SHW's Shares Scale Fresh 52-Week High: What's Driving it?

Core Insights - Sherwin-Williams Company's shares reached a 52-week high of $371.19 on September 3, closing at $363.75, with a 34.9% increase in stock price over the past year compared to the industry's 33.9% growth [1] Financial Performance - In Q2 2024, Sherwin-Williams reported adjusted earnings of $3.70 per share, exceeding the Zacks Consensus Estimate of $3.51, while revenues were $6,271.5 million, a 0.5% year-over-year increase, but below the consensus estimate of $6,350.1 million [1] - The Paint Stores Group achieved approximately 3.5% sales growth, driven by low-single-digit volume gains and higher selling prices, with growth across all end markets except property maintenance [2] - The Performance Coatings Group also saw modest sales growth, supported by an acquisition, although faced challenges from currency headwinds and mixed volume performance across regions [2] - The Consumer Brands Group experienced a sales decline due to weaker DIY demand in North America, a divestiture, and unfavorable currency effects [2] Future Guidance - Sherwin-Williams anticipates consolidated net sales to grow at a low-single-digit percentage year-over-year in Q3, with similar growth expected for the full year [3] - The company projects 2024 earnings per share (EPS) to be between $10.30 and $10.60, with adjusted EPS in the range of $11.10 to $11.40 [3] - The Zacks Consensus Estimate for 2024 EPS is $11.47, indicating a 10.8% increase from the previous year [4]