Franklin Resources Inc. Trims Stake in W.W. Grainger, Inc. $GWW

Key Points

• Franklin Resources trimmed its stake in W.W. Grainger by 2% in the fourth quarter, though it still held 527,417 shares valued at about $532.2 million.
• W.W. Grainger reported strong quarterly results, with EPS of $11.65 topping estimates and revenue of $4.74 billion beating expectations; it also raised its full-year 2026 EPS guidance.
• The company increased its quarterly dividend to $2.49 per share from $2.26, while several analysts recently adjusted price targets and the stock currently carries a consensus rating of Hold.

Franklin Resources Inc. reduced its position in W.W. Grainger, Inc. (NYSE:GWW - Free Report) by 2.0% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 527,417 shares of the industrial products company's stock after selling 10,930 shares during the quarter. Franklin Resources Inc. owned approximately 1.11% of W.W. Grainger worth $532,190,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Mattern Capital Management LLC boosted its position in shares of W.W. Grainger by 4.8% during the fourth quarter. Mattern Capital Management LLC now owns 12,234 shares of the industrial products company's stock valued at $12,345,000 after buying an additional 563 shares during the period. Caprock Group LLC bought a new stake in W.W. Grainger during the 3rd quarter valued at $4,205,000. Wealth Enhancement Advisory Services LLC grew its position in shares of W.W. Grainger by 212.3% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 54,215 shares of the industrial products company's stock worth $55,795,000 after buying an additional 36,855 shares in the last quarter. Rhumbline Advisers grew its position in shares of W.W. Grainger by 2.8% during the 3rd quarter. Rhumbline Advisers now owns 96,382 shares of the industrial products company's stock worth $91,848,000 after buying an additional 2,596 shares in the last quarter. Finally, SG Americas Securities LLC increased its stake in shares of W.W. Grainger by 160.6% during the fourth quarter. SG Americas Securities LLC now owns 68,139 shares of the industrial products company's stock valued at $68,756,000 after buying an additional 41,990 shares during the period. Institutional investors own 80.70% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on GWW. Royal Bank Of Canada upped their price objective on shares of W.W. Grainger from $1,170.00 to $1,337.00 and gave the stock a "sector perform" rating in a research note on Friday, May 8th. Barclays raised their target price on shares of W.W. Grainger from $1,047.00 to $1,171.00 and gave the company an "underweight" rating in a research report on Tuesday, May 12th. Wall Street Zen raised shares of W.W. Grainger from a "hold" rating to a "buy" rating in a research report on Saturday, May 23rd. Weiss Ratings raised shares of W.W. Grainger from a "buy (b-)" rating to a "buy (b)" rating in a report on Monday, May 4th. Finally, Stephens boosted their price objective on shares of W.W. Grainger from $1,300.00 to $1,355.00 and gave the stock an "overweight" rating in a research note on Monday, May 11th. Three research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $1,212.88.

Insiders Place Their Bets

In other W.W. Grainger news, VP Paige K. Robbins sold 1,457 shares of the firm's stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $1,232.29, for a total value of $1,795,446.53. Following the completion of the sale, the vice president owned 2,232 shares of the company's stock, valued at approximately $2,750,471.28. This trade represents a 39.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Jonny M. Leroy sold 854 shares of the business's stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $1,231.06, for a total value of $1,051,325.24. Following the sale, the senior vice president owned 1,554 shares in the company, valued at $1,913,067.24. The trade was a 35.47% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 6,451 shares of company stock worth $7,380,743 over the last quarter. Company insiders own 6.30% of the company's stock.

W.W. Grainger Stock Performance

Shares of W.W. Grainger stock opened at $1,304.09 on Tuesday. The company has a market capitalization of $61.57 billion, a PE ratio of 35.07, a P/E/G ratio of 2.40 and a beta of 1.04. The company has a 50-day simple moving average of $1,193.46 and a two-hundred day simple moving average of $1,105.20. W.W. Grainger, Inc. has a one year low of $906.52 and a one year high of $1,309.16. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.60 and a current ratio of 2.69.

W.W. Grainger (NYSE:GWW - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The industrial products company reported $11.65 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $10.21 by $1.44. W.W. Grainger had a net margin of 9.70% and a return on equity of 47.87%. The firm had revenue of $4.74 billion for the quarter, compared to the consensus estimate of $4.58 billion. During the same quarter in the previous year, the firm earned $9.86 EPS. The company's quarterly revenue was up 10.1% compared to the same quarter last year. W.W. Grainger has set its FY 2026 guidance at 44.250-46.250 EPS. Research analysts expect that W.W. Grainger, Inc. will post 45.34 EPS for the current fiscal year.

W.W. Grainger Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 1st. Stockholders of record on Monday, May 11th were issued a dividend of $2.49 per share. The ex-dividend date was Monday, May 11th. This represents a $9.96 annualized dividend and a dividend yield of 0.8%. This is a boost from W.W. Grainger's previous quarterly dividend of $2.26. W.W. Grainger's dividend payout ratio (DPR) is currently 26.79%.

About W.W. Grainger

W.W. Grainger, Inc NYSE: GWW is an industrial supply distributor founded in 1927 and headquartered in Lake Forest, Illinois. The company supplies maintenance, repair and operations (MRO) products and services to businesses, institutions and government customers. Over its long history Grainger has developed a broad product assortment and a national distribution network that supports operations across a range of end markets, including manufacturing, healthcare, hospitality, transportation and public sector organizations.

Grainger's product portfolio spans core categories such as electrical and lighting, safety and personal protective equipment, material handling, motors and power transmission, plumbing and HVAC, fasteners and adhesives, hand and power tools, and janitorial and facility supplies.

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