RPM International (RPM) AI Stock Analysis

• Market Cap: $15.09B
• Dividend Yield: 1.74%
• Average Volume (3M): 895.83K
• Price to Earnings (P/E): 22.0
• Beta (1Y): 0.83
• Revenue Growth: 0.51%
• EPS Growth: 17.21%
• Country: US
• Employees: 17,200
• Sector: Basic Materials
• Sector Strength: 53
• Industry: Chemicals - Specialty
• EPS (TTM): 1.72
• Shares Outstanding: 128,376,270
• 10 Day Avg. Volume: 1,166,334
• 30 Day Avg. Volume: 895,828
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.15
• Enterprise Value/Revenue: 2.35
• Enterprise Value/Gross Profit: 5.67
• Enterprise Value/Ebitda: 16.80
• 1Y Price Target: $132.93
• Price Target Upside: 10.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15

• Rating: 76 Outperform
• Price Target: $139.00 ▲(15.84% Upside)

RPM International's stock score is primarily driven by its strong financial performance and positive earnings call. While technical indicators suggest caution due to overbought conditions, the company's robust growth outlook and operational efficiency improvements are significant positives. Valuation concerns slightly dampen the overall score.

Positive Factors

Earnings Performance

RPM International's F4Q25 results exceeded prior expectations.

Operational Efficiency

RPM delivered a beat/raise highlighting the benefit of the Pink Stuff acquisition as well as its MAP 2025 savings, which will drive the stock higher through F2026.

Price Target

The price target for RPM International has been increased from $113 to $124.

Negative Factors

Interest Expense

There is a partial offset from higher interest expense due to increased gross debt from recent M&A.

Sales Growth

The issue remains consumer coatings, and the outlook is not encouraging, so it will continue to be a governor on sales growth.

Valuation

We remain Underperform-rated largely due to minimal room for valuation improvement.

RPM International Business Overview & Revenue Model

Company Description

RPM International Inc. is a global leader in specialty coatings, sealants, and building materials. The company operates through four business segments: Consumer Group, Construction Products Group, Performance Coatings Group, and Specialty Products Group. RPM serves a diverse range of markets including industrial, commercial, and consumer sectors, offering products such as roofing systems, flooring solutions, corrosion control coatings, specialty chemicals, and various consumer home improvement products.

How the Company Makes Money

RPM International makes money through the manufacturing and sale of its diverse range of chemical products across its four business segments. The Consumer Group primarily generates revenue through the sale of branded consumer products like paints, coatings, and sealants, which are distributed through retail channels. The Construction Products Group focuses on high-performance building materials and generates income from sales to contractors and construction professionals. The Performance Coatings Group earns revenue from industrial applications, providing protective coatings and corrosion control solutions. Lastly, the Specialty Products Group brings in revenue through niche markets, offering unique chemical formulations and services. RPM's earnings are further supported by strategic partnerships and acquisitions that expand its product portfolio and market reach.

RPM International Financial Statement Overview

Summary

RPM International shows strong financial performance with consistent revenue and profit growth, effective cost management, and strong operating cash flows. While the balance sheet indicates improving leverage management, there remain some concerns about debt levels and free cash flow fluctuations.

Income Statement

RPM International has demonstrated strong revenue growth over the years, with a consistent increase in total revenue from $5.51 billion in 2020 to $7.37 billion in 2025. Gross profit margin has been stable, indicating effective cost control, while net profit margin improved significantly in 2025 to 9.34%. The EBIT and EBITDA margins show consistent profitability, further supporting a strong income statement performance.

Balance Sheet

The balance sheet indicates an improving financial structure with increasing stockholders' equity, which rose to $2.89 billion in 2025. The debt-to-equity ratio has improved, showing better leverage management. The equity ratio has also improved, suggesting a stronger asset base relative to liabilities. However, the company still carries a notable level of debt which could pose potential risks.

Cash Flow

RPM's cash flow statement shows robust operating cash flow, which has been consistently positive, peaking at $1.12 billion in 2024. Free cash flow has also shown growth, although it saw a decline in 2025 compared to 2024. Operating cash flow to net income ratio indicates effective cash conversion from earnings, although some fluctuations in free cash flow growth suggest potential investment and financing adjustments.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.37B	7.37B	7.34B	7.26B	6.71B	6.11B
Gross Profit	3.05B	3.05B	3.01B	2.75B	2.43B	2.41B
EBITDA	1.03B	1.08B	1.08B	923.35M	847.80M	900.70M
Net Income	688.69M	688.69M	588.40M	478.69M	491.48M	502.64M
Balance Sheet
Total Assets	7.78B	7.78B	6.59B	6.78B	6.71B	6.25B
Cash, Cash Equivalents and Short-Term Investments	302.14M	302.14M	237.38M	215.79M	201.67M	246.70M
Total Debt	325.02M	325.02M	2.47B	3.03B	3.01B	2.64B
Total Liabilities	4.89B	4.89B	4.07B	4.64B	4.72B	4.51B
Stockholders Equity	2.89B	2.89B	2.51B	2.14B	1.98B	1.74B
Cash Flow
Free Cash Flow	538.26M	538.26M	908.34M	322.67M	-43.67M	608.96M
Operating Cash Flow	768.19M	768.19M	1.12B	577.11M	178.73M	766.16M
Investing Cash Flow	-825.53M	-825.53M	-206.44M	-249.70M	-259.55M	-326.39M
Financing Cash Flow	121.94M	121.94M	-890.03M	-301.16M	57.39M	-459.62M

RPM International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 119.99
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RPM, the sentiment is Positive. The current price of 119.99 is above the 20-day moving average (MA) of 115.57, above the 50-day MA of 113.16, and above the 200-day MA of 118.97, indicating a bullish trend. The MACD of 2.13 indicates Negative momentum. The RSI at 62.63 is Neutral, neither overbought nor oversold. The STOCH value of 46.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RPM.

RPM International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RPM	76 Outperform	$15.09B	21.96	25.42%	1.74%	0.51%	17.21%
AXTA	73 Outperform	$6.03B	13.67	22.09%	―	-1.01%	50.58%
EMN	63 Neutral	$6.79B	8.26	14.52%	5.38%	1.60%	-3.97%
WLK	61 Neutral	$9.67B	25.36	3.71%	2.53%	-1.27%	48.34%
Sector *	61 Neutral	€6.63B	9.41	3.44%	2.67%	-3.41%	-106.94%
LYB	58 Neutral	$17.17B	70.08	1.08%	10.37%	-14.12%	-89.22%
PPG	55 Neutral	$23.57B	18.52	16.88%	2.57%	-10.59%	-7.79%

RPM International Corporate Events

RPM International Strengthens Board with New Appointments

On January 13, 2025, RPM International Inc. announced the appointment of Craig S. Morford, Christopher L. Mapes, and Julie A. Beck to its Board of Directors, with Mr. Morford and Mr. Mapes assuming their roles immediately while Ms. Beck will join in April. These appointments are aimed at strengthening the board’s expertise and leadership to drive long-term growth and shareholder value. Mr. Morford brings extensive legal and compliance experience, Mr. Mapes offers insights into manufacturing innovation and operational strategies, and Ms. Beck provides financial leadership expertise. These strategic additions are expected to enhance the company’s governance as it pursues its strategic priorities.