Sherwin-Williams (SHW): Do they have an actual moat or at least a competitive edge?


I know how big the brand is, but I’m not familiar with the paint industry, so I’m just throwing this question out there. According to the description on Gurufocus, SHW is “the largest provider of architectural paint in the United States.” I’ve also seen footage of their stores open internationally.

They’re currently trading at a P/E of 31.71 with a forward P/E of 26.49, but their cash-to-debt ratio is a scary 0.01. What in the world could be causing them to have been taking on so much debt since 2017?

The stock has been trading in a cup-and-handle since 2022, having just recently double-topped in March at 346.9 before coming back down to its current price of 297.4. Anyone familiar with the operations and risks of this company?


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