Sherwin-Williams (NYSE:SHW) Issues Earnings Results

Sherwin-Williams (NYSE:SHW) announced its quarterly earnings results on Tuesday. The specialty chemicals company reported $3.63 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.69 by ($0.06), FiscalAI reports. The business had revenue of $6.86 billion during the quarter, compared to the consensus estimate of $6.78 billion. Sherwin-Williams had a return on equity of 67.97% and a net margin of 11.01%. The firm’s revenue was up 7.9% compared to the same quarter last year. During the same quarter last year, the company earned $3.59 earnings per share.

Sherwin-Williams Stock Down 2.5%

Shares of NYSE SHW traded down $8.50 during midday trading on Tuesday, reaching $326.66. The company’s stock had a trading volume of 522,367 shares, compared to its average volume of 1,918,575. The company has a current ratio of 0.73, a quick ratio of 0.46 and a debt-to-equity ratio of 2.16. Sherwin-Williams has a fifty-two week low of $289.86 and a fifty-two week high of $377.77. The stock has a market capitalization of $79.30 billion, a price-to-earnings ratio of 30.12, a PEG ratio of 2.63 and a beta of 1.08. The stock has a 50 day simple moving average of $331.59 and a 200-day simple moving average of $333.53.

Sherwin-Williams Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 4th. Stockholders of record on Friday, November 13th will be paid 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 is Friday, November 13th. Sherwin-Williams’s dividend payout ratio (DPR) is currently 29.49%.

Key Headlines Impacting Sherwin-Williams

Here are the key news stories impacting Sherwin-Williams this week:

• Positive Sentiment: Third-quarter revenue increased 7.9% year over year to $6.86 billion, exceeding analyst estimates of approximately $6.78 billion. The sales performance indicates continued demand across Sherwin-Williams’ business despite cost pressures. SHW Q3 Earnings Lag Estimates on Higher Costs, Sales Beat
• Positive Sentiment: Evercore ISI upgraded SHW to Outperform ahead of the earnings release, providing a supportive analyst view of the company’s longer-term prospects. Evercore ISI Upgrades Sherwin-Williams to Outperform
• Neutral Sentiment: Management projected 2026 adjusted earnings per share of $11.85 to $12.15. The range brackets the FactSet consensus estimate of $12.09, but its midpoint is slightly below expectations, limiting the positive impact of the guidance. Sherwin-Williams Expects 2026 Adjusted EPS Range
• Negative Sentiment: Third-quarter adjusted EPS was $3.63, below consensus estimates ranging from $3.65 to $3.69, although it improved from $3.59 a year earlier. The miss ended the company’s recent earnings-beat streak and raised concerns about profitability. Sherwin-Williams Stock Drops on Earnings Miss
• Negative Sentiment: Higher costs pressured margins, offsetting the revenue beat. With Sherwin-Williams trading at a relatively elevated earnings multiple, investors appear particularly sensitive to evidence that input and operating-cost inflation could restrict future earnings growth. Sherwin-Williams Q3 Earnings Miss Estimates

Insiders Place Their Bets

In other Sherwin-Williams news, insider Justin Binns sold 13,500 shares of Sherwin-Williams stock in a transaction on Monday, August 17th. The shares were sold at an average price of $352.70, for a total value of $4,761,450.00. Following the sale, 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 position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Karl J. Jorgenrud sold 7,886 shares of the business’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $368.30, for a total transaction of $2,904,413.80. Following the sale, the insider directly owned 11,944 shares in the company, valued at $4,398,975.20. This trade represents a 39.77% 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.

Wall Street Analysts Forecast Growth

SHW has been the topic of several recent analyst reports. Rothschild & Co Redburn lifted their price objective on Sherwin-Williams from $410.00 to $420.00 and gave the company a “buy” rating in a report on Tuesday, August 18th. JPMorgan Chase & Co. increased their target price on Sherwin-Williams from $365.00 to $380.00 and gave the stock an “overweight” rating in a research note on Wednesday, July 29th. The Goldman Sachs Group restated a “buy” rating and set a $415.00 target price (up from $390.00) on shares of Sherwin-Williams in a report on Friday, October 9th. Guggenheim started coverage on shares of Sherwin-Williams in a research report on Monday, August 3rd. They set a “buy” rating and a $400.00 price objective for the company. Finally, KeyCorp initiated coverage on shares of Sherwin-Williams in a report on Thursday, September 10th. They set a “sector weight” rating on the stock. One investment analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $381.17.

About Sherwin-Williams

The Sherwin-Williams Company (NYSE: SHW) develops, manufactures, distributes and sells paints, coatings and related products. Its offerings include architectural paints, industrial coatings, wood finishes, protective coatings, automotive refinishing products, floor coatings and related supplies marketed under brands such as Sherwin-Williams, Valspar, Minwax, Krylon and Dutch Boy.

Founded in 1866 and headquartered in Cleveland, Ohio, Sherwin-Williams serves professional contractors, do-it-yourself consumers, industrial manufacturers, commercial businesses and other customers.