Sherwin-Williams Q4 revenue up 5.6%, beats estimates

Overview

• Paint and coatings firm's Q4 revenue rose 5.6%, beating analyst expectations

• Adjusted EPS for Q4 increased 6.7%, surpassing analyst estimates

• Suvinil acquisition contributed $164.5 mln to Q4 revenue

Outlook

• Sherwin-Williams expects 2026 net sales to rise by low to mid-single digit %

• Company forecasts 2026 adjusted EPS between $11.50 and $11.90

• Sherwin-Williams anticipates softer demand environment into second half of 2026

Result Drivers

• SUVINIL ACQUISITION - Suvinil acquisition added $164.5 mln to Q4 revenue, contributing 3.1% of the increase

• PRICE INCREASES - Paint Stores Group sales rose due to mid-single digit price increases, despite a low-single digit volume decrease

• PACKAGING GROWTH - Performance Coatings Group saw high-single digit growth in Packaging, offsetting other declines

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 16 "strong buy" or "buy", 12 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the commodity chemicals peer group is "buy"

• Wall Street's median 12-month price target for Sherwin-Williams Co is $392.50, about 12.3% above its January 28 closing price of $349.60

• The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nPnbWZ9t5a

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