Sherwin-Williams (SHW) Reports Record Q1 EBITDA on Sales Growth and Margin Expansion

Published on May 10, 2026 at 1:13 am by Maham Fatima in News

The Sherwin-Williams Company (NYSE:SHW) is one of the best basic materials stocks to buy according to hedge funds. On April 28, Sherwin-Williams reported a 6.8% increase in consolidated net sales to $5.67 billion for Q1 2026, driven by growth across all reportable segments and the recent acquisition of Suvinil. Diluted net income per share rose 7.5% to $2.15, while adjusted EPS reached $2.35. Despite global economic uncertainty and soft demand in certain end markets, the company achieved gross margin expansion and record EBITDA of $998.2 million, supported by moderating raw material costs and effective share-of-wallet strategies.

Performance across segments was led by the Consumer Brands Group, which saw a 19.2% sales surge primarily due to the Suvinil acquisition and strong performance in Europe. The Paint Stores Group grew 3.7%, supported by professional markets like protective and marine coatings, which offset a slight decline in new residential sales. Meanwhile, the Performance Coatings Group increased sales by 6.5%, with double-digit growth in Automotive Refinish. The company also remained active in shareholder returns, distributing $772.7 million through dividends and the repurchase of 1.6 million shares.

Looking ahead, the Sherwin-Williams Company (NYSE:SHW) reaffirmed its full-year 2026 adjusted diluted net income guidance of $11.50 to $11.90 per share. Management anticipates continued market volatility and potential inflationary pressures in logistics and raw materials, prompting targeted price increases and aggressive cost-reduction actions.

The Sherwin-Williams Company (NYSE:SHW) is a global leader in the manufacture, development, distribution, and sale of paints, coatings, and related products to professional, industrial, commercial, and retail customers.

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