Sherwin-Williams Stock Drops After Earnings Miss Expectations

The maker of paints and coatings lowered its full-year earnings forecast. (Photograph by Daniel Acker/Bloomberg)

Sherwin-Williams stock fell Tuesday after the maker of paints and coatings missed expectations for second-quarter earnings and cut its full-year guidance.

The company posted adjusted earnings of $3.38 a share, down from $3.70 last year and below Wall Street’s consensus estimate of $3.80. Net sales climbed to $6.31 billion from $6.27 billion last year, narrowly beating analysts’ expectations of $6.3 billion.

Sherwin-Williams also lowered its forecasts for 2025. The company now anticipates adjusted earnings between $11.20 and $11.50 a share, down from a previous forecast of $11.65 to $12.05. Full-year sales are expected to come in between a low-single-digit percentage gain and a low-single-digit decline from last year, whereas past forecasts only anticipated a low-single digit jump.

Shares were dropping 1.9% on Tuesday.

“Demand was softer than anticipated through June, and we do not see catalysts to change that trajectory at this time,” said CEO Heidi G. Petz in a statement.

The Cleveland-based company entered Tuesday as a resilient—if unexciting—investment, even in a slow housing market. But the challenging economic environment may be taking a toll, as sales for commercial, new residential, and property maintenance segments “remained under pressure as expected,” Petz said.

Shares were up 0.4% so far in 2025 as of Monday’s close. Sherwin-Williams is a Barron’s stock pick for 2025.

Write to Nate Wolf at nate.wolf@barrons.com