 | Pivot 342.2 | R1 349.6 | R2 353.6 | R3 361.0 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
3.19 USD
Yield on today's price
0.92%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.8000 | |
| 0.8000 | |
| 0.8000 | |
| 0.7900 | |
| 0.7900 | |
| 0.7900 | |
| 0.7900 | |
| 0.7150 | |
| 0.7150 | |
| 0.7150 | |
| 0.7150 | |
| 0.6050 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold SHW
| ETF | Share of the fund |
|---|---|
| XLB Materials Select Sector SPDR | 4.94% |
| ITB iShares U.S. Home Construction | 4.53% |
| NAIL Direxion Daily Homebuilders & Supplies... | 4.03% |
| DDM ProShares Ultra Dow30 | 2.63% |
| UDOW ProShares UltraPro Dow30 | 2.01% |
| KNG FT Cboe Vest S&P 500 Dividend Aristocr... | 1.46% |
| NOBL ProShares S&P 500 Dividend Aristocrats | 1.33% |
| IYJ iShares U.S. Industrials | 0.94% |
The eight funds with the largest weight in SHW among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
SHW stock splits
SHW has split its stock 2 times since 1991. The latest was a 2-for-1 split on 31 Mar 1997.
Full SHW stock split history →SHW SEC filings
8-KSEC EDGAR
Entered a material agreement; Other events
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Entered a material agreement
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Shareholder vote results
DEF 14ASEC EDGAR
Proxy statement
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.