The Sherwin-Williams Company

WBAG:SHWW Stock Report

Market Cap: €83.2b

Sherwin-Williams Valuation

Is SHWW undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SHWW when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SHWW (€327.1) is trading below our estimate of fair value (€371.41)

Significantly Below Fair Value: SHWW is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SHWW?

Key metric: As SHWW is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SHWW. This is calculated by dividing SHWW's market cap by their current earnings.
What is SHWW's PE Ratio?
PE Ratio33.4x
EarningsUS$2.56b
Market CapUS$85.32b

Price to Earnings Ratio vs Peers

How does SHWW's PE Ratio compare to its peers?

The above table shows the PE ratio for SHWW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.9x
ECL Ecolab
32x6.5%US$66.4b
4063 Shin-Etsu Chemical
20.4x10.3%JP¥10.5t
GIVN Givaudan
35.5x6.1%CHF 36.6b
SIKA Sika
27.8x7.8%CHF 34.6b
SHWW Sherwin-Williams
33.4x8.0%€85.3b

Price-To-Earnings vs Peers: SHWW is expensive based on its Price-To-Earnings Ratio (33.4x) compared to the peer average (29x).

Price to Earnings Ratio vs Industry

How does SHWW's PE Ratio compare vs other companies in the European Chemicals Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
SHWW 33.4xIndustry Avg. 17.2xNo. of Companies11PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SHWW is expensive based on its Price-To-Earnings Ratio (33.4x) compared to the European Chemicals industry average (17.5x).

Price to Earnings Ratio vs Fair Ratio

What is SHWW's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SHWW PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio33.4x
Fair PE Ratio25x

Price-To-Earnings vs Fair Ratio: SHWW is expensive based on its Price-To-Earnings Ratio (33.4x) compared to the estimated Fair Price-To-Earnings Ratio (25x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SHWW forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€327.10
€376.15
+15.0%
14.9%€438.75€235.95n/a23
Dec ’25€375.90
€362.00
-3.7%
12.8%€416.79€224.14n/a23
Nov ’25€331.70
€360.18
+8.6%
12.7%€415.62€223.51n/a23
Oct ’25€343.35
€335.15
-2.4%
12.4%€381.69€209.26n/a24
Sep ’25€329.40
€332.41
+0.9%
11.6%€384.54€210.82n/a24
Aug ’25€323.20
€334.38
+3.5%
11.3%€386.65€215.53n/a24
Jul ’25€276.10
€315.01
+14.1%
12.3%€372.52€203.95n/a24
Jun ’25€278.45
€314.22
+12.8%
12.5%€370.36€202.77n/a24
May ’25€283.10
€316.08
+11.6%
12.1%€373.76€204.63n/a25
Apr ’25€321.50
€308.41
-4.1%
13.8%€372.65€198.38n/a24
Mar ’25€308.40
€297.14
-3.6%
11.3%€341.14€197.31n/a24
Feb ’25€280.10
€292.94
+4.6%
11.1%€332.39€197.59n/a23
Jan ’25€281.70
€272.00
-3.4%
11.6%€327.20€194.50€326.1524
Dec ’24€257.40
€261.32
+1.5%
9.9%€300.76€195.04€375.9024
Nov ’24€225.40
€268.13
+19.0%
9.7%€312.28€202.51€331.7024
Oct ’24€244.10
€281.64
+15.4%
8.4%€312.15€199.58€343.3524
Sep ’24€254.40
€273.86
+7.6%
9.3%€305.48€195.32€329.4025
Aug ’24€256.10
€268.38
+4.8%
9.4%€300.47€192.12€323.2025
Jul ’24€241.50
€236.21
-2.2%
8.9%€265.76€184.20€276.1025
Jun ’24€215.10
€238.76
+11.0%
8.7%€271.35€188.08€278.4524
May ’24€207.20
€231.94
+11.9%
8.9%€264.34€183.21€283.1024
Apr ’24€203.35
€230.09
+13.2%
9.9%€267.35€184.38€321.5024
Mar ’24€204.15
€234.26
+14.7%
9.9%€273.38€188.54€308.4026
Feb ’24€217.80
€229.53
+5.4%
10.2%€275.97€183.98€280.1027
Jan ’24€225.85
€247.07
+9.4%
11.1%€283.08€188.72€281.7025

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 13:11
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

The Sherwin-Williams Company is covered by 54 analysts. 24 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
William SeleskyArgus Research Company
Ghansham PanjabiBaird
Ishan MajumdarBaptista Research