Sherwin-Williams Company (SHW – Research Report), the Basic Materials sector company, was revisited by a Wall Street analyst yesterday. Analyst Vincent Andrews from Morgan Stanley maintained a Buy rating on the stock and has a $385.00 price target.
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Vincent Andrews has given his Buy rating due to a combination of factors, including Sherwin-Williams Company’s strong performance in the Paint & Wallpaper sector, which showed a notable year-over-year increase in sales. Despite facing challenging weather conditions and a difficult comparison period due to holiday timing, the company’s sales growth in the second quarter is tracking well against its guidance. This indicates resilience and adaptability in the face of external challenges.
Additionally, Andrews highlights Sherwin-Williams’s ability to manage its spending effectively, which is crucial given the current macroeconomic conditions. The company’s capacity to adjust its SG&A expenses suggests a strategic approach to maintaining profitability. Furthermore, the potential for continued outperformance in residential repainting markets supports a positive outlook for future growth, making Sherwin-Williams an attractive investment opportunity.
Based on the recent corporate insider activity of 74 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of SHW in relation to earlier this year.