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SHW · Q2 2026

SHERWIN WILLIAMS CO

Reported 2026-07-28
BEAT
51EarnIQ signal
↗

Confidence rising

Mild quarter-over-quarter shift

Strong execution and pricing power drive a beat and guidance raise despite soft market demand.

  • ✓Guidance was raised, with high specificity.
  • ✓Management tone registered as confident (85/100).
  • ✓EarnIQ detected 0 potential management deflections.
Headline–confidence gap

Headline confirmed

Management confidence reinforces the reported beat.

EPS: reported vs expected+4.1%$3.70 vs $3.55
Revenue: reported vs expected+1.8%$6.8B vs $6.7B
Guidance specificityHighRaised
Market expectations supplied by Finnhub · Reported vs consensus estimate

Sherwin-Williams delivered strong second quarter results and continued to outperform the market despite ongoing global uncertainty and no meaningful improvement in demand.

Premium intelligence

The evidence behind the signal

Full report
Management language

Why confidence moved

“Sherwin-Williams delivered strong second quarter results and continued to outperform the market despite ongoing global uncertainty and no meaningful improvement in demand”
“We are pleased with our first-half performance and the momentum we are carrying into the second half of the year”
“Our updated outlook remains appropriately disciplined given the uncertain environment, but our confidence is grounded in the strength of our team...”
Guidance specificity
90/100

High specificity

Management raised full year 2026 diluted net income per share guidance to $10.92 to $11.32 and adjusted diluted net income per share to $11.80 to $12.20.

Pressure point
!

Broad-based cost inflation continuing across

0 potential deflections detected in management communication.

Narrative break

What changed

Announced an 8% price increase in Paint Stores Group effective September 1 to combat ongoing broad-based cost inflation.

Q&A evidence

Management responses

No material Q&A deflections were detected.

Key positives
  • Consolidated Net sales increased 7.5% to $6.79 billion, exceeding guidance across all three reportable segments
  • Adjusted diluted net income per share increased 9.5% to $3.70 per share
  • Strong cash generation with net operating cash improving by 21% and returning $1.46 billion to shareholders in the quarter
Key risks
  • Broad-based cost inflation continuing across raw materials, energy, logistics and packaging
  • Customer sentiment and leading indicators pointing to continued demand softness in the second half
  • Risks and uncertainties associated with expansion into and operations in international markets like South America, Asia, and Europe
Topic velocity

Language versus prior quarter

M&ANew
CostNew
ChinaNew
MarginNew
RecordNew
iPhoneNew
Signal composition

What drove the EarnIQ score

Tone+20
Eps Beat+0
Guidance+15
New Signal+8
Miss Penalty+0
Qoq Improvement+8
Deflection Penalty+0