Is Sherwin-Williams Stock Underperforming the Nasdaq?

The Sherwin-Williams Company (SHW) is a global leader in paints and coatings, serving professional, industrial, commercial, and consumer customers, with a market capitalization of $80.1 billion. The Cleveland, Ohio-based company offers branded and private-label products through thousands of stores and distributors, along with engineered coating solutions for construction, transportation, packaging, and industrial markets worldwide.

Companies worth $10 billion to $200 billion are generally described as “large-cap stocks,” and Sherwin-Williams definitely fits that description, with its market cap exceeding this threshold and reflecting its substantial size, influence, and position within the specialty chemicals industry. Sherwin-Williams stands out for its strong competitive position, backed by pricing power and deep brand loyalty among professional contractors. Its robust supply chain, extensive store network, technology investments, and disciplined cost management support operational efficiency, market share gains, and growth.

Despite its notable strengths, SHW has slipped 12.3% from its 52-week high of $377.77, reached on February 13, 2026. Over the past three months, SHW stock has climbed 13.1%, considerably outperforming the Nasdaq Composite ($NASX), which declined 3.2% during the same period.

Shares of SHW have gained 2.2% year-to-date but plunged 8.2% over the past 52 weeks, underperforming the Nasdaq Composite’s 12.8% YTD gain and 23.2% return over the past year.

While SHW has been trading above its 200-day moving average since late August, it has dipped below its 50-day moving average since late August.

Sherwin-Williams has struggled to keep pace with the broader market as its large revenue base has limited sales growth. Revenue grew 2.1% annually over the past two years, while estimated sales growth of 4.2% over the next 12 months points to softer demand. Meanwhile, EPS grew just 5% annually over the past two years, underperforming the broader industrials sector.

That said, on July 28, Sherwin-Williams shares surged about 8.3% after reporting its Q2 results. Its adjusted net income per share of $3.70 surpassed Wall Street expectations of $3.52, while the company's net sales of $6.79 billion beat Wall Street forecasts of $6.60 billion.

In the competitive Specialty Chemicals industry, top rival Linde plc (LIN) has outperformed SHW, advancing 14.3% year to date and 2.8% over the past 52 weeks.

Wall Street analysts are moderately bullish on SHW’s prospects. The stock has a consensus “Moderate Buy” rating from the 26 analysts covering it, while the mean price target of $390.74 suggests an 18% premium to its current price levels.

On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.