Barclays Sees Short-Cycle Recovery, Updates View on W.W. Grainger (GWW)

W.W. Grainger, Inc. (NYSE:GWW) is included among the 15 Best Safe Dividend Stocks for 2026.

On March 16, Barclays raised its price recommendation on W.W. Grainger, Inc. (NYSE:GWW) to $1,047 from $1,044. It reiterated an Underweight rating on the shares. The firm said a short-cycle recovery has arrived for the industrial technology and distribution group.

During the company’s Q4 2025 earnings call, CFO Deidra Merriwether outlined the outlook for 2026. He said revenue is expected to fall between $18.7 billion and $19.1 billion. He indicated that growth should come from expansion across both operating segments. That performance would translate into daily organic constant currency sales growth of about 6.5% to 9%. For the High-Touch Solutions segment, he said the company expects daily constant currency sales growth of 5% to 7.5%, along with continued gains in market share.

He added that the level of outgrowth in 2026 would likely come in at or slightly below the segment’s long-term target range. Turning to the Endless Assortment segment, Merriwether said daily organic constant currency sales are projected to rise between 12.5% and 15%. He also noted that operating margins for the overall company are expected to range from 15.4% to 15.9%. According to him, improvements at the segment level should be supported in part by the company’s exit from the U.K. market. On earnings, Merriwether said the company expects 2026 EPS to come in between $42.25 and $44.75 per share.

W.W. Grainger, Inc. (NYSE:GWW) operates as a broadline distributor of maintenance, repair, and operating products for businesses and institutions. The company reports its operations through two segments: High-Touch Solutions North America and Endless Assortment.

READ NEXT: 40 Most Popular Stocks Among Hedge Funds Heading into 2026 and 13 Extreme Dividend Stocks With Huge Upside Potential

Disclosure: None. Follow Insider Monkey on Google News.