Wall Street analysts expect Sherwin-Williams (SHW) to post quarterly earnings of $2.12 per share in its upcoming report, which indicates a year-over-year increase of 1.4%. Revenues are expected to be $5.55 billion, up 4.7% from the year-ago quarter.
The consensus EPS estimate for the quarter has been revised 1.6% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some Sherwin-Williams metrics that Wall Street analysts commonly model and monitor.
According to the collective judgment of analysts, 'Net sales- Paint Stores Group' should come in at $3.15 billion. The estimate points to a change of +3.5% from the year-ago quarter.
The combined assessment of analysts suggests that 'Net sales- Consumer Brands Group' will likely reach $790.88 million. The estimate indicates a change of +19.4% from the prior-year quarter.
Analysts' assessment points toward 'Net sales- Performance Coatings Group' reaching $1.63 billion. The estimate points to a change of +2.5% from the year-ago quarter.
The average prediction of analysts places 'Net New Stores - Paint Stores Group' at 33 . Compared to the present estimate, the company reported 34 in the same quarter last year.
Based on the collective assessment of analysts, 'Number of Stores - Paint Stores Group' should arrive at 4,867 . Compared to the present estimate, the company reported 4,773 in the same quarter last year.
The consensus estimate for 'Segment Profit- Paint Stores Group' stands at $633.56 million. Compared to the current estimate, the company reported $606.40 million in the same quarter of the previous year.
Analysts predict that the 'Adjusted segment profit- Performance Coatings Group (PCG)' will reach $270.54 million. Compared to the current estimate, the company reported $277.90 million in the same quarter of the previous year.
Analysts forecast 'Adjusted segment profit- Consumer Brands Group (CBG)' to reach $89.54 million. The estimate is in contrast to the year-ago figure of $82.00 million.
View all Key Company Metrics for Sherwin-Williams here>>>
Shares of Sherwin-Williams have demonstrated returns of +7.1% over the past month compared to the Zacks S&P 500 composite's +0.2% change. With a Zacks Rank #4 (Sell), SHW is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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The Sherwin-Williams Company (SHW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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