| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 58 | 19.4x | 17.8x | Around median | |
Growth | 43 | 6.7% | 7.1% | Around median | |
Quality | 76 | 11.8% | 4.5% | Top tier | |
Safety | 66 | 2.7x | 2.6x | Around median | |
Capital Return | 51 | 2.11% | 2.12% | Around median | |
Momentum | 31 | -9.3% | 2.9% | Bottom tier | |
Sentiment | 80 | 10 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
RPM International operates in coatings and protective materials, construction products, and consumer solutions, and generates its revenue through three main groups: Construction Products Group, Performance Coatings Group, and Consumer Group. The first two groups focus on maintenance and restoration systems, roofing, walls, flooring, protective coatings, and concrete admixtures, while the Consumer business includes products aimed at consumers and professionals, such as Rust-Oleum, DAP, The Pink Stuff, and Ready Seal. The company supports sales by offering integrated systems for high-performance buildings rather than selling individual components, which increases RPM's share of products within a project and enables it to provide a warranty for the entire system.
In Q4 of fiscal 2026, revenue was $2.2 billion, gross profit was $950.0 million, and net income was $221.2 million; equivalent to a gross margin of approximately 43.2% and a net income margin of approximately 10.1%. The company stated that consolidated sales increased 7.2% to a record level, with sales and adjusted operating profit growth across all three segments, while Construction Products Group and Performance Coatings Group led growth, supported by high-performance buildings, infrastructure, maintenance, and restoration. Consumer Group recorded record sales and profit, supported by acquisitions and pricing, despite a unit volume decline of between 2% and 3% and continued weakness in the do-it-yourself DIY market.
In fiscal 2026, RPM recorded revenue of $7.9 billion, gross profit of $3.3 billion, net income of $661.4 million, and earnings per share of $5.17; representing a gross margin of approximately 41.8% and a net income margin of approximately 8.4%. Operating cash flow reached $899 million, the second-highest level in the company's history, while it returned $349 million to shareholders through dividends and share repurchases, spent approximately $224 million on capital expenditures, and $202 million on several acquisitions.
The analyst consensus is "Buy," with an average price target of $133.14, a high of $151, and a low of $117. The average target exceeds the 52-week range high of $128.51 by approximately 3.6%, but the $34 spread in targets reflects differing assessments of the impact of fiscal 2027 savings versus raw material inflation and weak Consumer Group volumes. The data does not include a valid price-to-earnings ratio that can be used to value the stock based on earnings.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
RPM expects sales growth of between 3% and 7% and adjusted earnings before interest, taxes, depreciation, and amortization growth of between 5% and 10% in fiscal 2027. Support comes from pricing, acquisitions, and growth in Construction Products Group and Performance Coatings Group across maintenance and restoration, infrastructure, energy, and high-performance buildings. The company also expects approximately $75 million in savings from selling, general, and administrative expense improvements, in addition to a pipeline exceeding $30 million from Green Belt initiatives.
Data centers represent approximately 1% to 2% of RPM's business, and management said on the July 22, 2026 call that they are growing faster than the company average, but it did not want to overstate their impact on results. Euclid Chemical benefits from demand for concrete admixtures, Fibergrate sells grating products and trench covers, while Carboline provides corrosion- and fire-resistant coatings for structural steel. Management described the data center business as steady-paced, with continued strength in traditional hospital, school, maintenance, and restoration business.
Automated analysis for informational purposes only — not investment advice.
Unit volume in Consumer Group declined by between 2% and 3% in Q4 of fiscal 2026, following a decline of approximately 4% during fiscal 2026. The Pink Stuff and Ready Seal acquisitions and pricing helped generate sales growth, but The Pink Stuff itself recorded a year-over-year decline while its distribution was being reorganized within the group. Management sees signs of stabilization after two years of declining DIY demand, but it has not seen evidence of a strong recovery, while Rust-Oleum's business remained more exposed to this weakness than DAP, which is more oriented toward professionals.
The company expects raw material inflation of 5% to 6% in Q1 of fiscal 2027, potentially reaching 6% to 8% in Q2 of fiscal 2027. RPM raised prices to offset inflation on a dollar basis, but price versus cost will remain slightly negative in the first half before approaching neutral in the second half. A fire at a supplier of propylene oxide-derived materials and tight MDI supplies add cost pressure, with an expected impact also on Tremco Roofing's sales in Q1 of fiscal 2027.
RPM generated operating cash flow of $899 million in fiscal 2026, the second-highest level in its history. It returned $349 million to shareholders through dividends and share repurchases, spent approximately $224 million on capital expenditures, and $202 million on several acquisitions. The board also increased the repurchase authorization by $700 million, while the company expects capital expenditures of between more than $220 million and $240 million in fiscal 2027.
Management said on the July 22, 2026 call that core commercial construction remains weak and that it does not expect this to change during fiscal 2027. In contrast, approximately two-thirds of Construction Products Group and Performance Coatings Group's business comes from maintenance and restoration, while restoration and reroofing account for 95% of Tremco Roofing. This mix, together with infrastructure, energy, and data centers, helped the two segments achieve mid-single-digit volume growth during Q4 of fiscal 2026.
