Zacks Research Lowers Earnings Estimates for W.W. Grainger

Key Points

• Zacks Research has lowered its FY2025 earnings per share (EPS) estimate for W.W. Grainger from $39.50 to $39.44, while the consensus estimate stands at $40.30.
• Multiple analysts have recently reduced their price targets for W.W. Grainger, with JPMorgan cutting their target from $1,125.00 to $1,035.00 and Loop Capital reducing it from $1,000.00 to $950.00.
• W.W. Grainger announced a quarterly dividend of $2.26 per share, reflecting an annualized dividend of $9.04 and a yield of 1.0%.

W.W. Grainger, Inc. (NYSE:GWW - Free Report) - Zacks Research reduced their FY2025 earnings per share (EPS) estimates for W.W. Grainger in a note issued to investors on Monday, September 29th. Zacks Research analyst Team now expects that the industrial products company will post earnings of $39.44 per share for the year, down from their prior forecast of $39.50. The consensus estimate for W.W. Grainger's current full-year earnings is $40.30 per share. Zacks Research also issued estimates for W.W. Grainger's Q4 2025 earnings at $9.73 EPS, Q2 2026 earnings at $11.08 EPS, Q3 2026 earnings at $11.09 EPS, Q4 2026 earnings at $10.45 EPS, FY2026 earnings at $42.99 EPS, Q1 2027 earnings at $11.25 EPS, Q2 2027 earnings at $11.88 EPS and FY2027 earnings at $46.97 EPS.

A number of other analysts have also weighed in on GWW. JPMorgan Chase & Co. cut their price objective on W.W. Grainger from $1,125.00 to $1,035.00 and set a "neutral" rating on the stock in a research report on Thursday, September 4th. Morgan Stanley cut their price objective on W.W. Grainger from $1,215.00 to $1,160.00 and set an "equal weight" rating on the stock in a research report on Friday, July 11th. Loop Capital cut their price objective on W.W. Grainger from $1,000.00 to $950.00 and set a "hold" rating on the stock in a research report on Monday, August 4th. Finally, Royal Bank Of Canada cut their price objective on W.W. Grainger from $1,176.00 to $1,007.00 and set a "sector perform" rating on the stock in a research report on Monday, August 4th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, seven have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, W.W. Grainger has a consensus rating of "Hold" and an average price target of $1,069.13.

W.W. Grainger Stock Down 1.3%

Shares of NYSE GWW opened at $947.58 on Tuesday. The firm has a market cap of $45.32 billion, a price-to-earnings ratio of 24.04, a PEG ratio of 2.79 and a beta of 1.18. The company has a quick ratio of 1.64, a current ratio of 2.82 and a debt-to-equity ratio of 0.57. W.W. Grainger has a 52-week low of $893.99 and a 52-week high of $1,227.66. The business's 50 day moving average is $995.26 and its two-hundred day moving average is $1,018.15.

W.W. Grainger (NYSE:GWW - Get Free Report) last announced its earnings results on Friday, August 1st. The industrial products company reported $9.97 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $10.07 by ($0.10). The firm had revenue of $4.55 billion during the quarter, compared to analysts' expectations of $4.52 billion. W.W. Grainger had a net margin of 10.99% and a return on equity of 49.63%. The firm's revenue for the quarter was up 5.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $9.76 EPS. W.W. Grainger has set its FY 2025 guidance at 38.500-40.250 EPS.

W.W. Grainger Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, September 1st. Investors of record on Monday, August 11th were paid a dividend of $2.26 per share. The ex-dividend date was Monday, August 11th. This represents a $9.04 dividend on an annualized basis and a dividend yield of 1.0%. W.W. Grainger's payout ratio is presently 22.94%.

Insider Activity at W.W. Grainger

In related news, SVP Jonny M. Leroy sold 500 shares of the business's stock in a transaction on Tuesday, September 9th. The shares were sold at an average price of $992.86, for a total transaction of $496,430.00. Following the completion of the transaction, the senior vice president owned 1,771 shares in the company, valued at approximately $1,758,355.06. The trade was a 22.02% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 6.10% of the company's stock.

Hedge Funds Weigh In On W.W. Grainger

Large investors have recently bought and sold shares of the stock. N.E.W. Advisory Services LLC acquired a new position in W.W. Grainger in the first quarter valued at $25,000. Hilltop National Bank acquired a new position in W.W. Grainger in the second quarter valued at $25,000. Quaker Wealth Management LLC boosted its stake in W.W. Grainger by 196.0% in the second quarter. Quaker Wealth Management LLC now owns 24 shares of the industrial products company's stock valued at $25,000 after acquiring an additional 49 shares in the last quarter. Brown Lisle Cummings Inc. boosted its stake in W.W. Grainger by 316.7% in the second quarter. Brown Lisle Cummings Inc. now owns 25 shares of the industrial products company's stock valued at $26,000 after acquiring an additional 19 shares in the last quarter. Finally, Loomis Sayles & Co. L P acquired a new position in W.W. Grainger in the second quarter valued at $27,000. Institutional investors and hedge funds own 80.70% of the company's stock.

W.W. Grainger Company Profile

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.

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