Compared to Estimates, Sherwin-Williams (SHW) Q3 Earnings: A Look at Key Metrics
Sherwin-Williams (SHW) reported $6.12 billion in revenue for the quarter ended September 2023, representing a year-over-year increase of 1.2%. EPS of $3.20 for the same period compares to $2.83 a year ago.
The reported revenue represents a surprise of +1.87% over the Zacks Consensus Estimate of $6 billion. With the consensus EPS estimate being $2.77, the EPS surprise was +15.52%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Sherwin-Williams performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Number of Stores - Paint Stores Group: 4,660 versus the three-analyst average estimate of 4,662.
Paint Stores Group - Net New Stores: 16 compared to the 18 average estimate based on three analysts.
Number of Stores - Performance Coatings Group: 318 versus the three-analyst average estimate of 320.
Net sales- Paint Stores Group: $3.54 billion compared to the $3.44 billion average estimate based on five analysts. The reported number represents a change of -1.8% year over year.
Net sales- Consumer Brands Group: $854.80 million versus the five-analyst average estimate of $833.40 million. The reported number represents a year-over-year change of +21.8%.
Net sales- Performance Coatings Group: $1.72 billion versus $1.71 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -1% change.
Net sales- Administrative: $0.60 million versus the four-analyst average estimate of $1.18 million. The reported number represents a year-over-year change of -45.5%.
Income Before income tax- Paint Stores Group: $917.50 million compared to the $800.77 million average estimate based on five analysts.
Performance Coatings Group (PCG)- Adjusted segment profit: $329.40 million compared to the $292.11 million average estimate based on four analysts.
Consumer Brands Group (CBG)- Adjusted segment profit: $117.60 million versus $117.72 million estimated by four analysts on average.
Segment Profit- Administrative: -$289.80 million versus -$264.05 million estimated by two analysts on average.
Segment Profit- Consumer Brands Group: $101.60 million compared to the $80.49 million average estimate based on two analysts.
View all Key Company Metrics for Sherwin-Williams here>>>
Shares of Sherwin-Williams have returned -6.9% over the past month versus the Zacks S&P 500 composite's -2.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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