WallStSmart

Cabot Corporation (CBT)vsSherwin-Williams Co (SHW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sherwin-Williams Co generates 570% more annual revenue ($23.94B vs $3.58B). SHW leads profitability with a 10.9% profit margin vs 8.0%. CBT appears more attractively valued with a PEG of 1.00. CBT earns a higher WallStSmart Score of 57/100 (C).

CBT

Buy

57

out of 100

Grade: C

Growth: 2.0Profit: 7.0Value: 6.0Quality: 6.0
Piotroski: 4/9Altman Z: 2.87

SHW

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 4.0Quality: 4.0
Piotroski: 4/9Altman Z: 1.54
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CBTSignificantly Overvalued (-57.9%)

Margin of Safety

-57.9%

Fair Value

$48.10

Current Price

$80.88

$32.78 premium

UndervaluedFair: $48.10Overvalued
SHWFair Value (-0.1%)

Margin of Safety

-0.1%

Fair Value

$320.44

Current Price

$300.09

$20.35 premium

UndervaluedFair: $320.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CBT3 strengths · Avg: 8.0/10
PEG RatioValuation
1.008/10

Growing faster than its price suggests

P/E RatioValuation
16.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

SHW2 strengths · Avg: 9.5/10
Return on EquityProfitability
58.7%10/10

Every $100 of equity generates 59 in profit

Market CapQuality
$78.98B9/10

Large-cap with strong market position

Areas to Watch

CBT3 concerns · Avg: 2.3/10
Profit MarginProfitability
8.0%3/10

8.0% margin — thin

Revenue GrowthGrowth
-3.4%2/10

Revenue declined 3.4%

EPS GrowthGrowth
-24.9%2/10

Earnings declined 24.9%

SHW4 concerns · Avg: 4.0/10
PEG RatioValuation
2.454/10

Expensive relative to growth rate

P/E RatioValuation
30.8x4/10

Premium valuation, high expectations priced in

Price/BookValuation
16.6x4/10

Trading at 16.6x book value

Altman Z-ScoreHealth
1.544/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CBT

The strongest argument for CBT centers on PEG Ratio, P/E Ratio, Price/Book. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bull Case : SHW

The strongest argument for SHW centers on Return on Equity, Market Cap.

Bear Case : CBT

The primary concerns for CBT are Profit Margin, Revenue Growth, EPS Growth.

Bear Case : SHW

The primary concerns for SHW are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 3.11 is elevated, increasing financial risk.

Key Dynamics to Monitor

SHW carries more volatility with a beta of 1.13 — expect wider price swings.

SHW is growing revenue faster at 6.8% — sustainability is the question.

CBT generates stronger free cash flow (32M), providing more financial flexibility.

Monitor SPECIALTY CHEMICALS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CBT scores higher overall (57/100 vs 56/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Cabot Corporation

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Cabot Corporation (CBT) is a leading global supplier of specialty chemicals and performance materials, renowned for its innovative solutions that promote sustainability and efficiency in various sectors, including automotive, electronics, and coatings. The company excels in manufacturing high-quality carbon black, specialty compounds, and recovery solutions, leveraging a robust research and development framework to drive continuous innovation. With a strong commitment to operational excellence and reducing environmental impact, Cabot Corporation not only sets industry standards for sustainable practices but also serves as a trusted partner for customers seeking advanced materials to meet their evolving needs.

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Sherwin-Williams Co

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Sherwin Williams Company is a Cleveland, Ohio based company in the paint and coating manufacturing industry. The company primarily engages in the manufacture, distribution, and sale of paints, coatings, floorcoverings, and related products to professional, industrial, commercial, and retail customers primarily in North and South America and Europe.

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