Sherwin-Williams CoSHW +0.59%87 Return-on-Tangible-Asset is 15.07% as of Mar. 2026, which is 27% below its 10-year median of 20.76. GuruFocus rates SHW with a GF Score™ of 87/100 and a GF Value™ of $355.74 (Fairly Valued). Among 1,609 Chemicals companies, Sherwin-Williams Co ranks better than 97.7% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Sherwin-Williams Co's annualizedNet Income for the quarter that ended in Mar. 2026 was $2,139 Mil. Sherwin-Williams Co's average total tangible assets for the quarter that ended in Mar. 2026 was $14,194 Mil. Therefore, Sherwin-Williams Co's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 15.07%.
The historical rank and industry rank for Sherwin-Williams Co's Return-on-Tangible-Asset or its related term are showing as below:
SHW'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 15.77 Med: 20.76 Max: 27.75
Current: 18.36
During the past 13 years, Sherwin-Williams Co's highest Return-on-Tangible-Asset was 27.75%. The lowest was 15.77%. And the median was 20.76%.
SHW's Return-on-Tangible-Asset is ranked better than 97.7% of 1609
companies
in the Chemicals industry
Industry Median: 3.07
vs SHW: 18.36
Sherwin-Williams Co (NYSE:SHW) Return-on-Tangible-Asset Explanation
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Sherwin-Williams Co Return-on-Tangible-Asset Related Terms
Sherwin-Williams Co Return-on-Tangible-Asset Historical Data
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The historical data trend for Sherwin-Williams Co's Return-on-Tangible-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Sherwin-Williams Co Return-on-Tangible-Asset Chart
SHW vs ECL, APD, PPG: Return-on-Tangible-Asset Comparison
For the Specialty Chemicals subindustry, Sherwin-Williams Co's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sherwin-Williams Co Return-on-Tangible-Asset vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Sherwin-Williams Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Sherwin-Williams Co's Return-on-Tangible-Asset falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 15.07% mean?
Sherwin-Williams Co (SHW) has a Return-on-Tangible-Asset of 15.07% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sherwin-Williams Co and its competitors. This is 27% below median its historical median of 20.76. Over the past decade, Sherwin-Williams Co's Return-on-Tangible-Asset has ranged from 15.77 to 27.75. According to the industry distribution chart, Sherwin-Williams Co ranks #37 out of 1609 companies in the Chemicals industry, placing it in the top 2.3%.
Is Sherwin-Williams Co's Return-on-Tangible-Asset too high?
Sherwin-Williams Co's current Return-on-Tangible-Asset of 15.07% is 27% below median its 10-year median of 20.76. Over the past 10 years, this metric has ranged from a low of 15.77 to a high of 27.75. The Chemicals industry median Return-on-Tangible-Asset is 3.07. Sherwin-Williams Co's value of 15.07% is 390.9% above this industry median. Based on the distribution chart, Sherwin-Williams Co ranks #37 out of 1609 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Sherwin-Williams Co has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sherwin-Williams Co's Return-on-Tangible-Asset compare to ECL and APD?
According to the Chemicals industry distribution chart, Sherwin-Williams Co ranks #37 out of 1609 companies for Return-on-Tangible-Asset. This places Sherwin-Williams Co in the top 2% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.07. Sherwin-Williams Co's value of 15.07% is 390.9% above this benchmark. Historically, Sherwin-Williams Co's own Return-on-Tangible-Asset has ranged from 15.77 to 27.75 over the past decade. While the company's 10-year median is 20.76 vs. the industry median of 3.07, Sherwin-Williams Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Chemicals company?
The median Return-on-Tangible-Asset among Chemicals companies is 3.07, based on 1,609 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sherwin-Williams Co's current Return-on-Tangible-Asset of 15.07% is 390.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sherwin-Williams Co and its competitors. For the Chemicals industry, the median Return-on-Tangible-Asset is 3.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sherwin-Williams Co's current Return-on-Tangible-Asset is 15.07%, which is 27% below median its own 10-year median of 20.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sherwin-Williams Co stock overvalued right now?
Based on GuruFocus' analysis, Sherwin-Williams Co (SHW) is currently considered Fairly Valued. The stock's GF Value™ is $355.74, compared to a current price of $333.99 — trading 6.1% below its estimated fair value. The current Return-on-Tangible-Asset is 15.07%, which is 27% below median its 10-year median of 20.76 and 390.9% above the Chemicals industry median of 3.07. Sherwin-Williams Co's overall GF Score™ is 87/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Sherwin-Williams Co (SHW), the current Return-on-Tangible-Asset is 15.07% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sherwin-Williams Co (SHW) Overvalued in 2026?
Based on GuruFocus' analysis, Sherwin-Williams Co stock appears to be undervalued.
The current stock price of $333.99 is trading 6.1% below its estimated GF Value™ of $355.74.
GuruFocus considers Sherwin-Williams Co to be Fairly Valued.
Key valuation signals for SHW:
Return-on-Tangible-Asset: 15.07% (27% below median its 10-year median of 20.76)
GF Value™: $355.74 vs. price of $333.99 (6.1% below fair value)
Industry Position: 390.9% above the Chemicals median (#37 of 1609)
No single metric tells the full story. See the SHW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sherwin-Williams is the largest global manufacturer of paints and coatings. The company focuses on the development, manufacturing, and distribution of paint, coatings, and related products to customers ranging from professional painters and contractors to industrial manufacturers to do-it-yourself consumers. Sherwin organizes its operations into three primary segments: the paint stores group is the largest segment and includes the company's network of over 4,800 company-owned stores; the consumer brands group sells branded architectural paints through big-box retailers such as Lowe's, and the performance coatings group provides specialized coatings for industrial applications, such as automotive refinishing, packaging, and industrial wood.
87GF Score
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