RPM International Reports Q2 Net Income Drop Amid Market Weakness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 08 Jan 26
Source: SeekingAlpha
RPM International Inc. experienced a price decline of 4.13%, hitting a 20-day low, as broader market conditions weighed on investor sentiment.
The drop in RPM's stock price is attributed to a reported net income decline to $161.21 million in Q2, down from $183.20 million last year, despite a sales increase to $1.91 billion. This disappointing earnings report, which missed analysts' expectations, reflects ongoing concerns about the company's profitability amid a challenging market environment.
The implications of this earnings miss may lead to increased scrutiny from investors, particularly as RPM navigates its growth strategies and the impact of market pressures on its financial performance.
Analyst Views on RPM
Wall Street analysts forecast RPM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RPM is 126.00 USD with a low forecast of 115.00 USD and a high forecast of 149.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
9 Buy
2 Hold
0 Sell
Strong Buy
Current: 106.850
Low
115.00
Averages
126.00
High
149.00
Current: 106.850
Low
115.00
Averages
126.00
High
149.00
About RPM
RPM International Inc. owns subsidiaries that specialize in coatings, sealants, building materials and related services. The Company’s segments include Construction Products Group (CPG), Performance Coatings Group (PCG), and Consumer. The CPG segment products and services are sold throughout North America and also account for a significant portion of its international sales. Its products and services within this segment include construction sealants and adhesives, coatings and chemicals, roofing systems, roofing installation, and concrete admixture and repair products. The PCG segment offers products and services including high-performance flooring solutions, corrosion control and fireproofing coatings, infrastructure repair systems and fiberglass reinforced plastic structures. The Consumer segment manufactures and markets professional use and do-it-yourself products for a variety of mainly residential applications, including home improvement and personal leisure activities.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
