RPM International is a specialty coatings and sealants company with superior return on equity relative to peers and strong analyst sentiment, but double concentration risks in both customer and supplier relationships, and the stock has essentially reached its analyst price target with minimal remaining upside at current levels.
Thesis pillars
- Dual Concentration Customer Supplier→Stable
- Earnings Variability Below Expectations→Stable
- Price At Analyst Target Minimal Upside→Stable
- +1 more pillar — see the Why tab for full reasoning
RPM International Inc. (RPM) Stock Analysis
Breakout setup
Basic Materials · Specialty Chemicals
Sell if holding. Analyst target reached at $113.82 — A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: key customers (Consumer segment) (65.0%).
RPM International manufactures and sells specialty chemical products including paints, coatings, sealants, adhesives, and roofing systems across four segments -- Construction Products (38% of sales), Consumer (33%), Performance Coatings (20%), and Specialty Products (9%) --... Read more
Sell if holding. Analyst target reached at $113.82 — A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: key customers (Consumer segment) (65.0%). Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Score 5.1/10, moderate confidence.
Passes 6/9 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 47d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
About RPM International Inc.
About RPM International Inc.
RPM International generated $7.4 billion in net sales for fiscal 2025 across four segments: Construction Products (38%), Consumer (33%), Performance Coatings (20%), and Specialty Products (9%), operating 118 manufacturing facilities in 21 countries including the U.S., Brazil, Germany, and India. Foreign operations accounted for 28.9% of net sales, and the company markets products such as Rust-Oleum, DAP, Tremco, and Carboline in roughly 163 countries and territories.
RPM sells directly to contractors, distributors, industrial end-users, and retail channels, with its Consumer segment relying heavily on big-box and hardware retailers: Ace Hardware, Amazon, Do It Best, The Home Depot, Lowe's, Menards, Orgill, W.W. Grainger, and Walmart together bought approximately 65% of Consumer segment net sales and 22% of consolidated net sales in fiscal 2025, with The Home Depot alone representing 24% of Consumer segment sales. Raw materials -- mostly petroleum-based derivatives, minerals, and metals -- are sourced from multiple suppliers under contracts, though the company acknowledges some inputs come from sole-source suppliers. RPM competes against much larger players including Akzo Nobel, PPG Industries, The Sherwin-Williams Company, and Sika AG, several of which have greater financial resources.
Show full overview
RPM's Consumer segment carries retail-channel concentration that the broader company's segment mix otherwise masks: the same ten retailers that bought 65% of Consumer segment sales in fiscal 2025 accounted for just 22% of consolidated net sales, meaning a pullback by any single big-box account -- Home Depot alone was 24% of Consumer segment sales -- would hit the Consumer segment's results far harder than RPM's blended results suggest. That retail dependency compounds with raw-material exposure: petroleum-based derivatives, minerals, and metals feeding RPM's coatings and sealants formulations are subject to tariff and trade-policy swings the 10-K flags as a direct cost pass-through risk.
See also: Basic Materials · Specialty Chemicals
From RPM International Inc.'s most recent 10-K filing, extracted August 2, 2026.
Recent developments
updated 2026-08-16Recent Developments — RPM International Inc.
Latest news
- NEWS RPM Upgraded by UBS -- Price Target Raised to $130 - GuruFocus — GuruFocus positive
- NEWS RPM International upgraded at UBS on pricing power, construction recovery (RPM:NYSE) - Seeking Alpha — Seeking Alpha positive
- NEWS PPG stock and RPM shares rise on Akzo takeover bid rejection - Investing.com — Investing.com positive
- NEWS RPM International Raised to Buy From Neutral by UBS - Moomoo — Moomoo positive
- NEWS PPG stock and RPM shares rise on Akzo takeover bid rejection - Investing.com Canada — Investing.com Canada positive
Generated 2026-08-16T17:12:04Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMGeographicforeign operations29%10-K Item 1A: 'Our foreign manufacturing operations accounted for approximately 28.9% of our net sales for the fiscal year ended May 31, 2025'
- HIGHCustomerkey customers (Consumer segment)65%10-K Item 1A: 'Within our Consumer segment, sales to these customers accounted for approximately 65%, 67% and 67% of net sales for the fiscal years ended May 31, 2025, 2024 and 2023, respectively.'
- LOWCustomerkey customers22%10-K Item 1A: 'We depend on a few key customers ... sales to these customers across all of our reportable segments accounted for approximately 22%, 24% and 25% of our consolidated net sales'
- LOWCustomerThe Home Depot10-K Item 1A: 'Sales to The Home Depot, Inc. represented less than 10% of our consolidated net sales for fiscal 2025, 2024, and 2023'
Material Events(8-K, last 90d)
- 2026-06-02Item 1.01LOWOn May 27, 2026, RPM amended its $300 million accounts receivable securitization facility, removing the SOFR credit spread adjustment, eliminating the interest coverage ratio covenant, and adding a contingent 3.75x leverage ratio covenant triggered only if RPM loses investment-grade ratings from two agencies.SEC filing →
- 2026-04-23Item 5.02LOWOn April 20, 2026, RPM's Board appointed Thomas C. Gentile, III, chairman/CEO of Hexcel Corporation, as a new director effective immediately. Routine board appointment; no reason cited beyond his industrial-operations experience.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
1 floor-breaker
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Analyst target reached at $113.82 — A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: key customers (Consumer segment) (65.0%). Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Prior stop was $106.76. Score 5.1/10, moderate confidence.
Take-profit target: $115.57 (-0.3% upside). Prior stop was $106.76. Stop-loss: $106.76.
Concentration risk — Customer: key customers (Consumer segment) (65.0%); Analyst target reached - limited upside remaining; Weak growth.
RPM International Inc. trades at a P/E of 22.0 (forward 16.8). TrendMatrix value score: 5.6/10. Verdict: Sell.
21 analysts cover RPM with a consensus score of 4.1/5. Average price target: $131.
What does RPM International Inc. do?RPM International manufactures and sells specialty chemical products including paints, coatings, sealants, adhesives,...
RPM International manufactures and sells specialty chemical products including paints, coatings, sealants, adhesives, and roofing systems across four segments -- Construction Products (38% of sales), Consumer (33%), Performance Coatings (20%), and Specialty Products (9%) -- generating $7.4 billion in net sales for fiscal 2025. About 29% of sales come from foreign operations across roughly 118 manufacturing locations in over 20 countries.