Stock · SHW · Basic Materials

Sherwin-Williams Co

United States · Large Cap · listed since 1985 · Revenue 12 mo. $24.4B

Price as of 11/06/2026

StockScorer score
4.5
of 10 5 of 11 points Low Match To the score
Price
$344.10
1 Y −6.5%
Market cap
$78.5B
Phase
Payout
core business profitable, at least half of operating cash flow goes to shareholders
Revenue +2.1% a year (3 years)EBIT margin 16.1%Payout 69.1% of operating cash flow

The Sherwin-Williams Company engages in the development, manufacture, distribution, and sale of paint, coatings, and related products to professional, industrial, commercial and retail customers.

moreless

The Sherwin-Williams Company engages in the development, manufacture, distribution, and sale of paint, coatings, and related products to professional, industrial, commercial and retail customers. The company operates through three segments: Paint Stores Group, Consumer Brands Group, and Performance Coatings Group. The Paint Stores Group segment offers architectural paint and coatings; protective and marine products; and OEM product finishes and related products for architectural and industrial paint contractors, and do-it-yourself homeowners under the Sherwin-Williams brand. The Consumer Brands Group segment supplies a portfolio of branded and private-label architectural paints, stains, varnishes, industrial products, wood finishes products, wood preservatives, applicators, corrosion inhibitors, aerosols, caulks, and adhesives to retailers, including home centers and hardware stores, and dedicated dealers and distributors. The Performance Coatings Group segment develops and sells industrial coatings for wood finishing and general industrial applications; automotive refinish products; protective and marine coatings; coil coatings; packaging coatings; and performance-based resins and colorants. This segment serves retailers, dealers, jobbers, licensees, and other third-party distributors. The company operates in North America, South America, the Caribbean, Europe, Asia, and Australia. The Sherwin-Williams Company was founded in 1866 and is headquartered in Cleveland, Ohio.

Original text from the data provider

Summary

Sherwin-Williams Co is around the middle of the Basic Materials sector overall

47.5 of 100

Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.

Analysis

What the price requires

The price requires 13.7% FCF growth a year, more than achieved over the last 5 and 10 years.

If free cash flow stays at €2.4B (2025), it supports €26.5B. The remaining €44B of the market value assume it grows 13.7% a year for 10 years and not at all afterwards.

Required FCF growth per year

13.7%

no growth afterwards

Market value breakdown€70.4B market value, price as of 11/06/2026

€26.5B without growth
€44B priced-in growth
  • 5 yrs achieved 5.6%
  • 10 yrs achieved 8.1%
  • priced in 13.7%

Valuation against its own history

Price to operating cash flow 21.9×, below its usual range.

Middle half of 20 quarters: 23.2× to 31.1×, median 27.0×.

Measures only against its own past, not against what the company is worth. Price as of 11/06/2026.

2 signs support the expectation, 2 speak against it.

What supports it

with respect to the priced-in expectation

  • High, stable gross margin median 45.8%, range 7.8 pp (10 years)
  • Low capital needs capex median 1.9% of revenue (10 years)

What speaks against it

with respect to the priced-in expectation

  • Expectation above the company's own record priced in 13.7%, achieved at most 8.1%
  • High leverage debt to equity 2.81

Since the last quarter

Q1 → Q2 2026

Mostly better than the previous quarter: 3 of 3 changes for the better.

  • FCF, 12 mo.$2.9B → $3.2B+10.6%better
  • FCF margin12.1% → 13.2%+1.0 ppbetter
  • Return on equity58.7% → 69.7%+11.1 ppbetter

5 more unchanged: Revenue, 12 mo., Gross margin, EBIT margin, Net debt, Shares outstanding

Derivation

How the sector comparison is derived

Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.

Price as of 11/06/2026.

Profitability78.5above the middleEarns more than the sector: Return on equity 55.86%, sector 10.66%.
MetricStockSector medianPosition in sector
Return on equity55.86%10.66%Rank 99
Return on capital (Greenblatt)62.04%14.75%Rank 98
EBIT margin16.14%15.82%Rank 52
FCF margin11.26%8.70%Rank 62
Gross margin48.94%34.18%Rank 81
Growth36.2below the middleGrows more slowly than the sector: Sustainable growth (ROE × retained earnings) 3.38%, sector 9.35%.
MetricStockSector medianPosition in sector
Revenue growth, 1 year2.06%4.25%Rank 43
Earnings growth, 3 years per year10.19%0.28%Rank 63
Earnings growth, 5 years per year6.84%13.36%Rank 31
Sustainable growth (ROE × retained earnings)3.38%9.35%Rank 8
Valuation30.9below the middleValued higher than the sector: EV/EBIT 23.97, sector 14.61.
MetricStockSector medianPosition in sector
Earnings yield3.00%4.98%Rank 29
FCF yield3.38%3.94%Rank 42
EV/saleslower is better3.872.36Rank 32
EV/EBITlower is better23.9714.61Rank 21
Momentum57.9around the middleShare price moving about like the sector.
MetricStockSector medianPosition in sector
Share price, 1 year−6.48%8.75%Rank 27
Share price, 6 months9.09%−1.37%Rank 77
Share price, 3 months−1.80%−1.16%Rank 47
Distance from 52-week high−7.65%−21.97%Rank 81
Quality56.9around the middleQuality about like the sector.
MetricStockSector medianPosition in sector
Accruals (Sloan)lower is better4.55%0.63%Rank 29
Change in share countlower is better−2.09%−0.01%Rank 79
Dividend streak in years403Rank 99
Price reaction to results, market-adjusted−3.39%0.05%Rank 21
Balance sheet & risk24.3below the middleMore risk than the sector: Equity ratio 17.75%, sector 54.83%.
MetricStockSector medianPosition in sector
Equity ratio17.75%54.83%Rank 0
Net debt/EBITDAlower is better2.841.01Rank 16
Debt to equitylower is better2.810.37Rank 0
Volatility, 1 yearlower is better28.20%37.23%Rank 81

Ten years in figures

Revenue from $11.9B (2016) to $23.6B (2025), 7.9% a year.

Fiscal years, amounts in USD
YearRevenue, $BEBIT marginFCF, $BSharesNet debt, $B
201611.914.5%1.1283M1.1
201715.011.3%1.7285M10.3
201817.510.8%1.7285M9.2
201917.913.6%2.0280M10.3
202018.415.5%3.1274M9.9
202119.913.4%1.9267M11.3
202222.113.6%1.3262M12.3
202323.116.0%2.6258M11.5
202423.116.3%2.1254M11.7
202523.616.1%2.7249M12.7
4.5 / 10Low MatchStockScorer score5 of 11 points

3 of 7 StockScorer Score rules met · How the score is built

Sherwin-Williams Co mainly meets criteria in the Profitability category. Result from 18 strategies checked.

This stock · Profitability: 100%This stock · Growth: 0%This stock · Valuation: 0%This stock · Momentum: 0%Median of all stocks · Profitability: 33%Median of all stocks · Growth: 0%Median of all stocks · Valuation: 0%Median of all stocks · Momentum: 0%50%100%ProfitabilityGrowthValuationMomentumThis stockMedian of all stocks

How Sherwin-Williams Co's score is built

Sherwin-Williams Co is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.

3 of 7 rules met

5 of 11 points

  1. Free cash flow yield above the sector mediannot met0 of 2 points
  2. Return on capital (Greenblatt ROC) above the sector medianmet2 of 2 points
  3. Return on equity above the sector medianmet1 of 1 point
  4. Free cash flow margin above the sector medianmet2 of 2 points
  5. Revenue growth above 15%not met0 of 2 points
  6. 3-year earnings growth above 12% p.a.not met0 of 1 point
  7. 12-month share price more than 20 percentage points ahead of the marketnot met0 of 1 point
  8. Exclusion: financial and real estate stocksdoes not apply

Detail data

How does Sherwin-Williams Co stock perform across 18 strategies?

Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.

12 more strategies locked

With a free account, you can see the match across all strategies checked in one complete overview.

  • Earnings Quality: Accrual Check (Sloan)
  • Growth Momentum (CAN SLIM principle)
  • Dividend Aristocrats & Continuity
  • Magic Formula: Value + Quality
  • Defensive: Low Volatility
  • Levermann Strategy (13 Criteria)
  • Acquirer's Multiple: EV/EBIT Deep Value
  • Balanced GARP
  • High-Growth / Rule of 40
  • PEG Strategy (inspired by Peter Lynch)
  • Trending Value: Value + Momentum
  • Undervalued Stocks: Multi-Factor Check

Sherwin-Williams Co key metrics: P/E, P/B and equity ratio

Selected fundamental metrics for Sherwin-Williams Co.

MetricStockSector
P/E ratio33.319.6
P/B ratio18.62.1
Return on equity (ROE)55.9%10.7%
Equity ratio17.8%54.8%
Debt-to-equity (D/E)2.810.37
Dividend yield0.9%2.1%

Similar stocks in Basic Materials

How comparable stocks in the same sector score in the StockScorer model.

SymbolCompanyRating
SHWSherwin-Williams Cothis page
ECLEcolab IncMedium5.5
APDAir Products and Chemicals IncLow0.0
PPGPPG Industries IncMedium5.5
IFFInternational Flavors & Fragrances Inclocked
GIVN.SWGivaudan SAlocked

Frequently asked questions about Sherwin-Williams Co stock

How does Sherwin-Williams Co stock (SHW) score in the StockScorer model?
Sherwin-Williams Co stock reaches a StockScorer score of 4.5 out of 10, which is a low match with the rule-based strategies. 3 out of 7 flagship profile rules are met.
What is Sherwin-Williams Co's P/E ratio?
Sherwin-Williams Co's P/E ratio is 33.3. The Basic Materials sector median is 19.6.
What sector is Sherwin-Williams Co in?
Sherwin-Williams Co is assigned to the Basic Materials sector. Its rank within the sector is 47.5 out of 100: 100 means the stock leads its peer group of large and mid-cap sector stocks in every measured area.

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