RPM International Inc. Common Stock (RPM)

FairStock Score: 52/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Buffett/Graham-style investor, I start with business quality and price. RPM sells specialty coatings, sealants, and building products into construction, industrial, and consumer markets. Its product breadth and 17,500 employees give it scale, but a 7.63% ROCE suggests the competitive moat is not wide. The numbers are mixed. In fiscal 2026, the year ended 2026-05-31, revenue rose to $7.9B from $7.4B in fiscal 2025, but net income fell to $661.4M from $688.7M, and diluted EPS slipped to $5.17 from $5.35. Revenue growth did not carry through to the bottom line. The most recent filed quarter, fiscal Q1 2027 ended 2026-08-31, looked better: revenue $2.2B, net income $256.4M, diluted EPS $2.01, versus fiscal Q1 2026's $2.1B, $227.6M, and $1.77. Still, FairStock classifies it as CYCLICAL—Specialty Chemicals: earnings follow the economic cycle, and fiscal Q3 2026 showed how lumpy that can be: net income was only $51.4M. Financial health is decent: Piotroski F-Score 8/9, Altman Z-Score 2.69, trailing FCF $675.2M, FCF yield 5.4%, dividend yield 2.20%. But ROCE is 7.63%, D/E is 0.89, and ROE 21.37% likely leans on leverage. At the $98.44 close on 2026-10-13, FairStock's P/E is 19.04 and P/B is 3.79. The Graham Number is $54.93, leaving a negative margin of safety of -79.21%. That is not a Graham bargain. Quality is reasonable, but price looks full for a cyclical chemical company with flat-to-down profit.

In plain English: RPM International makes specialty coatings, sealants and building products used in homes, industry and construction. The business is profitable and produces cash, but profits slipped in the year ended May 2026 and sales growth has been modest, though the most recent filed quarter showed improvement. Based on the numbers provided, the stock price looks full rather than cheap.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2027 10-Q (period ended 2026-08-31) · fiscal Q3 2026 10-Q (period ended 2026-02-28) · fiscal Q2 2026 10-Q (period ended 2025-11-30) · fiscal Q1 2026 10-Q (period ended 2025-08-31) · FY2026 10-K (period ended 2026-05-31) · FY2025 10-K (period ended 2025-05-31) · FY2024 10-K (period ended 2024-05-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer