Wells Fargo & Company Forecasts Strong Price Appreciation for RPM International (NYSE:RPM) Stock

Key Points

• Wells Fargo & Company has raised its price target for RPM International from $131.00 to $145.00, indicating a potential upside of 18.72% from the current stock price.
• A total of seven research analysts rated RPM with a hold rating, while five assigned a buy rating and one a strong buy, suggesting a consensus rating of "Moderate Buy."
• The company's latest quarterly earnings exceeded expectations, reporting $1.72 EPS against an estimate of $1.60, alongside a revenue of $2.08 billion.
• RPM International's stock has a debt-to-equity ratio of 0.78, demonstrating a relatively healthy financial position as reflected by its operational ratios.

RPM International (NYSE:RPM - Free Report) had its target price upped by Wells Fargo & Company from $131.00 to $145.00 in a report released on Friday morning,Benzinga reports. The firm currently has an overweight rating on the specialty chemicals company's stock.

Other analysts have also issued reports about the company. Morgan Stanley lowered their target price on RPM International from $125.00 to $113.00 and set an "equal weight" rating for the company in a research note on Wednesday, April 9th. Robert W. Baird lowered their price objective on RPM International from $125.00 to $110.00 and set a "neutral" rating for the company in a research report on Wednesday, April 9th. Royal Bank Of Canada lowered their price objective on RPM International from $126.00 to $116.00 and set a "sector perform" rating for the company in a research report on Thursday, April 10th. Citigroup started coverage on RPM International in a research report on Monday, June 2nd. They issued a "buy" rating and a $135.00 price objective for the company. Finally, BMO Capital Markets lifted their price objective on RPM International from $126.00 to $140.00 and gave the stock an "outperform" rating in a research report on Friday, June 6th. Seven analysts have rated the stock with a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, RPM International presently has an average rating of "Moderate Buy" and a consensus price target of $129.40.

RPM International Price Performance

RPM International stock traded up $0.11 during mid-day trading on Friday, hitting $122.75. 1,377,745 shares of the company were exchanged, compared to its average volume of 809,434. The company has a quick ratio of 1.38, a current ratio of 2.16 and a debt-to-equity ratio of 0.91. The business has a fifty day moving average of $112.58 and a 200 day moving average of $115.00. RPM International has a 1-year low of $95.28 and a 1-year high of $141.79. The company has a market capitalization of $15.76 billion, a PE ratio of 22.94, a price-to-earnings-growth ratio of 3.24 and a beta of 1.03.

RPM International (NYSE:RPM - Get Free Report) last released its quarterly earnings data on Thursday, July 24th. The specialty chemicals company reported $1.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.60 by $0.12. RPM International had a return on equity of 24.94% and a net margin of 9.34%. The firm had revenue of $2.08 billion during the quarter, compared to analyst estimates of $2.02 billion. During the same period in the prior year, the company posted $1.56 earnings per share. The business's revenue for the quarter was up 3.7% compared to the same quarter last year. As a group, sell-side analysts expect that RPM International will post 5.5 earnings per share for the current year.

RPM International Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 31st. Stockholders of record on Tuesday, July 15th will be issued a dividend of $0.51 per share. This represents a $2.04 annualized dividend and a dividend yield of 1.66%. The ex-dividend date is Tuesday, July 15th. RPM International's dividend payout ratio (DPR) is presently 38.13%.

Hedge Funds Weigh In On RPM International

Several institutional investors have recently modified their holdings of the business. Thurston Springer Miller Herd & Titak Inc. lifted its stake in RPM International by 277.8% in the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 340 shares of the specialty chemicals company's stock valued at $37,000 after acquiring an additional 250 shares in the last quarter. Cary Street Partners Investment Advisory LLC lifted its stake in RPM International by 43.4% in the 1st quarter. Cary Street Partners Investment Advisory LLC now owns 390 shares of the specialty chemicals company's stock valued at $45,000 after acquiring an additional 118 shares in the last quarter. Farther Finance Advisors LLC lifted its stake in RPM International by 82.1% in the 1st quarter. Farther Finance Advisors LLC now owns 763 shares of the specialty chemicals company's stock valued at $89,000 after acquiring an additional 344 shares in the last quarter. Creative Financial Designs Inc. ADV lifted its stake in RPM International by 71.8% in the 1st quarter. Creative Financial Designs Inc. ADV now owns 919 shares of the specialty chemicals company's stock valued at $106,000 after acquiring an additional 384 shares in the last quarter. Finally, Parallel Advisors LLC lifted its stake in RPM International by 28.7% in the 2nd quarter. Parallel Advisors LLC now owns 1,072 shares of the specialty chemicals company's stock valued at $118,000 after acquiring an additional 239 shares in the last quarter. Institutional investors own 80.95% of the company's stock.

RPM International Company Profile

RPM International Inc manufactures and sells specialty chemicals for the industrial, specialty, and consumer markets worldwide. It offers waterproofing, coating, and traditional roofing systems; sealants, air barriers, tapes, and foams; residential home weatherization systems; roofing and building maintenance services; sealing and bonding, subfloor preparation, flooring, and glazing solutions; resin flooring systems, polyurethane, MMA waterproof, epoxy floor paint and coatings, concrete repair, and protection products; fire stopping and intumescent steel coating, and manufacturing industry solutions; rolled asphalt roofing materials and chemical admixtures; concrete and masonry admixtures, concrete fibers, curing and sealing compounds, structural grouts and mortars, epoxy adhesives, injection resins, polyurethane foams, floor hardeners and toppings, joint fillers, industrial and architectural coatings, decorative color/stains/stamps, and restoration materials; insulated building cladding materials; and concrete form wall systems.