In its upcoming report, W.W. Grainger (GWW) is predicted by Wall Street analysts to post quarterly earnings of $9.43 per share, reflecting a decline of 2.9% compared to the same period last year. Revenues are forecasted to be $4.4 billion, representing a year-over-year increase of 3.9%.Over the last 30 days, there has been a downward revision of 0.2% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial ...

Core Insights - W.W. Grainger, Inc. is a leading distributor in the maintenance, repair, and operating (MRO) products sector, competing with companies like Fastenal and MSC Industrial Direct [1] Financial Performance - Grainger reported earnings of $10.21 per share in the previous quarter, exceeding the consensus estimate of $9.95, with revenue of $4.66 billion, slightly above the expected $4.64 billion, marking a 6.1% increase year-over-year [3] - The company has a strong financial health indicated by a return on equity of 49.40% and a net margin of 9.75% [4][6] - For fiscal year 2025, Grainger's guidance suggests earnings per share between $39.00 and $39.75, reflecting confidence in ongoing performance [5] Stock Performance - Oppenheimer upgraded Grainger's stock rating from "Perform" to "Outperform" with a current stock price of $1,049.97 ahead of the fourth-quarter 2025 earnings announcement [2][6] - The stock has fluctuated over the past year, reaching a high of $1,139.15 and a low of $893.99, with a trading volume of 137,703 shares on the NYSE [5]

Core Insights - W.W. Grainger (GWW) demonstrates strong operating performance as a leading MRO distributor, gaining market share in the U.S. while effectively managing margin erosion in a challenging environment [1] Company Performance - Grainger continues to leverage its scale to limit margin erosion, indicating effective operational strategies amidst market challenges [1]

Oselote/iStock via Getty Images MoneyShow’s top contributing analysts, strategists, and newsletter editors share their investment recommendations for the year ahead. See Part 8 here. Target Corp. By Ben Reynolds, Editor of Sure Dividend Target Corp. (TGT) was ...

Core Insights - Crude Value Insights provides an investment service and community focused on the oil and natural gas sectors, emphasizing cash flow and the companies that generate it, which leads to value and growth prospects with real potential [1] Company and Industry Summary - Subscribers gain access to a model account with over 50 stocks, in-depth cash flow analyses of exploration and production (E&P) firms, and live chat discussions about the sector [1]

Group 1: SGA U.S. Large Cap Growth Strategy Performance - The portfolio returned -1.3% (Gross) and -1.4% (Net) in Q3 2025, underperforming the Russell 1000 Growth Index which returned 10.5% and the S&P 500 Index which returned 8.1% [1] - The investment objective is to focus on high-quality growth businesses expected to achieve consistent mid-teens earnings growth, stable revenue, and cash flow [1] - Market leadership in Q3 was unfavorable for SGA's investment style as lower-quality stocks and cyclical industries outperformed [1] Group 2: W.W. Grainger, Inc. Overview - W.W. Grainger, Inc. is a leading distributor of maintenance, repair, and operating (MRO) products, primarily operating in North America, Japan, and the UK [3] - The company serves over 4.5 million customers and operates approximately 250 branches across the U.S., Canada, South America, and the UK [3] - Grainger offers more than 2 million MRO products in its High-Touch Solutions segment and over 30 million products through online channels [3] Group 3: Grainger's Business Model and Market Position - Grainger's high-touch business model provides strong pricing power by embedding services like inventory management and consulting into customer operations, with over 60% of revenue from customers with at least one embedded solution [3] - The company generates resilient, repeatable revenue through mission-critical product offerings and seamless digital procurement platforms, ensuring consistent demand and cash flow [3] - Grainger is well-positioned to gain market share in the B2B supply market, benefiting from trends such as manufacturing reshoring, industry consolidation, and accelerated digital adoption [3]

Core Viewpoint - W.W. Grainger, Inc. is set to announce its fiscal fourth-quarter earnings for 2025, with analysts projecting a slight decline in profit per share compared to the previous year [1][2]. Financial Performance - Analysts expect GWW to report a profit of $9.45 per share on a diluted basis for Q4 2025, down 2.7% from $9.71 per share in the same quarter last year [2]. - For the full fiscal year 2025, GWW is projected to report an EPS of $39.48, reflecting a 1.3% increase from $38.96 in fiscal 2024 [3]. - EPS is anticipated to rise 10.7% year over year to $43.71 in fiscal 2026 [3]. - GWW's adjusted EPS for Q3 was reported at $10.21, exceeding Wall Street expectations of $9.93, with revenue reaching $4.7 billion, surpassing forecasts of $4.6 billion [6]. Stock Performance - GWW stock has underperformed the S&P 500 Index, which gained 16.4% over the past 52 weeks, with GWW shares down 4.7% during the same period [4]. - The stock also lagged behind the Industrial Select Sector SPDR Fund, which saw a 17.6% increase [4]. Market Position and Strategy - GWW is facing challenges from inflation and tariffs, which have impacted margins despite steady demand [5]. - The company is implementing productivity initiatives and price hikes to mitigate costs [5]. - GWW is streamlining its portfolio by exiting the UK business and investing in digital transformation to enhance growth and profitability [5]. Analyst Sentiment - The consensus opinion on GWW stock is cautious, with a "Hold" rating overall; out of 19 analysts, three recommend a "Strong Buy," 13 suggest a "Hold," one advises a "Moderate Sell," and two advocate a "Strong Sell" [7]. - The average analyst price target for GWW is $1,034.15, indicating a potential upside of 2.5% from current levels [7].

Core Insights - Parnassus Investments reported that the S&P 500 Index increased by 8.12% in Q3 2025, driven by investor optimism regarding monetary easing, strong consumer demand, and solid corporate earnings [1] - The Parnassus Core Equity Fund (Investor Shares) returned 2.57% in Q3 2025, underperforming the S&P 500 Index, with a year-to-date return of 9.89% compared to the index's 14.83% [1] Company Highlights - W.W. Grainger, Inc. (NYSE:GWW) is highlighted as a key holding in the Parnassus Core Equity Fund, with a one-month return of 9.89% and a 52-week loss of 5.14% [2] - As of December 22, 2025, W.W. Grainger, Inc. shares closed at $1,034.87, with a market capitalization of $49.21 billion [2] - The company reported Q3 2025 sales of $4.7 billion, reflecting a 6.1% increase on a reported basis and a 5.4% increase on a daily constant currency basis [4] Investment Strategy - The Parnassus Core Equity Fund has reallocated assets by trimming IT holdings in Advanced Micro Devices and Broadcom, and investing in W.W. Grainger, Inc. due to its economies of scale, network effects, and strong customer loyalty [3] - The management team of W.W. Grainger, Inc. is noted for its proven track record of outperforming industry peers, positioning the company to benefit from trends such as digitization and nearshoring [3]

Core Viewpoint - W.W. Grainger Inc. has demonstrated exceptional dividend safety with a 53-year history of consecutive dividend increases, supported by strong cash flow and low payout ratios, positioning it as a reliable investment for income-focused investors [5][12]. Financial Metrics - The annual dividend is $8.62 per share, yielding 0.89% [5][13]. - Operating cash flow for 2024 was $2.11 billion, with dividend payments totaling $421 million, resulting in a coverage ratio of 5.0x [5][12]. - Free cash flow for 2024 was $1.57 billion after capital expenditures of $541 million, covering the dividend 3.7 times [5][12]. Payout Ratios - The free cash flow payout ratio is 27%, indicating substantial room for dividend growth or economic downturns [6][12]. - The earnings payout ratio stands at 24%, reflecting a healthy distribution of earnings to shareholders [6][7]. Dividend Growth History - Grainger has increased its dividend every year since 1972, with a five-year compound annual growth rate of approximately 6% [8]. - Total dividend payments rose from $316 million in 2018 to $421 million in 2024, marking a 33% increase over six years [8][9]. Recent Dividend Payments - In 2024, total dividends paid were $421 million, a year-over-year increase of 7.4% [9]. - The company has consistently raised dividends, even during economic downturns such as the 2008 financial crisis and the 2020 pandemic [9]. Shareholder Returns - In 2024, Grainger returned $1.62 billion to shareholders through dividends and share repurchases, with dividends representing just 22% of free cash flow [11][12]. - The company maintains a strong return on equity of 46.7%, supporting continued dividend growth [12].

Core Insights - W.W. Grainger, Inc. (GWW) is valued at $44.9 billion and serves over 4.5 million customers across various sectors, including manufacturing and healthcare [1][2] - The company has a strong brand reputation and a hybrid business model that combines traditional service with e-commerce platforms, providing a competitive edge in the industrial distribution industry [2] Financial Performance - GWW's stock has declined 20% from its 52-week high of $1,201.68, with a 5.5% decrease over the past three months, underperforming the Industrial Select Sector SPDR Fund's (XLI) 1.5% gain [3] - Year-to-date, GWW shares are down 8.8% and 19.5% over the past 52 weeks, while XLI has seen YTD gains of 15.9% and 6.9% returns over the last year [4] - On October 31, GWW reported third-quarter results with adjusted EPS of $10.21, exceeding expectations of $9.93, and revenue of $4.7 billion, slightly above the consensus estimate of $4.6 billion [5]