February 18, 2026 a 06:00 pm
SHW: Fundamental Ratio Analysis - The Sherwin-Williams Company
The Sherwin-Williams Company, a leader in the specialty chemicals industry, displays a stable market presence with over 5,000 operated stores worldwide. Despite its solid reputation in paints and coatings, the company's current fundamental rating suggests areas for potential growth, particularly in its debt management and price multiples.
Fundamental Rating
The company has an overall score of 3, indicating a 'B' rating in its category. While strong in Return on Equity and Assets, its Debt to Equity ratio signals high leverage, and Price to Earnings and Price to Book ratios suggest valuation concerns.
| Category | Score | Visualization |
|---|---|---|
| Discounted Cash Flow | 4 | |
| Return on Equity | 5 | |
| Return on Assets | 5 | |
| Debt to Equity | 1 | |
| Price to Earnings | 1 | |
| Price to Book | 1 |
Historical Rating
Analysis of current and past data indicates consistent performance across most fundamental scores, with minor fluctuations.
| Date | Overall Score | DCF | ROE | ROA | D/E | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2026-02-18 | 3 | 4 | 5 | 5 | 1 | 1 | 1 |
| Previous | 0 | 4 | 5 | 5 | 1 | 1 | 1 |
Analyst Price Targets
Analysts suggest a positive outlook, with the target price consensus positioned favorably around the $396 level despite market fluctuations.
| High | Low | Median | Consensus |
|---|---|---|---|
| $420 | $371 | $400 | $396.83 |
Analyst Sentiment
The current sentiment leans towards a 'Buy' recommendation, with a significant majority of analysts advising either 'Buy' or 'Hold' positions.
| Recommendation | Count | Visualization |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 24 | |
| Hold | 13 | |
| Sell | 1 | |
| Strong Sell | 0 |
Conclusion
The Sherwin-Williams Company stands firm in the specialty chemicals sector, with a robust distribution network and operational reach. Although fundamental scores highlight excellent ROE and ROA, investor caution is advised concerning valuation multiples and debt levels. With favorable analyst price targets and sentiment, SHW presents growth potential, but maintaining vigilance on leverage and market valuation remains critical.