SHW vs. VMC: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at SHW and VMC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | SHW | VMC |
|---|---|---|
| Company Name | The Sherwin-Williams Company | Vulcan Materials Company |
| Country | United States | United States |
| GICS Sector | Materials | Materials |
| GICS Industry | Chemicals | Construction Materials |
| Market Capitalization | 86.42 billion USD | 40.26 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 17, 1980 | February 21, 1973 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of SHW and VMC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | SHW | VMC |
|---|---|---|
| 5-Day Price Return | 1.07% | 0.55% |
| 13-Week Price Return | -2.09% | 14.45% |
| 26-Week Price Return | -0.74% | 30.60% |
| 52-Week Price Return | -8.35% | 26.72% |
| Month-to-Date Return | 0.10% | -0.95% |
| Year-to-Date Return | 1.96% | 18.45% |
| 10-Day Avg. Volume | 1.35M | 0.73M |
| 3-Month Avg. Volume | 1.77M | 0.92M |
| 3-Month Volatility | 21.01% | 18.83% |
| Beta | 1.26 | 1.09 |
Profitability
Return on Equity (TTM)
SHW
60.82%
Chemicals Industry
- Max
- 29.52%
- Q3
- 13.18%
- Median
- 6.53%
- Q1
- 1.35%
- Min
- -11.86%
SHW’s Return on Equity of 60.82% is exceptionally high, placing it well beyond the typical range for the Chemicals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
VMC
11.70%
Construction Materials Industry
- Max
- 24.24%
- Q3
- 15.27%
- Median
- 10.51%
- Q1
- 5.28%
- Min
- -5.22%
VMC’s Return on Equity of 11.70% is on par with the norm for the Construction Materials industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
SHW
11.03%
Chemicals Industry
- Max
- 20.20%
- Q3
- 9.15%
- Median
- 3.94%
- Q1
- 0.60%
- Min
- -10.43%
A Net Profit Margin of 11.03% places SHW in the upper quartile for the Chemicals industry, signifying strong profitability and more effective cost management than most of its peers.
VMC
12.52%
Construction Materials Industry
- Max
- 44.75%
- Q3
- 22.43%
- Median
- 9.02%
- Q1
- 4.99%
- Min
- -4.83%
VMC’s Net Profit Margin of 12.52% is aligned with the median group of its peers in the Construction Materials industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
SHW
14.21%
Chemicals Industry
- Max
- 27.33%
- Q3
- 13.82%
- Median
- 7.98%
- Q1
- 3.60%
- Min
- -7.61%
An Operating Profit Margin of 14.21% places SHW in the upper quartile for the Chemicals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
VMC
18.90%
Construction Materials Industry
- Max
- 31.89%
- Q3
- 18.90%
- Median
- 11.67%
- Q1
- 8.77%
- Min
- -2.06%
VMC’s Operating Profit Margin of 18.90% is around the midpoint for the Construction Materials industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | SHW | VMC |
|---|---|---|
| Return on Equity (TTM) | 60.82% | 11.70% |
| Return on Assets (TTM) | 10.43% | 5.84% |
| Net Profit Margin (TTM) | 11.03% | 12.52% |
| Operating Profit Margin (TTM) | 14.21% | 18.90% |
| Gross Profit Margin (TTM) | 48.87% | 27.56% |
Financial Strength
Current Ratio (MRQ)
SHW
0.78
Chemicals Industry
- Max
- 3.72
- Q3
- 2.38
- Median
- 1.69
- Q1
- 1.42
- Min
- 0.75
SHW’s Current Ratio of 0.78 falls into the lower quartile for the Chemicals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
VMC
1.67
Construction Materials Industry
- Max
- 5.14
- Q3
- 3.18
- Median
- 2.00
- Q1
- 1.13
- Min
- 0.76
VMC’s Current Ratio of 1.67 aligns with the median group of the Construction Materials industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
SHW
2.43
Chemicals Industry
- Max
- 1.53
- Q3
- 1.00
- Median
- 0.69
- Q1
- 0.41
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.43, SHW operates with exceptionally high leverage compared to the Chemicals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
VMC
0.59
Construction Materials Industry
- Max
- 1.12
- Q3
- 0.82
- Median
- 0.61
- Q1
- 0.29
- Min
- 0.00
VMC’s Debt-to-Equity Ratio of 0.59 is typical for the Construction Materials industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
SHW
9.47
Chemicals Industry
- Max
- 56.43
- Q3
- 26.33
- Median
- 8.84
- Q1
- 2.54
- Min
- -9.39
SHW’s Interest Coverage Ratio of 9.47 is positioned comfortably within the norm for the Chemicals industry, indicating a standard and healthy capacity to cover its interest payments.
VMC
7.88
Construction Materials Industry
- Max
- 54.89
- Q3
- 34.24
- Median
- 7.96
- Q1
- 4.28
- Min
- -6.24
VMC’s Interest Coverage Ratio of 7.88 is positioned comfortably within the norm for the Construction Materials industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | SHW | VMC |
|---|---|---|
| Current Ratio (MRQ) | 0.78 | 1.67 |
| Quick Ratio (MRQ) | 0.48 | 1.13 |
| Debt-to-Equity Ratio (MRQ) | 2.43 | 0.59 |
| Interest Coverage Ratio (TTM) | 9.47 | 7.88 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
SHW
0.88%
Chemicals Industry
- Max
- 6.59%
- Q3
- 3.67%
- Median
- 2.44%
- Q1
- 1.36%
- Min
- 0.00%
SHW’s Dividend Yield of 0.88% is in the lower quartile for the Chemicals industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
VMC
0.63%
Construction Materials Industry
- Max
- 6.59%
- Q3
- 4.78%
- Median
- 2.19%
- Q1
- 0.85%
- Min
- 0.00%
VMC’s Dividend Yield of 0.63% is in the lower quartile for the Construction Materials industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio (TTM)
SHW
29.89%
Chemicals Industry
- Max
- 192.00%
- Q3
- 108.95%
- Median
- 57.38%
- Q1
- 27.28%
- Min
- 0.00%
SHW’s Dividend Payout Ratio of 29.89% is within the typical range for the Chemicals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
VMC
26.53%
Construction Materials Industry
- Max
- 149.16%
- Q3
- 76.08%
- Median
- 33.22%
- Q1
- 14.03%
- Min
- 0.00%
VMC’s Dividend Payout Ratio of 26.53% is within the typical range for the Construction Materials industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | SHW | VMC |
|---|---|---|
| Dividend Yield (TTM) | 0.88% | 0.63% |
| Dividend Payout Ratio (TTM) | 29.89% | 26.53% |
Valuation
Price-to-Earnings Ratio (TTM)
SHW
34.03
Chemicals Industry
- Max
- 49.43
- Q3
- 32.03
- Median
- 21.32
- Q1
- 14.93
- Min
- 8.66
A P/E Ratio of 34.03 places SHW in the upper quartile for the Chemicals industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
VMC
42.05
Construction Materials Industry
- Max
- 33.62
- Q3
- 19.63
- Median
- 12.15
- Q1
- 7.04
- Min
- 2.32
At 42.05, VMC’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Construction Materials industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
SHW
3.75
Chemicals Industry
- Max
- 3.90
- Q3
- 2.23
- Median
- 1.00
- Q1
- 0.55
- Min
- 0.15
SHW’s P/S Ratio of 3.75 is in the upper echelon for the Chemicals industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
VMC
5.27
Construction Materials Industry
- Max
- 3.73
- Q3
- 2.10
- Median
- 1.35
- Q1
- 0.67
- Min
- 0.21
With a P/S Ratio of 5.27, VMC trades at a valuation that eclipses even the highest in the Construction Materials industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
SHW
19.55
Chemicals Industry
- Max
- 5.01
- Q3
- 2.59
- Median
- 1.50
- Q1
- 0.95
- Min
- 0.30
At 19.55, SHW’s P/B Ratio is at an extreme premium to the Chemicals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
VMC
4.10
Construction Materials Industry
- Max
- 4.48
- Q3
- 2.26
- Median
- 1.26
- Q1
- 0.67
- Min
- 0.11
VMC’s P/B Ratio of 4.10 is in the upper tier for the Construction Materials industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | SHW | VMC |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 34.03 | 42.05 |
| Price-to-Sales Ratio (TTM) | 3.75 | 5.27 |
| Price-to-Book Ratio (MRQ) | 19.55 | 4.10 |
| Price-to-Free Cash Flow Ratio (TTM) | 36.01 | 36.42 |