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RPM International (RP8) AI Stock Analysis

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DE:RP8

RPM International

(XETRA:RP8)

Rating:―N/A
Action:N/A
Date:―

No summary available

Positive Factors
Strong profitability and returnsRPM’s healthy gross, operating, and net margins demonstrate meaningful value capture across its specialty coatings, sealants, and building-material businesses. Strong returns on equity support reinvestment, resilience, and continued funding for operational improvements and growth initiatives.
Negative Factors
Persistent inflation pressures marginsElevated raw-material inflation is currently outpacing pricing and operational benefits, creating a direct risk to gross-margin sustainability. Even with planned price increases, delayed recovery can pressure earnings, require repeated customer negotiations, and limit near-term operating leverage.

RPM International (RP8) vs. iShares MSCI Germany ETF (EWG)

-15%-10%-5%0%5%10%15%DE:RP8+5.47%EWG+5.34%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
EUR 13.44B
Dividend Yield
2.05%
Average Volume (3M)
128
Price to Earnings (P/E)
19.4
Beta (1Y)
0.64
Revenue Growth
0.60%
EPS Growth
-3.25%
Country
Germany
Employees
17,546
Sector
Basic Materials
Sector Strength
61
Industry
Chemicals - Specialty

RPM International Business Overview & Revenue Model

Company Description

RPM International Inc. provides specialty chemicals for the construction, industrial, specialty, and consumer markets. It operates in four segments: CPG, PCG, Consumer, and SPG. The company offers waterproofing, coating, and traditional roofing syste...

RPM International Earnings Call Summary

Earnings Call Date:Oct 05, 2026(Q1-2027)|% Change Since:10.15%|Next Earnings Date:Jan 05, 2027
Earnings Call SentimentPositive

The call was predominantly positive: RPM reported record first-quarter sales, adjusted EBITDA, and adjusted EPS; achieved record results in Performance Coatings and Consumer; generated strong cash flow; reduced debt; and maintained substantial balance-sheet capacity. These strengths were partly offset by Construction Products weakness, elevated raw-material and freight inflation, lower gross margins, supply-related product shortages, and reduced fiscal-year guidance. Management characterized several Construction Products and supply-chain issues as temporary and expressed confidence in pricing, operational improvements, emerging-market growth, and longer-term margin recovery.

Positive Updates

Record First-Quarter Financial Results
RPM delivered record first-quarter sales, adjusted EBITDA, and adjusted diluted EPS despite sluggish end markets and temporary operating headwinds. Adjusted diluted EPS increased 5.3% to a first-quarter record of $1.98.

Negative Updates

Gross-Margin Pressure from Inflation
Gross margins declined 100 basis points in the first quarter because the rate of raw material inflation outpaced pricing and MAP benefits. Management expects continued gross-margin pressure during fiscal 2027 as inflation remains elevated.

Company Guidance

For the second quarter, RPM expects consolidated sales to increase in the low to mid single digit range, with CPG sales increasing in the low single digit range, PCG in the mid to high single digit range and consumer in the low to mid single digit range; consolidated EBITDA is also expected to increase in the low to mid single digit range. Second quarter inflation is expected to be in the 9% to 11% range, versus the previous estimate of 6% to 8%, and third quarter inflation is anticipated to be 7% to 9%; Q2 price is expected to be somewhere in the 2.5% to 3.5% range. For fiscal 27, sales growth is expected to be mid single digit growth, compared with the previous outlook of 3% to 7%, and adjusted EBITDA is expected to grow mid single digits, compared to a previous outlook of up 5% to 10%; CPG is expected to return to positive organic growth towards the end of the year, cash flow from operations is expected to grow versus 2026, corporate other expense is expected to be equal to or slightly down each quarter, and RPM expects to recover 100% of any loss margin and maybe a little bit more, with a goal of 42% gross margins and 26% SG&A on a consolidated basis.

RPM International Risk Analysis

RPM International disclosed 27 risk factors in its most recent earnings report. RPM International reported the most risks in the "Legal & Regulatory" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Legal & Regulatory - Litigation, compliance, new legislation, and taxation risks

Latest Risks Added

0 New Risks

RPM International Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

DE:RP8 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
AXTAAXTA72Outperform$7.67B22.5613.48%―0.14%-25.40%
SHWSHW69Neutral$85.13B31.0463.49%0.94%7.03%5.95%
FULFUL68Neutral$2.78B13.799.51%1.93%1.48%72.33%
PPGPPG62Neutral$27.59B17.2219.05%2.37%6.39%27.29%
Sector *61Neutral$10.43B7.12-0.05%2.87%2.86%-36.73%
ASHASH61Neutral$3.40B135.222.77%2.29%-1.39%―

* Basic Materials Sector Average

Performance Comparison

0%20%40%DE:RP8ASHFULPPGSHWAXTADec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
DE:RP8 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
DE:RP8RPM International95.023.954.34%
ASHAshland Global Holdings, Inc.73.0223.6647.94%
FULH.B. Fuller Company50.19-6.59-11.61%
PPGPpg Industries, Inc.121.2427.4429.26%
SHWSherwin-Williams340.878.262.48%
AXTAAxalta Coating Systems35.207.2826.07%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.