JPMorgan analyst Jeffrey Zekauskas lowered the firm’s price target on Sherwin-Williams to $235 from $260 and keeps an Overweight rating on the shares following the guidance shortfall. The new target reflects lower EBITDA expectations, says the analyst, who sees "little certainty in purchasing" Sherwin-Williams for short-term considerations. Its volumes are likely to decelerate at an increasing rate through the course of the year as professional paint contractors work through their backlog, JPMorgan contends. However, Sherwin is a strong consumer franchise and its value "can move up sharply in an environment of flattening or falling interest rates" the analyst adds.
Published first on TheFly
See Insiders’ Hot Stocks on TipRanks >>
Read More on SHW: