ALB vs. SHW: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at ALB and SHW, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
SHW stands out with 88.70 billion USD in market value—about 13.36× ALB’s market cap of 6.64 billion USD.
With betas of 1.71 for ALB and 1.25 for SHW, both show similar volatility profiles relative to the overall market.
| Symbol | ALB | SHW |
|---|---|---|
| Company Name | Albemarle Corporation | The Sherwin-Williams Company |
| Country | US | US |
| Sector | Basic Materials | Basic Materials |
| Industry | Chemicals - Specialty | Chemicals - Specialty |
| CEO | Mr. Jerry Kent Masters Jr. | Ms. Heidi G. Petz |
| Price | 56.44 USD | 353.94 USD |
| Market Cap | 6.64 billion USD | 88.70 billion USD |
| Beta | 1.71 | 1.25 |
| Exchange | NYSE | NYSE |
| IPO Date | February 22, 1994 | March 17, 1980 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of ALB and SHW over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of ALB and SHW based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- ALB posts a negative P/E of -5.82, reflecting last year’s net loss, while SHW at 32.94 signals healthy earnings.
- ALB has a negative Price-to-Free Cash Flow ratio of -47.57, signaling it consumed more cash than it produced over the last year—an important liquidity warning. In contrast, SHW (P/FCF 40.77) indicates positive free cash flow generation.
| Symbol | ALB | SHW |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -5.82 | 32.94 |
| Forward PEG Ratio (TTM) | 31.25 | 2.72 |
| Price-to-Sales Ratio (P/S, TTM) | 1.30 | 3.85 |
| Price-to-Book Ratio (P/B, TTM) | 0.66 | 21.37 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -47.57 | 40.77 |
| EV-to-EBITDA (TTM) | -10.79 | 22.67 |
| EV-to-Sales (TTM) | 1.72 | 4.40 |
| EV-to-Free Cash Flow (TTM) | -62.77 | 46.57 |
Dividend Comparison
ALB’s dividend yield of 2.86% is about 236% higher than SHW’s 0.85%, underscoring its stronger focus on returning cash to shareholders.
| Symbol | ALB | SHW |
|---|---|---|
| Dividend Yield (TTM) | 2.86% | 0.85% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of ALB and SHW, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- SHW’s current ratio of 0.77 indicates its assets may not cover near-term debts, whereas ALB at 2.11 maintains healthy liquidity.
- SHW posts a quick ratio of 0.45, indicating limited coverage of short-term debts from its most liquid assets—while ALB at 1.26 enjoys stronger liquidity resilience.
- SHW is highly leveraged (debt-to-equity ratio 3.10), elevating both potential gains and risks, compared to ALB at 0.36, which maintains a steadier capital structure.
- With negative EBIT (-9.99), ALB cannot cover its interest payments. SHW, with an interest coverage of 9.13, meets its interest obligations.
| Symbol | ALB | SHW |
|---|---|---|
| Current Ratio (TTM) | 2.11 | 0.77 |
| Quick Ratio (TTM) | 1.26 | 0.45 |
| Debt-to-Equity Ratio (TTM) | 0.36 | 3.10 |
| Debt-to-Assets Ratio (TTM) | 0.21 | 0.52 |
| Interest Coverage Ratio (TTM) | -9.99 | 9.13 |