Upside case
Bull case
$126+22.7%
RPM would need investors to value it at roughly 23x earnings — about 4x more generous than today's 19x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated May 1, 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
15 bullish · 0 bearish · 22 covering RPM
Strong Buy
0
Buy
15
Hold
7
Sell
0
Strong Sell
0
Consensus Target
$123
+19.8% vs today
Scenario Range
$64 – $126
Model bear to bull value window
Coverage
22
Published analyst ratings
Valuation Context
18.7x
Forward P/E · Market cap $13.1B
RPM price targets
Three scenarios for where RPM stock could go
Current
~$102
Confidence
67 / 100
Updated
May 1, 2026
Where we are now
Current · $102
Bear
$64
Base
$107
Bull
$126
Market caseClosest to today
Base case
$107+4.2%
This is close to how the market is already pricing RPM — at roughly 19x forward earnings. No dramatic re-rating needed, just steady execution on the core business.
Stress case
Bear case
$64-37.8%
If investor confidence fades or macro conditions deteriorate, a 7x multiple contraction could push RPM down roughly 38% 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
$13.1B
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
$7.8B
+2.6% YoY
FY2
$8.0B
+2.9% YoY
EPS Outlook
FY1
$5.38
+3.2% YoY
FY2
$5.58
+3.6% YoY
Trailing FCF (TTM)$583M
FCF Margin: 7.7%
Next Earnings
—
Expected EPS
—
Expected Revenue
—
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
Significantly Undervalued
Fair value est. $141 — implies +39.1% from today's price.
Upside to Fair Value
39.1%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
RPM
19.1x
vs
S&P 500
25.2x
24% discount
vs Basic Materials Trailing P/E
RPM
19.1x
vs
Basic Materials
22.9x
16% discount
vs RPM 5Y Avg P/E
Today
19.1x
vs
5Y Average
22.9x
17% discount
Forward PE
18.7x
S&P 500
19.1x
-2%
Basic Materials
15.4x
+21%
5Y Avg
—
—
Trailing PE
19.1x
S&P 500
25.2x
-24%
Basic Materials
22.9x
-16%
5Y Avg
22.9x
-17%
PEG Ratio
1.06x
S&P 500
1.75x
-39%
Basic Materials
1.22x
-13%
5Y Avg
—
—
EV/EBITDA
14.3x
S&P 500
15.3x
-6%
Basic Materials
11.4x
+26%
5Y Avg
16.0x
-10%
Price/FCF
24.4x
S&P 500
21.3x
+14%
Basic Materials
27.5x
-11%
5Y Avg
23.7x
+3%
Price/Sales
1.8x
S&P 500
3.1x
-43%
Basic Materials
2.0x
-9%
5Y Avg
1.8x
-2%
Dividend Yield
1.95%
S&P 500
1.88%
+4%
Basic Materials
1.37%
+42%
5Y Avg
1.77%
+10%
| Metric | RPM | S&P 500 | Basic Materials | 5Y Avg RPM |
|---|---|---|---|---|
| Forward PE | 18.7x | 19.1x | 15.4x+21% | — |
| Trailing PE | 19.1x | 25.2x-24% | 22.9x-16% | 22.9x-17% |
| PEG Ratio | 1.06x | 1.75x-39% | 1.22x-13% | — |
| EV/EBITDA | 14.3x | 15.3x | 11.4x+26% | 16.0x-10% |
| Price/FCF | 24.4x | 21.3x+14% | 27.5x-11% | 23.7x |
| Price/Sales | 1.8x | 3.1x-43% | 2.0x | 1.8x |
| Dividend Yield | 1.95% | 1.88% | 1.37% | 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 2.6% 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
2.6%
Dividend
1.9%
Buyback
0.7%
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 April 29, 2026
High Risk
Economic and Market Conditions
RPM is significantly exposed to the U.S. economy, with approximately 75% of its operations tied to this market. Weakening economic growth and fluctuations in consumer spending can negatively impact its Consumer segment and overall organic growth.
High Risk
Raw Material Costs and Supply Chain
Fluctuations in the supply and cost of raw materials, particularly petroleum-based derivatives, minerals, and metals, can materially impact RPM's financial results. Rising input costs, including for packaging and transportation, remain a significant concern despite existing procurement strategies.
High Risk
Legal and Regulatory
RPM's operations are subject to various domestic and foreign laws, including environmental, health, safety, and competition regulations. Non-compliance can lead to enforcement actions, fines, and litigation, posing a substantial risk to the company's financial health.
Medium
Operational and Strategic
Restructuring initiatives, such as the MAP 2025 program, can increase operational risks and incur significant expenses. Additionally, geopolitical uncertainties, including trade policies and tariffs, can affect RPM's operational stability.
Medium
Inflation and Cost Pressures
RPM is facing pressures from rising healthcare, freight, and wage costs, which can offset any potential cost savings. These inflationary pressures may impact overall profitability.
Lower
Interest Rate Fluctuations
Changes in interest rates can affect the cost of capital and the value of financial instruments held by RPM. While this risk is present, its impact may be less immediate compared to other factors.
Lower
Currency Exchange Rates
Fluctuations in currency exchange rates can impact RPM's foreign operations, potentially affecting revenue and profitability. This risk is particularly relevant for the company's international business segments.
Lower
Insurance Coverage
The occurrence of a significant event not fully covered by insurance could adversely affect RPM's financial condition and operational results. This risk highlights the importance of adequate insurance coverage in mitigating potential losses.
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 April 29, 2026
Record Financial Performance
RPM has demonstrated a track record of achieving record sales and earnings, reporting record sales of $7.37 billion and net income of $688.7 million in fiscal year 2025. In the third quarter of fiscal year 2026, the company achieved record sales of $1.61 billion and adjusted diluted EPS of $0.57, indicating strong operational execution and market demand.
Strategic Acquisitions and Organic Growth
RPM has a history of growth through both acquisitions and organic initiatives, successfully integrating new businesses that contribute to sales increases. The company has also achieved positive organic growth in multiple quarters, even amid challenging macroeconomic conditions.
Operational Improvements and Efficiency
The company's 'MAP 2025' operational improvement initiatives are key to its success, focusing on enhancing margins and driving efficiency. These programs help offset inflationary pressures and improve profitability, contributing to RPM's overall financial health.
Diverse End Markets and Strong Brands
RPM operates in various segments, including construction products and performance coatings, with well-known brands like Rust-Oleum and DAP. This diversification reduces reliance on any single market and positions the company to benefit from infrastructure spending and trends like reshoring.
Capital Returns and Shareholder Value
RPM has a strong history of returning capital to shareholders through dividends and share repurchases, recognized as a 'Dividend King' for increasing its dividend for over 50 consecutive years. This commitment signals financial strength and a focus on shareholder returns.
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
$102.43
52W Range Position
26%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$92.92
+10.2% from the low
52-Week High
$129.12
-20.7% from the high
1 Month
+5.32%
3 Month
-12.41%
YTD
-1.3%
1 Year
-5.8%
3Y CAGR
+8.3%
5Y CAGR
+1.0%
10Y CAGR
+7.4%
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
18.7x
vs 23.1x median
-19% below peer median
Revenue Growth
+2.6%
vs +1.8% median
+39% 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. | $13.1B | 18.7x | +2.6% | 8.8% | Buy | +19.8% |
SHW SHW The Sherwin-Williams Company | $79.8B | 27.6x | +2.9% | 10.9% | Buy | +20.3% |
PPG PPG PPG Industries, Inc. | $25.0B | 14.1x | +1.3% | 9.8% | Buy | +14.5% |
AXT AXTA Axalta Coating Systems Ltd. | $6.1B | 11.2x | +0.6% | 7.2% | Hold | +22.1% |
HXL HXL Hexcel Corporation | $7.3B | 42.1x | +4.3% | 6.1% | Hold | -6.5% |
ITW ITW Illinois Tool Works Inc. | $75.1B | 23.1x | +1.8% | 19.3% | Hold | +5.0% |
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 2.7% total yield, led by a 2.01% dividend, raised 30 consecutive years. Buybacks add another 0.7%.
Dividend SustainableFCF Well Covered
Total Shareholder Yield
2.7%
Dividend + buyback return per year
Buyback Yield
0.7%
Dividend Yield
2.01%
Payout Ratio
37.1%
How RPM Splits Its Return
Div 2.01%
Buyback 0.7%
Dividend 2.01%Buybacks 0.7%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$1.99
Growth Streak
Consecutive years of dividend increases
30Y
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
865.8K
Approx. Share Reduction
0.7%
Shares Outstanding
Current diluted share count from the screening snapshot
128M
At 0.7%/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, 15 rate it Buy or Strong Buy, 7 rate it Hold, and 0 rate it Sell or Strong Sell. The consensus 12-month price target is $123, implying +19.8% from the current price of $102. The bear case scenario is $64 and the bull case is $126.
02What is the RPM stock price target for 2026?
The Wall Street consensus price target for RPM is $123 based on 22 analyst estimates. The high-end target is $126 (+23.0% from today), and the low-end target is $118 (+15.2%). The base case model target is $107.
03Is RPM International Inc. (RPM) stock overvalued in 2026?
RPM trades at 18.7x 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 significantly undervalued. 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) Economic and Market Conditions — RPM is significantly exposed to the U. (2) Raw Material Costs and Supply Chain — Fluctuations in the supply and cost of raw materials, particularly petroleum-based derivatives, minerals, and metals, can materially impact RPM's financial results. (3) Legal and Regulatory — RPM's operations are subject to various domestic and foreign laws, including environmental, health, safety, and competition regulations. 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 $7.8B (+2.6% year-over-year) and EPS of $5.38 (+3.2% year-over-year) for the upcoming fiscal year. The following year, analysts project $8.0B in revenue.
06When does RPM International Inc. (RPM) report its next earnings?
A confirmed upcoming earnings date for RPM is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
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 (2.0% yield) and share repurchases ($89M TTM).