It has been about a month since the last earnings report for Sherwin-Williams (SHW Quick QuoteSHW - Free Report) . Shares have added about 7.1% in that time frame, outperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Sherwin-Williams due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.

Sherwin-Williams' Q2 Earnings Lag Estimates, Revenues Beat

Sherwin-Williams logged second-quarter 2025 earnings (as reported) of $3 per share, down around 14.3% from $3.50 in the year-ago quarter.

Barring one-time items, adjusted earnings were $3.38 per share, which missed the Zacks Consensus Estimate of $3.76.

Sherwin-Williams posted revenues of roughly $6.31 billion, up around 0.7% year over year. The figure beat the Zacks Consensus Estimate of $6.28 billion.

Segmental Review

The Paint Stores Group segment registered net sales of $3.70 billion in the second quarter, up around 2.3% year over year. The figure beat the Zacks Consensus Estimate of $3.68 billion. The segment's net sales grew by a mid-single digit percentage due to higher selling prices, somewhat offset by a low-single digit fall in volume.

Net sales in the Consumer Brands Group segment declined 4.1% year over year to $809.4 million, missing the consensus estimate of $821.3 million. The segment's net sales decreased due to soft DIY demand in North America and a 2% impact from unfavorable foreign currency translation, mainly in Latin America. However, increased net sales in Europe partially offset the decline.

Net sales in the Performance Coatings Group declined roughly 0.3% year over year to around $1.80 million in the reported quarter, beating the consensus estimate of $1.77 billion. The segment's net sales were flat, with increased sales from acquisitions offset by lower selling prices due to product mix.

Financials

During the first six months of 2025, the company generated $1.05 billion in net operating cash and returned $1.27 billion to shareholders through dividends and stock repurchases of 2.5 million shares. As of June 30, 2025, the company had the authorization to buy back 32 million shares of its common stock through open market purchases.

Outlook

For the third quarter and full-year 2025, the company anticipates net sales to be up or down by a low-single-digit percentage, reflecting a relatively stable revenue outlook. The effective tax rate is expected to be in the low 20% range for 2025. Net income per share is projected to range between $10.11 and $10.41, while adjusted net income per share is forecasted in the band of $11.20 to $11.50 for the full year.

How Have Estimates Been Moving Since Then?

Since the earnings release, investors have witnessed a downward trend in estimates review.

VGM Scores

At this time, Sherwin-Williams has a nice Growth Score of B, though it is lagging a bit on the Momentum Score front with a C. Charting a somewhat similar path, the stock was allocated a score of D on the value side, putting it in the bottom 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Sherwin-Williams has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.