Sherwin-Williams (NYSE:SHW) Shares Gap Up – Should You Buy?

The Sherwin-Williams Company (NYSE:SHW)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $357.97, but opened at $382.20. Sherwin-Williams shares last traded at $373.12, with a volume of 1,330,103 shares changing hands.

Wall Street Analyst Weigh In

Several research analysts have commented on the stock. Evercore ISI decreased their target price on shares of Sherwin-Williams from $410.00 to $400.00 and set an “outperform” rating for the company in a research report on Wednesday, October 23rd. KeyCorp restated a “sector weight” rating on shares of Sherwin-Williams in a research report on Monday, October 7th. The Goldman Sachs Group lifted their target price on Sherwin-Williams from $344.00 to $390.00 and gave the company a “buy” rating in a research note on Wednesday, July 24th. JPMorgan Chase & Co. increased their price target on Sherwin-Williams from $360.00 to $370.00 and gave the stock an “overweight” rating in a research note on Wednesday, October 23rd. Finally, Jefferies Financial Group raised their price target on Sherwin-Williams from $392.00 to $415.00 and gave the company a “buy” rating in a report on Monday, August 26th. One investment analyst has rated the stock with a sell rating, seven have given a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $395.29.

Sherwin-Williams Price Performance

The company has a current ratio of 0.83, a quick ratio of 0.51 and a debt-to-equity ratio of 1.97. The company has a market cap of $95.22 billion, a price-to-earnings ratio of 37.66, a P/E/G ratio of 3.02 and a beta of 1.17. The business has a 50-day moving average price of $373.00 and a 200 day moving average price of $337.73.

Sherwin-Williams (NYSE:SHW) last posted its quarterly earnings data on Tuesday, October 22nd. The specialty chemicals company reported $3.37 EPS for the quarter, missing analysts’ consensus estimates of $3.56 by ($0.19). The firm had revenue of $6.16 billion during the quarter, compared to analyst estimates of $6.20 billion. Sherwin-Williams had a return on equity of 74.45% and a net margin of 11.09%. The company’s revenue for the quarter was up .7% on a year-over-year basis. During the same period in the prior year, the business posted $3.20 EPS. As a group, research analysts expect that The Sherwin-Williams Company will post 11.32 earnings per share for the current fiscal year.

Sherwin-Williams Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 6th. Investors of record on Friday, November 15th will be given a dividend of $0.715 per share. This represents a $2.86 annualized dividend and a yield of 0.76%. The ex-dividend date is Friday, November 15th. Sherwin-Williams’s payout ratio is presently 28.49%.

Insider Buying and Selling at Sherwin-Williams

In other news, CFO Allen J. Mistysyn sold 14,520 shares of the firm’s stock in a transaction on Friday, August 30th. The shares were sold at an average price of $366.83, for a total transaction of $5,326,371.60. Following the transaction, the chief financial officer now owns 63,520 shares in the company, valued at approximately $23,301,041.60. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.60% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the stock. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund grew its holdings in Sherwin-Williams by 61.6% during the third quarter. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund now owns 65,039 shares of the specialty chemicals company’s stock valued at $24,823,000 after purchasing an additional 24,794 shares during the last quarter. Oppenheimer & Co. Inc. boosted its holdings in shares of Sherwin-Williams by 0.9% during the 3rd quarter. Oppenheimer & Co. Inc. now owns 8,629 shares of the specialty chemicals company’s stock worth $3,293,000 after buying an additional 75 shares during the period. Oppenheimer Asset Management Inc. grew its stake in Sherwin-Williams by 2.3% in the 3rd quarter. Oppenheimer Asset Management Inc. now owns 32,689 shares of the specialty chemicals company’s stock valued at $12,476,000 after buying an additional 725 shares during the last quarter. Angeles Investment Advisors LLC bought a new position in Sherwin-Williams in the 3rd quarter worth $208,000. Finally, Simmons Bank lifted its position in Sherwin-Williams by 4.8% during the 3rd quarter. Simmons Bank now owns 737 shares of the specialty chemicals company’s stock worth $281,000 after acquiring an additional 34 shares during the last quarter. 77.67% of the stock is owned by institutional investors.

Sherwin-Williams Company Profile

The Sherwin-Williams Company engages in the development, manufacture, distribution, and sale of paints, coating, and related products to professional, industrial, commercial, and retail customers. It operates through three segments: Paint Stores Group, Consumer Brands Group, and Performance Coatings Group.