-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lower our 12-month target price by $30 to $358, valuing SHW shares at 31x our 2026 EPS estimate of $11.70 (lowered today by $0.28) and at 27x our 2027 EPS estimate of $13.30 (cut by $0.30), versus the shares' three-year average forward multiple of 28x and a peer average of 17x. SHW posted Q1 adjusted EPS of $2.35 versus $2.25 in the prior year, beating our $2.17 estimate and the $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. We see 4.7% revenue growth for 2026 and a 3.8% rise in 2027. Management maintained FY 26 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.