Upside case
Bull case
$128+18.7%
RPM would need investors to value it at roughly 23x earnings — about 4x more generous than today's 20x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated Jun 18, 2026
RPM International Inc. (RPM) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
22
analysts
16 bullish · 0 bearish · 22 covering RPM
Strong Buy
0
Buy
16
Hold
6
Sell
0
Strong Sell
0
Consensus Target
$125
+15.4% vs today
Scenario Range
$61 – $128
Model bear to bull value window
Coverage
22
Published analyst ratings
Valuation Context
19.7x
Forward P/E · Market cap $13.8B
RPM price targets
Three scenarios for where RPM stock could go
Current
~$108
Confidence
56 / 100
Updated
Jun 18, 2026
Where we are now
Current · $108
Bear
$61
Base
$97
Bull
$128
Market caseClosest to today
Base case
$97-9.9%
This is close to how the market is already pricing RPM — at roughly 18x forward earnings. No dramatic re-rating needed, just steady execution on the core business.
Stress case
Bear case
$61-43.3%
If investor confidence fades or macro conditions deteriorate, a 9x multiple contraction could push RPM down roughly 43% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
RPM International Inc.
RPM · NYSEBasic MaterialsChemicals - SpecialtyMay year-end
RPM International is a specialty chemical company that manufactures and sells coatings, sealants, and construction materials for industrial, commercial, and consumer markets. It generates revenue primarily through its industrial segment — including industrial coatings and corrosion control products — and its consumer segment — which includes DIY paints and sealants — with the industrial segment contributing roughly 60% of sales. The company's competitive advantage lies in its extensive portfolio of trusted brands — like Rust-Oleum and DAP — and its deep technical expertise in niche applications that create switching costs for professional customers.
Market Cap
$13.8B
Revenue TTM
$7.6B
Net Income TTM
$667M
Net Margin
8.8%
RPM Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
67%Exceptional
12 quarters tracked
Revenue Beat Rate
58%Exceptional
vs consensus estimates
Avg EPS Surprise
+4.2%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 3 of 4Q3 2025
EPS
$1.72/$1.59
Revenue
$2.1B/$2.0B
Q4 2025
EPS
$1.88/$1.88
Revenue
$2.1B/$2.1B
Q1 2026
EPS
$1.20/$1.41
Revenue
$1.9B/$1.9B
Q2 2026
EPS
$0.57/$0.37
Revenue
$1.6B/$1.5B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $1.72/$1.59 | +8.2% | $2.1B/$2.0B | +3.4% |
| Q4 2025 | $1.88/$1.88 | +0.0% | $2.1B/$2.1B | +2.8% |
| Q1 2026 | $1.20/$1.41 | -14.9% | $1.9B/$1.9B | -0.9% |
| Q2 2026 | $0.57/$0.37 | +54.1% | $1.6B/$1.5B | +3.8% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$7.9B
+4.1% YoY
FY2
$8.1B
+3.2% YoY
EPS Outlook
FY1
$5.27
+1.1% YoY
FY2
$5.41
+2.5% YoY
Trailing FCF (TTM)$583M
FCF Margin: 7.7%
Next Earnings
July 23, 2026
Expected EPS
$1.83
Expected Revenue
$2.2B
RPM beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
RPM Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $7.4B
Product Mix
Latest annual revenue by segment or product family
Construction Products Group Segment
37.5%
+2.4% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
UNITED STATES
71.1%
+1.1% YoY
Tap, hover, or focus a slice to inspect segment detail.
Construction Products Group Segment is the largest disclosed segment at 37.5% of FY 2025 revenue, up 2.4% YoY.
UNITED STATES is the largest reported region at 71.1%, up 1.1% YoY.
RPM Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Slightly cheap versus peers
Fair value est. $122 — implies +12.5% from today's price.
Upside to Fair Value
12.5%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
RPM
20.2x
vs
S&P 500
24.4x
17% discount
vs Basic Materials Trailing P/E
RPM
20.2x
vs
Basic Materials
23.6x
14% discount
vs RPM 5Y Avg P/E
Today
20.2x
vs
5Y Average
22.9x
12% discount
Forward PE
19.7x
S&P 500
18.8x
+4%
Basic Materials
14.9x
+32%
5Y Avg
—
—
Trailing PE
20.2x
S&P 500
24.4x
-17%
Basic Materials
23.6x
-14%
5Y Avg
22.9x
-12%
PEG Ratio
1.12x
S&P 500
1.66x
-32%
Basic Materials
1.23x
-9%
5Y Avg
—
—
EV/EBITDA
15.0x
S&P 500
15.2x
-1%
Basic Materials
11.0x
+36%
5Y Avg
16.0x
-6%
Price/FCF
25.7x
S&P 500
20.7x
+24%
Basic Materials
29.0x
-11%
5Y Avg
23.7x
+9%
Price/Sales
1.9x
S&P 500
3.1x
-39%
Basic Materials
1.9x
-0%
5Y Avg
1.8x
+4%
Dividend Yield
1.85%
S&P 500
1.91%
-4%
Basic Materials
1.41%
+31%
5Y Avg
1.77%
+4%
| Metric | RPM | S&P 500 | Basic Materials | 5Y Avg RPM |
|---|---|---|---|---|
| Forward PE | 19.7x | 18.8x | 14.9x+32% | — |
| Trailing PE | 20.2x | 24.4x-17% | 23.6x-14% | 22.9x-12% |
| PEG Ratio | 1.12x | 1.66x-32% | 1.23x | — |
| EV/EBITDA | 15.0x | 15.2x | 11.0x+36% | 16.0x |
| Price/FCF | 25.7x | 20.7x+24% | 29.0x-11% | 23.7x |
| Price/Sales | 1.9x | 3.1x-39% | 1.9x | 1.8x |
| Dividend Yield | 1.85% | 1.91% | 1.41% | 1.77% |
RPM trades above S&P 500 benchmarks on 1 of 6 measured multiples — appears modestly priced relative to the S&P 500 on most measures.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolRPM Financial Health
Verdict
Strong
RPM 13.3% ROIC signals a durable competitive advantage — returns 2.5% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$7.6B
Revenue Growth
TTM vs prior year
+3.2%
Gross Margin
Gross profit as a share of revenue
41.2%
Operating Margin
Operating income divided by revenue
12.0%
Net Margin
Net income divided by revenue
8.8%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$5.22
Free Cash Flow (TTM)
Cash generation after capex
$583M
FCF Margin
FCF as share of revenue — the primary cash quality signal
7.7%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
13.3%
ROA
Return on assets, trailing twelve months
8.5%
Cash & Equivalents
Liquid assets on the balance sheet
$302M
Net Debt
Total debt minus cash
$2.7B
Debt Serviceability
Net debt as a multiple of annual free cash flow
4.6× FCF
~4.6 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
21.3%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
2.5%
Dividend
1.8%
Buyback
0.6%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$89M
Dividend / Share
Annualized trailing dividend per share
$1.99
Payout Ratio
Share of earnings distributed as dividends
37.1%
Shares Outstanding
Declining as buybacks retire shares
128M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageRPM Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated June 18, 2026
High Risk
Raw material cost volatility
Raw materials represent approximately 60% of COGS, making the P&L sensitive to oil and natural gas price fluctuations despite strategic supplier contracts.
Medium
Financial health risks
RPM International disclosed 28 risk factors in its most recent earnings report, indicating potential challenges across multiple operational and financial areas.
Lower
Market sentiment uncertainty
Investors may face uncertainty due to mixed fundamental analysis and smart money sentiment, requiring careful evaluation before investment.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why RPM Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated June 18, 2026
Non-cyclical market positioning
RPM operates in the global, non-cyclical repair, maintenance, and specialty coatings market, providing stability and resilience against economic downturns.
Decentralized acquisition-driven model
The company's decentralized, acquisition-driven strategy positions it as a market leader, enabling growth through small, strategic acquisitions.
Strong European growth
Europe led Q1 2026 growth at 20.7%, indicating robust geographic expansion and a clear path to potentially double sales.
Specialty coatings leadership
RPM's subsidiaries are world leaders in specialty coatings, sealants, and building materials, offering a competitive edge in niche markets.
Attractive valuation metrics
With trailing and forward P/E ratios of 22.78 and 19.53 respectively, RPM presents a compelling valuation case for investors.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
RPM Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$108.00
52W Range Position
42%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$92.92
+16.2% from the low
52-Week High
$129.12
-16.4% from the high
1 Month
+11.23%
3 Month
+9.25%
YTD
+4.1%
1 Year
+0.9%
3Y CAGR
+9.0%
5Y CAGR
+4.4%
10Y CAGR
+7.7%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
RPM vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
19.7x
vs 23.4x median
-16% below peer median
Revenue Growth
+4.1%
vs +2.8% median
+48% above peer median
Net Margin
8.8%
vs 9.8% median
-11% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
RPM RPM RPM International Inc. | $13.8B | 19.7x | +4.1% | 8.8% | Buy | +15.4% |
SHW SHW The Sherwin-Williams Company | $79.1B | 27.4x | +3.8% | 10.9% | Buy | +16.8% |
PPG PPG PPG Industries, Inc. | $26.5B | 15.0x | +2.4% | 9.8% | Buy | +8.7% |
AXT AXTA Axalta Coating Systems Ltd. | $7.4B | 13.4x | +1.3% | 7.2% | Hold | -2.2% |
HXL HXL Hexcel Corporation | $7.4B | 42.4x | +4.7% | 6.1% | Hold | -7.6% |
ITW ITW Illinois Tool Works Inc. | $76.1B | 23.4x | +2.8% | 19.3% | Hold | +2.7% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
RPM Dividend and Capital Return
RPM returns 2.5% total yield, led by a 1.85% dividend, raised 33 consecutive years. Buybacks add another 0.6%.
Dividend SustainableFCF Well Covered
Total Shareholder Yield
2.5%
Dividend + buyback return per year
Buyback Yield
0.6%
Dividend Yield
1.85%
Payout Ratio
37.1%
How RPM Splits Its Return
Div 1.85%
Buyback 0.6%
Dividend 1.85%Buybacks 0.6%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$1.99
Growth Streak
Consecutive years of dividend increases
33Y
3Y Div CAGR
8.5%
5Y Div CAGR
7.2%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$89M
Estimated Shares Retired
821.2K
Approx. Share Reduction
0.6%
Shares Outstanding
Current diluted share count from the screening snapshot
128M
At 0.6%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $1.08 | — | — | — |
| 2025 | $2.07 | +9.5% | 0.6% | 2.4% |
| 2024 | $1.89 | +9.9% | 0.6% | 2.2% |
| 2023 | $1.72 | +6.2% | 0.7% | 2.7% |
| 2022 | $1.62 | +5.2% | 0.6% | 2.4% |
FAQ
7 questionsRPM Investor Questions
Common questions answered from live analyst data and company financials.
01Is RPM International Inc. (RPM) stock a buy or sell in 2026?
RPM International Inc. (RPM) is rated Buy by Wall Street analysts as of 2026. Of 22 analysts covering the stock, 16 rate it Buy or Strong Buy, 6 rate it Hold, and 0 rate it Sell or Strong Sell. The consensus 12-month price target is $125, implying +15.4% from the current price of $108. The bear case scenario is $61 and the bull case is $128.
02What is the RPM stock price target for 2026?
The Wall Street consensus price target for RPM is $125 based on 22 analyst estimates. The high-end target is $130 (+20.4% from today), and the low-end target is $120 (+11.1%). The base case model target is $97.
03Is RPM International Inc. (RPM) stock overvalued in 2026?
RPM trades at 19.7x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals slightly cheap versus peers. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for RPM International Inc. (RPM) stock in 2026?
The primary risks for RPM in 2026 are: (1) Raw material cost volatility — Raw materials represent approximately 60% of COGS, making the P&L sensitive to oil and natural gas price fluctuations despite strategic supplier contracts. (2) Financial health risks — RPM International disclosed 28 risk factors in its most recent earnings report, indicating potential challenges across multiple operational and financial areas. (3) Market sentiment uncertainty — Investors may face uncertainty due to mixed fundamental analysis and smart money sentiment, requiring careful evaluation before investment. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is RPM International Inc.'s revenue and earnings forecast?
Analyst consensus estimates RPM will report consensus revenue of $7.9B (+4.1% year-over-year) and EPS of $5.27 (+1.1% year-over-year) for the upcoming fiscal year. The following year, analysts project $8.1B in revenue.
06When does RPM International Inc. (RPM) report its next earnings?
RPM International Inc. is expected to report its next earnings on approximately 2026-07-23. Consensus expects EPS of $1.83 and revenue of $2.2B. Over recent quarters, RPM has beaten EPS estimates 67% of the time.
07How much free cash flow does RPM International Inc. generate?
RPM International Inc. (RPM) generated $583M in free cash flow over the trailing twelve months — a free cash flow margin of 7.7%. RPM returns capital to shareholders through dividends (1.8% yield) and share repurchases ($89M TTM).