Sherwin-Williams Company
SHWBusiness Overview
ticker: SHW step: 01 generated: 2026-05-12 source: quick-research
The Sherwin-Williams Company (SHW) — Business Overview
Business Description
Sherwin-Williams is the world's largest paint and coatings company by revenue and market cap. Vertically integrated from raw materials to retail, the company operates ~4,800+ company-owned paint stores (Paint Stores Group, formerly Americas Group) plus Performance Coatings sold to industrial OEMs (auto refinish, packaging, marine, aerospace) and Consumer Brands sold via mass retail (HGTV Home, Krylon, Minwax, Cabot, Thompson's Water Seal).
Revenue Model
~$23.57B FY2025 revenue across three segments: Paint Stores Group (~60%), Consumer Brands Group (~15%), Performance Coatings Group (~25%). Pro contractor sales drive Paint Stores Group; consumer DIY through Lowe's + retail mass partners drives Consumer Brands. PCG is industrial OEM contracts. Vertical integration = exceptional pricing power + margin control.
Products & Services
- Paint Stores Group — Sherwin-Williams branded paint sold to pro contractors via 4,800+ company stores (residential, commercial, protective, marine)
- Consumer Brands Group — HGTV Home (Lowe's exclusive), Krylon, Minwax, Cabot, Thompson's Water Seal, Pratt & Lambert, Dutch Boy
- Performance Coatings Group — Auto refinish (BASF leader), Industrial, Coil, Packaging, Aerospace, Marine
- Suvinil Brazil — Acquired $1.15B in October 2025; #1 Brazilian decorative paint ($525M revenue)
Customer Base & Go-to-Market
60% pro contractor (Paint Stores Group, high-frequency repurchase, sticky relationships). 25% industrial OEMs (auto refinish, packaging, aerospace). 15% consumer DIY (Lowe's exclusivity in HGTV Home). Diversified geographic: ~80% North America + Latin America + Europe + Asia growing.
Competitive Position
#1 global paint + coatings company. Competes with PPG Industries, AkzoNobel, RPM International, BASF, and Berkshire's Benjamin Moore. Differentiation: Paint Stores Group's 4,800-store dedicated pro contractor channel is unique competitive moat — no peer has comparable owned-store network. PCG #1 in auto refinish + packaging coatings.
Key Facts
- Founded: 1866 (Cleveland, Ohio)
- Headquarters: Cleveland, OH
- Employees: ~64,000
- Exchange: NYSE (SHW)
- Sector / Industry: Materials / Specialty Chemicals (Coatings)
- Market Cap: ~$80-85B
Financial Snapshot
ticker: SHW step: 04 generated: 2026-05-12 source: quick-research
Sherwin-Williams (SHW) — Financial Snapshot
Income Statement Summary
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | YoY (25) |
|---|---|---|---|---|---|
| Revenue | $22.15B | $23.05B | $23.10B | $23.57B | +2.0% |
| Paint Stores Group SSS | +9.4% | +3.7% | +1.7% | +1.7% | |
| Gross Margin | 41.6% | 46.7% | 48.5% | 49.5% | |
| Operating Margin | 14.2% | 16.4% | 17.0% | 16.8% | |
| Adj EBITDA | $4.20B | $4.24B | $4.49B | $4.65B | +3.6% |
| Adj EBITDA Margin | 19.0% | 18.4% | 19.4% | 19.7% | |
| Adjusted Diluted EPS | $8.73 | $10.35 | $11.33 | $11.43 | +0.9% |
Modest top-line growth +2% reflects soft DIY + housing turnover headwinds. Margins expanded via pricing + cost management + mix shift. Strong gross margin trajectory.
Cash Flow & Balance Sheet (FY2024)
| Metric | Value |
|---|---|
| Operating Cash Flow | ~$3.4B |
| Free Cash Flow | ~$2.7B |
| Capex | ~$700M |
| Cash & Equivalents | ~$0.2B |
| Total Debt | ~$11B |
| Net Debt/EBITDA | ~2.4x |
Key Ratios (approximate)
- P/E: ~30x | EV/EBITDA: ~21x | FCF Yield: ~3.4%
- Revenue Growth (TTM): ~2% | Op Margin: ~17%
- Dividend Yield: ~0.9% | Forward P/E: ~26x
- 46+ years consecutive dividend increases (Dividend Aristocrat)
Growth Profile
SHW model: low-to-mid-single-digit organic growth in softer housing cycle; high-single to low-double-digit growth when housing recovers. Multi-year tailwinds from delayed home painting + commercial repaint + 2026-27 Federal rate cuts expected. Suvinil acquisition adds $525M Brazilian decorative paint exposure. EPS compounding through pricing + mix + buybacks.
Forward Estimates
- FY 2026: Consensus revenue $24.5-25.0B; adj EPS $12.00-12.50; PSG SSS +2-3%
- FY 2027: Housing recovery upside; consensus adj EPS $13.50-14.00
- Recent Q1 2026 beat + Emerald Symmetry launch (premium pro paint) accelerating
Deeper Financial Analysis
The fundamental tier adds 9 additional research dimensions for $SHW.