Element Solutions Inc (ESI)vsSherwin-Williams Co (SHW)
ESI
Element Solutions Inc
$43.90
+3.86%
BASIC MATERIALS · Cap: $10.30B
SHW
Sherwin-Williams Co
$316.82
-1.06%
BASIC MATERIALS · Cap: $78.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Sherwin-Williams Co generates 756% more annual revenue ($23.94B vs $2.80B). SHW leads profitability with a 10.9% profit margin vs 5.3%. SHW trades at a lower P/E of 30.7x. SHW earns a higher WallStSmart Score of 56/100 (C).
ESI
Hold48
out of 100
Grade: D+
SHW
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-7.3%
Fair Value
$30.22
Current Price
$43.90
$13.68 premium
Margin of Safety
+10.9%
Fair Value
$359.21
Current Price
$316.82
$42.39 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 41.5% year-over-year
Every $100 of equity generates 61 in profit
Large-cap with strong market position
Areas to Watch
ROE of 5.6% — below average capital efficiency
5.3% margin — thin
Premium valuation, high expectations priced in
Earnings declined 42.5%
Premium valuation, high expectations priced in
Trading at 17.0x book value
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : ESI
The strongest argument for ESI centers on Revenue Growth. Revenue growth of 41.5% demonstrates continued momentum.
Bull Case : SHW
The strongest argument for SHW centers on Return on Equity, Market Cap.
Bear Case : ESI
The primary concerns for ESI are Return on Equity, Profit Margin, P/E Ratio. A P/E of 68.2x leaves little room for execution misses.
Bear Case : SHW
The primary concerns for SHW are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
ESI profiles as a hypergrowth stock while SHW is a value play — different risk/reward profiles.
ESI carries more volatility with a beta of 1.28 — expect wider price swings.
ESI is growing revenue faster at 41.5% — sustainability is the question.
SHW generates stronger free cash flow (800,000), providing more financial flexibility.
Bottom Line
SHW scores higher overall (56/100 vs 48/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Element Solutions Inc
BASIC MATERIALS · SPECIALTY CHEMICALS · USA
Element Solutions Inc produces and sells specialty chemicals in the United States, China, and internationally. The company is headquartered in Fort Lauderdale, Florida.
Visit Website →Sherwin-Williams Co
BASIC MATERIALS · SPECIALTY CHEMICALS · USA
Sherwin Williams Company is a Cleveland, Ohio based company in the paint and coating manufacturing industry. The company primarily engages in the manufacture, distribution, and sale of paints, coatings, floorcoverings, and related products to professional, industrial, commercial, and retail customers primarily in North and South America and Europe.
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