Research Alert: Sherwin-willams Q1 Eps Tops Expectations
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:SHW posted Q1 adjusted EPS of $2.35 versus $2.25 prior year, beating our $2.17 estimate and $2.27 consensus view. Net sales advanced 6.8% Y/Y to $5.67B, exceeding our 4.0% growth forecast, led by the Suvinil acquisition, favorable FX, and modest volume gains. The company demonstrated solid operational execution, with Paint Stores same-store sales improving to 2.4% from 1.2% in the prior year and Consumer Brands posting 19.2% growth, though North American DIY demand remained soft. Management maintained FY2026 guidance of low- to mid-single-digit sales growth with adjusted EPS projected at $11.50-$11.90, representing ~2.4% growth at the midpoint. Gross margin expanded 90bps to 49.1% on moderating raw material costs and improved pricing, though SG&A rose 9.8% as Suvinil integration costs pressured margins. The company also continued its shareholder return program in Q1, deploying $772.7M through dividends and share repurchases, despite acknowledging persistent macroeconomic uncertainty.