William Blair Has Weak Outlook for W.W. Grainger Q2 Earnings

W.W. Grainger, Inc. (NYSE:GWW - Free Report) - Stock analysts at William Blair lowered their Q2 2025 EPS estimates for shares of W.W. Grainger in a report issued on Thursday, May 1st. William Blair analyst R. Merkel now forecasts that the industrial products company will post earnings per share of $10.02 for the quarter, down from their prior estimate of $10.40. William Blair currently has a "Outperform" rating on the stock. The consensus estimate for W.W. Grainger's current full-year earnings is $40.30 per share. William Blair also issued estimates for W.W. Grainger's Q3 2025 earnings at $10.63 EPS, Q3 2026 earnings at $11.92 EPS, FY2026 earnings at $45.39 EPS and FY2027 earnings at $50.63 EPS.

W.W. Grainger (NYSE:GWW - Get Free Report) last issued its quarterly earnings data on Thursday, May 1st. The industrial products company reported $9.86 EPS for the quarter, beating analysts' consensus estimates of $9.51 by $0.35. The firm had revenue of $4.31 billion for the quarter, compared to analyst estimates of $4.31 billion. W.W. Grainger had a return on equity of 52.43% and a net margin of 11.12%. The company's revenue for the quarter was up 1.7% on a year-over-year basis. During the same period in the prior year, the firm posted $9.62 EPS.

A number of other equities research analysts also recently issued reports on GWW. Wolfe Research lowered W.W. Grainger from a "peer perform" rating to an "underperform" rating and set a $966.00 price objective on the stock. in a research note on Thursday, April 3rd. Royal Bank of Canada upped their price target on shares of W.W. Grainger from $1,097.00 to $1,144.00 and gave the stock a "sector perform" rating in a report on Friday. Finally, JPMorgan Chase & Co. decreased their price objective on shares of W.W. Grainger from $1,125.00 to $1,100.00 and set a "neutral" rating on the stock in a research note on Monday, February 3rd. Two equities research analysts have rated the stock with a sell rating, nine have issued a hold rating, two have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $1,120.00.

W.W. Grainger Stock Performance

NYSE GWW traded down $22.38 during trading on Monday, reaching $1,043.10. The company's stock had a trading volume of 213,374 shares, compared to its average volume of 254,144. W.W. Grainger has a 12 month low of $874.98 and a 12 month high of $1,227.66. The firm has a 50 day moving average price of $990.24 and a 200 day moving average price of $1,067.11. The firm has a market capitalization of $50.30 billion, a price-to-earnings ratio of 26.95, a price-to-earnings-growth ratio of 2.70 and a beta of 1.24. The company has a current ratio of 2.49, a quick ratio of 1.49 and a debt-to-equity ratio of 0.62.

Hedge Funds Weigh In On W.W. Grainger

A number of hedge funds have recently made changes to their positions in the stock. Wilmington Savings Fund Society FSB acquired a new stake in shares of W.W. Grainger during the third quarter worth $848,000. Trust Co. of Toledo NA OH grew its holdings in W.W. Grainger by 313.3% during the 4th quarter. Trust Co. of Toledo NA OH now owns 1,521 shares of the industrial products company's stock worth $1,603,000 after acquiring an additional 1,153 shares during the period. Clark & Stuart Inc bought a new position in shares of W.W. Grainger in the 4th quarter worth about $1,741,000. Bancreek Capital Management LP acquired a new position in shares of W.W. Grainger in the 4th quarter valued at about $3,687,000. Finally, Czech National Bank grew its stake in W.W. Grainger by 6.2% during the fourth quarter. Czech National Bank now owns 9,609 shares of the industrial products company's stock worth $10,128,000 after purchasing an additional 558 shares during the period. 80.70% of the stock is currently owned by institutional investors.

Insider Activity

In related news, CFO Deidra C. Merriwether sold 1,164 shares of the firm's stock in a transaction on Wednesday, April 2nd. The stock was sold at an average price of $997.12, for a total transaction of $1,160,647.68. Following the completion of the transaction, the chief financial officer now directly owns 10,235 shares of the company's stock, valued at $10,205,523.20. This trade represents a 10.21 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 6.10% of the company's stock.

W.W. Grainger Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Sunday, June 1st. Shareholders of record on Monday, May 12th will be given a $2.26 dividend. The ex-dividend date is Monday, May 12th. This is an increase from W.W. Grainger's previous quarterly dividend of $2.05. This represents a $9.04 annualized dividend and a yield of 0.87%. W.W. Grainger's dividend payout ratio (DPR) is currently 23.21%.

About W.W. Grainger

W.W. Grainger, Inc, together with its subsidiaries, distributes maintenance, repair, and operating products and services primarily in North America, Japan, the United Kingdom, and internationally. The company operates through two segments, High-Touch Solutions N.A. and Endless Assortment. The company provides safety, security, material handling and storage equipment, pumps and plumbing equipment, cleaning and maintenance, and metalworking and hand tools.