The Sherwin-Williams Company

DB:SJ3 Stock Report

Market Cap: €71.9b

Sherwin-Williams Valuation

Is SJ3 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 SJ3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

€65.61
Fair Value
340.1% overvalued intrinsic discount
21
Number of Analysts

Below Fair Value: SJ3 (€288.75) is trading above our estimate of fair value (€65.61)

Significantly Below Fair Value: SJ3 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SJ3?

Key metric: As SJ3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SJ3. This is calculated by dividing SJ3's market cap by their current earnings.
What is SJ3's PE Ratio?
PE Ratio31.8x
EarningsUS$2.57b
Market CapUS$83.51b

Price to Earnings Ratio vs Peers

How does SJ3's PE Ratio compare to its peers?

The above table shows the PE ratio for SJ3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average67.1x
SY1 Symrise
19.9x7.32%€10.1b
EVK Evonik Industries
68.5x33.78%€6.4b
WCH Wacker Chemie
158.5x60.13%€3.4b
ACT AlzChem Group
21.6x17.75%€1.3b
SJ3 Sherwin-Williams
31.8x8.71%€83.5b

Price-To-Earnings vs Peers: SJ3 is good value based on its Price-To-Earnings Ratio (31.8x) compared to the peer average (67.1x).

Price to Earnings Ratio vs Industry

How does SJ3's PE Ratio compare vs other companies in the European Chemicals Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
SJ3 31.8xIndustry Avg. 17.9xNo. of Companies14PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SJ3 is expensive based on its Price-To-Earnings Ratio (31.8x) compared to the European Chemicals industry average (17.9x).

Price to Earnings Ratio vs Fair Ratio

What is SJ3'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.

SJ3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.8x
Fair PE Ratio24.6x

Price-To-Earnings vs Fair Ratio: SJ3 is expensive based on its Price-To-Earnings Ratio (31.8x) compared to the estimated Fair Price-To-Earnings Ratio (24.6x).

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 SJ3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€288.75
€336.43
+16.51%
8.84%€367.31€227.17n/a21
Nov ’26€299.75
€335.31
+11.86%
8.84%€366.09€226.42n/a21
Oct ’26€292.45
€322.83
+10.39%
8.59%€357.76€219.76n/a21
Sep ’26€309.05
€326.88
+5.77%
8.60%€361.75€222.22n/a21
Aug ’26€287.20
€324.44
+12.96%
9.82%€363.55€223.32n/a21
Jul ’26€292.70
€319.51
+9.16%
12.67%€356.24€218.84n/a22
Jun ’26€314.60
€332.31
+5.63%
12.60%€369.73€227.12n/a23
May ’26€306.25
€331.76
+8.33%
12.95%€370.44€219.12n/a23
Apr ’26€321.40
€353.89
+10.11%
13.39%€398.57€228.94n/a23
Mar ’26€346.95
€367.10
+5.81%
13.37%€410.05€235.54n/a23
Feb ’26€354.25
€372.05
+5.02%
13.76%€429.29€238.28n/a23
Jan ’26€330.25
€368.52
+11.59%
15.01%€429.08€230.75n/a23
Dec ’25€376.35
€362.00
-3.81%
12.78%€416.79€224.14n/a23
Nov ’25€328.80
€360.18
+9.54%
12.72%€415.62€223.51€299.7523
Oct ’25€340.65
€335.15
-1.61%
12.44%€381.69€209.26€292.4524
Sep ’25€324.45
€332.41
+2.45%
11.62%€384.54€210.82€309.0524
Aug ’25€324.20
€334.38
+3.14%
11.27%€386.65€215.53€287.2024
Jul ’25€276.40
€315.01
+13.97%
12.29%€372.52€203.95€292.7024
Jun ’25€277.75
€314.22
+13.13%
12.48%€370.36€202.77€314.6024
May ’25€283.85
€316.08
+11.35%
12.10%€373.76€204.63€306.2525
Apr ’25€321.60
€308.41
-4.10%
13.83%€372.65€198.38€321.4024
Mar ’25€305.60
€297.14
-2.77%
11.27%€341.14€197.31€346.9524
Feb ’25€280.20
€292.94
+4.55%
11.10%€332.39€197.59€354.2523
Jan ’25€281.20
€272.00
-3.27%
11.58%€327.20€194.50€330.2524
Dec ’24€254.00
€261.32
+2.88%
9.90%€300.76€195.04€376.3524
Nov ’24€224.30
€268.13
+19.54%
9.74%€312.28€202.51€328.8024
€335.99
Fair Value
14.1% undervalued intrinsic discount
21
Number of Analysts

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 Analysis2025/11/14 07:27
End of Day Share Price 2025/11/14 00:00
Earnings2025/09/30
Annual Earnings2024/12/31

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.

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 Github.

Analyst Sources

The Sherwin-Williams Company is covered by 46 analysts. 23 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
Sergey VasnetsovBarclays