RPM International (RPM): Assessing Valuation After Upbeat Sales Outlook and 52nd Consecutive Dividend Increase

RPM International (RPM) made headlines with its upward revision to fiscal 2026 sales guidance, now aiming for growth at the higher end of its previous expectations. The company also delivered its 52nd straight annual dividend increase, which underscores shareholder confidence and ongoing stability.

See our latest analysis for RPM International.

RPM International’s share price has experienced some ups and downs lately, rising 2.2% in the past day but posting a 9.8% drop over the last month. Recent leadership changes, a 52nd annual dividend boost, and ongoing share repurchases have kept the story interesting. Long-term, RPM’s 3-year total shareholder return stands out at 30.1%, suggesting momentum is still very much intact for investors who can look beyond the short-term volatility.

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Yet with shares down in recent weeks despite improving guidance and shareholder returns, it raises a key question: does RPM offer an undervalued entry point, or are investors already pricing in all of that future growth?

Most Popular Narrative: 15.1% Undervalued

Analyst consensus puts RPM International’s fair value at $134.36, around 15% above the last closing price of $114.06. This price gap is attracting attention as to what could propel the stock further.

Ongoing investment in turnkey systems and solutions for high-performance buildings, combined with a shift from component sales to integrated asset management offerings and expansion in developing markets, aligns well with the rising demand for renovation and maintenance of aging global infrastructure. This is likely to produce sustained top-line growth and support recurring revenues.

Read the complete narrative.

Curious why the consensus is so bullish? The growth thesis here assumes sustained, above-average expansion, fueled by corporate strategy and market trends that could catch the market by surprise. Eager to find out which financial levers and bold assumptions drive this valuation? Click and unlock what the crowd is seeing in RPM’s future.

Result: Fair Value of $134.36 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent consumer weakness or rising input costs could weigh on RPM’s top-line growth and challenge the upbeat narrative if trends worsen.

Find out about the key risks to this RPM International narrative.

Build Your Own RPM International Narrative

Not convinced by the mainstream view, or want to put your own spin on the numbers? You can shape your own perspective in under three minutes. Do it your way

A great starting point for your RPM International research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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