Explain this page
Arphra AIPlain-English read on The Sherwin-Williams Company’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Quality composite
B+Solid
A snapshot of the latest fiscal year’s margins, returns on capital, balance-sheet strength and efficiency, computed from the income statement, balance sheet and cash-flow rows. Source income / balance / cash_flow.
Profitability
Gross margin48.9%
Operating margin16.1%
Net margin10.9%
ROE55.9%
ROA9.9%
ROIC15.5%
Liquidity & leverage
Current ratio0.87×
Quick ratio0.53×
Debt / equity3.16×
Net debt / EBITDA3.26×
Interest coverage8×
Efficiency & per-share
Asset turnover0.91×
Inventory days70
Days sales out.43
FCF / share$10.67
Book value / share$18.48
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | $86.38B | $79.84B | — | — | — | — |
| Enterprise value | — | — | — | $98.08B | $94.17B | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | 4.25 | 3.99 | — | — | — | — |
| EV / FCF | — | — | — | 47.08 | 35.48 | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | +3.10% | +3.22% | — | — | — | — |
| Free cash flow yield | — | — | — | +2.41% | +3.32% | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +42.83% | +42.10% | +46.67% | +48.47% | +48.94% | +48.63% | +49.36% | +47.81% | +47.05% |
| Operating margin | +13.36% | +13.55% | +15.64% | +16.29% | +16.14% | +16.12% | +15.61% | +15.95% | +16.22% |
| EBITDA margin | +15.82% | +16.01% | +18.00% | +19.44% | +18.65% | +18.36% | +18.42% | +18.82% | +18.83% |
| EBIT margin | +12.95% | +13.38% | +15.30% | +16.74% | +16.15% | +16.04% | +15.72% | +15.74% | +16.41% |
| Pre-tax margin | +11.27% | +11.62% | +13.49% | +14.94% | +14.16% | +14.52% | +14.23% | +14.43% | +14.19% |
| Net margin | +9.35% | +9.12% | +10.36% | +11.61% | +10.90% | +11.11% | +10.95% | +10.72% | +10.79% |
| Cost structure | |||||||||
| Cost of revenue / sales | +57.17% | +57.90% | +53.33% | +51.53% | +51.06% | +52.74% | +50.46% | +52.22% | +52.62% |
| R&D intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| SG&A intensity | +29.49% | +28.59% | +30.67% | +32.19% | +32.71% | +31.13% | +31.09% | +31.82% | +31.59% |
| Effective tax rate | +17.09% | +21.49% | +23.19% | +22.32% | +23.06% | +22.60% | +23.07% | +22.24% | +22.84% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +76.50% | +65.12% | +64.29% | +66.19% | +55.86% | +61.09% | +61.30% | +62.33% | +61.96% |
| Return on assets (ROA) | +9.02% | +8.94% | +10.41% | +11.35% | +9.92% | +10.85% | +10.26% | +10.09% | +10.59% |
| Return on capital (ROC) | +19.13% | +19.22% | +23.23% | +23.56% | +19.89% | +22.56% | +21.86% | +21.79% | +22.62% |
| Return on invested capital (ROIC) | +13.38% | +12.94% | +15.39% | +16.80% | +13.42% | +15.56% | +15.34% | +14.65% | +15.05% |
| Asset turnover | +96.51% | +98.03% | +100.42% | +97.74% | +91.01% | +97.68% | +93.70% | +94.13% | +98.12% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +9.35% | +9.12% | +10.36% | +11.61% | +10.90% | +11.11% | +10.95% | +10.72% | +10.79% |
| Asset turnover (× revenue / assets) | +96.51% | +98.03% | +100.42% | +97.74% | +91.01% | +97.68% | +93.70% | +94.13% | +98.12% |
| Equity multiplier (× assets / equity) | +847.97% | +728.35% | +617.75% | +583.35% | +563.29% | +562.92% | +597.29% | +617.53% | +584.97% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.97 | 0.98 | 1.00 | 0.98 | 0.91 | 0.98 | 0.94 | 0.94 | 0.98 |
| Fixed-asset turnover | 5.41 | 5.44 | 4.88 | 4.21 | 5.70 | — | — | — | — |
| Inventory turnover | 5.92 | 4.88 | 5.28 | 5.20 | 5.19 | — | — | — | — |
| Receivables turnover | 8.48 | 8.64 | 9.34 | 9.67 | 8.45 | — | — | — | — |
| Payables turnover | 4.74 | 5.26 | 5.31 | 5.28 | 5.11 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 43.05 | 42.25 | 39.08 | 37.75 | 43.22 | — | — | — | — |
| Days inventory outstanding (DIO) | 61.69 | 74.76 | 69.17 | 70.16 | 70.29 | — | — | — | — |
| Days payables outstanding (DPO) | 76.93 | 69.35 | 68.73 | 69.09 | 71.38 | — | — | — | — |
| Cash conversion cycle | 27.82 | 47.65 | 39.52 | 38.82 | 42.12 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 1.20 | 0.95 | 1.47 | 1.18 | 1.34 | 1.34 | 1.36 | 1.37 | 1.34 |
| FCF / Net income | 1.00 | 0.63 | 1.10 | 0.78 | 1.03 | 0.93 | 0.95 | 1.01 | 1.00 |
| FCF margin | +9.39% | +5.76% | +11.42% | +9.02% | +11.26% | +10.30% | +10.41% | +10.82% | +10.75% |
| OCF margin | +11.25% | +8.67% | +15.28% | +13.65% | +14.64% | +14.90% | +14.92% | +14.66% | +14.48% |
| CapEx / Revenue | +1.87% | +2.91% | +3.85% | +4.63% | +3.38% | +3.99% | +3.99% | +4.01% | +3.96% |
| CapEx / D&A | 0.65 | 1.11 | 1.43 | 1.71 | 1.18 | — | — | — | — |
| Stock-based comp / Revenue | +0.49% | +0.45% | +0.50% | +0.60% | +0.52% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 6.98 | 7.72 | 9.25 | 10.55 | 10.27 | 11.72 | 13.19 | 14.80 | 16.16 |
| EPS · basic | 7.10 | 7.83 | 9.35 | 10.68 | 10.38 | 11.93 | 13.51 | 14.85 | 16.51 |
| Book value / share | 9.12 | 11.85 | 14.39 | 15.94 | 18.48 | 17.97 | 18.67 | 18.85 | 19.70 |
| Tangible BV / share | -32.57 | -32.40 | -30.16 | -27.79 | -29.76 | 17.97 | 18.67 | 18.85 | 19.70 |
| Sales / share | 74.67 | 84.60 | 89.24 | 90.90 | 94.75 | 98.83 | 104.50 | 109.59 | 113.08 |
| Operating CF / share | 8.40 | 7.33 | 13.63 | 12.41 | 13.87 | 14.72 | 15.59 | 16.06 | 16.37 |
| Free cash flow / share | 7.01 | 4.87 | 10.20 | 8.20 | 10.67 | 10.18 | 10.87 | 11.86 | 12.16 |
| Dividends / share | 2.20 | 2.36 | 2.41 | 2.85 | 3.17 | 3.06 | 3.29 | 3.40 | 3.48 |
| Payout ratio | +31.49% | +30.62% | +26.11% | +26.98% | +30.75% | +27.89% | +28.78% | +28.96% | +28.53% |
| Retention ratio | +68.51% | +69.38% | +73.89% | +73.02% | +69.25% | +72.11% | +71.22% | +71.04% | +71.47% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +11.05% | +4.08% | +0.20% | +2.06% | +4.90% | +4.59% | +5.02% | +3.76% | +4.42% |
| Gross profit · YoY | — | +9.16% | +15.37% | +4.06% | +3.05% | +4.25% | +6.14% | +1.73% | +2.11% | +5.65% |
| Profit | ||||||||||
| Operating income · YoY | — | +12.61% | +20.19% | +4.31% | +1.14% | +4.74% | +1.31% | +7.28% | +5.54% | +6.98% |
| EBITDA · YoY | — | +12.33% | +17.06% | +8.23% | -2.13% | +3.28% | +4.94% | +7.28% | +3.86% | +6.72% |
| Net income · YoY | — | +8.35% | +18.25% | +12.25% | -4.21% | +6.96% | +3.12% | +2.81% | +4.46% | +6.31% |
| Operating | ||||||||||
| EBIT · YoY | — | +14.73% | +19.01% | +9.64% | -1.56% | +4.17% | +2.52% | +5.19% | +8.16% | +7.55% |
| R&D · YoY | — | — | — | — | — | — | — | — | — | — |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +10.60% | +19.82% | +14.05% | -2.65% | +14.14% | +12.49% | +12.25% | +9.20% | +11.07% |
| EPS · basic · YoY | — | +10.28% | +19.41% | +14.22% | -2.81% | +14.97% | +13.22% | +9.87% | +11.19% | +11.12% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $11.5B | $12.51B | $11.81B | $11.91B | $14.53B | $13.16B | $13.85B | $15.2B | $15.3B |
| Net debt | $11.33B | $12.31B | $11.53B | $11.7B | $14.33B | $12.91B | $13.59B | $14.93B | $15.03B |
| Net debt / EBITDA | 3.59 | 3.47 | 2.78 | 2.61 | 3.26 | 2.84 | 2.85 | 2.92 | 2.83 |
| Debt / equity | 4.72 | 4.03 | 3.18 | 2.94 | 3.16 | 2.93 | 3.00 | 3.25 | 3.12 |
| Debt / assets | +55.62% | +55.36% | +51.45% | +50.41% | +56.11% | +52.00% | +50.16% | +52.68% | +53.27% |
| Equity / assets | +11.79% | +13.73% | +16.19% | +17.14% | +17.75% | +17.76% | +16.74% | +16.19% | +17.09% |
| Coverage | |||||||||
| EBITDA / interest expense | 9.15 | 8.80 | 9.60 | 10.41 | 9.37 | 9.88 | 9.46 | 9.98 | 9.69 |
| Operating income / interest | 7.72 | 7.45 | 8.34 | 8.72 | 8.11 | 8.68 | 8.02 | 8.46 | 8.35 |
| Interest expense | $345M | $403M | $432.5M | $431.4M | $468.9M | $459.35M | $503.62M | $511.97M | $547.75M |
| Liquidity | |||||||||
| Current ratio | 0.88 | 0.99 | 0.83 | 0.79 | 0.87 | — | — | — | — |
| Quick ratio | 0.44 | 0.46 | 0.41 | 0.38 | 0.43 | — | — | — | — |
| Cash ratio | 0.03 | 0.03 | 0.04 | 0.03 | 0.03 | — | — | — | — |
| Working capital | -$665.8M | -$53M | -$1.11B | -$1.41B | -$912.9M | — | — | — | — |
| Working capital / revenue | -3.34% | -0.24% | -4.83% | -6.10% | -3.87% | — | — | — | — |
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
Valuation
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| P / E | — | — |
| P / B | — | — |
| EV / EBITDA | — | — |
| EV / Sales | 3.99x | 4.25x |
| Earnings yield | 3.2% | 3.1% |
| FCF yield | 3.3% | 2.4% |
Returns
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Gross margin | — | — |
| Operating margin | — | — |
| Net margin | — | — |
| ROE | 55.9% | 66.2% |
| ROA | 9.9% | 11.3% |
| ROIC | 15.2% | 15.4% |
Leverage & liquidity
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Debt / equity | — | — |
| Net debt / EBITDA | 3.26 | 2.61 |
| Interest coverage | — | — |
| Current ratio | 0.87x | 0.79x |
| Quick ratio | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).