Sherwin-Williams Company develops, manufactures, distributes, and sells paints, coatings, and related products to professional, industrial, commercial, and retail customers primarily in North and South America. The company was founded in 1866 and is based in Cleveland, Ohio.
SHW Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Sherwin Williams Co. To summarize, we found that Sherwin Williams Co ranked in the 40th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 22.83%. As for the metrics that stood out in our discounted cash flow analysis of Sherwin Williams Co, consider:
The company's balance sheet shows it gets 85% of its capital from equity, and 15% of its capital from debt. Its equity weight surpasses that of 74.19% of free cash flow generating stocks in the Basic Materials sector.
SHW's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 27.82% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Basic Materials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as SHW, try SMG, NP, USAP, WLK, and PPG.
Sherwin-Williams ([[SHW]] +0.8%) held an investor event today in a virtual format. Management says the company will maintain a consistent capital allocation strategy of not holding cash and notes that it has fired off 14 acquisitions in the last decade. In a direct appeal to potential shareholders, Sherwin Williams says...
CLEVELAND, Sept. 29, 2020 /PRNewswire/ -- The Sherwin-Williams Company (NYSE: SHW) today increased its net sales guidance for the third quarter 2020 and its net sales and diluted net income per share guidance for the full year 2020. The Company now expects third quarter 2020 consolidated…
CLEVELAND, Sept. 29, 2020 /PRNewswire/ -- Today, HGTV HOME® by Sherwin-Williams reveals its trending 2021 Color Collection of the Year and a distinguished 2021 Color of the Year, created in partnership by the design experts at HGTV® and the paint company Pros trust. The Delightfully…