Using the industry peer median P/E multiple (trailing + forward), The Sherwin-Williams Company (SHW) has a fair value of $215.77 based on 5 comparable companies in the Chemicals - Specialty industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| The Sherwin-Williams CompanySHW | 79,549 | 31.1x | 28.1x |
| Newmont CorporationNEM | 109,235 | 15.6x | 9.9x |
| Freeport-McMoRan Inc.FCX | 79,986 | 36.6x | 18.3x |
| Ecolab Inc.ECL | 75,091 | 36.4x | 39.9x |
| CRH plcCRH | 69,510 | 22.2x | 17.3x |
| PPG Industries, Inc.PPG | 23,530 | 15.2x | 13.8x |
| Industry Median | 22.2x | 17.3x | |
| (*) Profit after tax | 2,569 | 2,830 | |
| Equity Value | 56,923 | 50,442 | |
| (/) Outstanding shares | 249 | 249 | |
| Fair Price | $229 | $203 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.