Bull Rankings model

RPM International Inc. (RPM) stock analysis

Specialty Chemicals. Scored on the same transparent model behind the daily rankings.

★
RPM
RPM International Inc. · Specialty Chemicals
58.2Score
$97.73Oct 9 close$12.5B
1Y Target$124.60Analyst consensus · 15 analysts
5Y Target$182.43Compound horizon
10Y Target$270.62Long-dated conviction
FCF$706mTTM · 08/26
C+
FCF $706m — respectable but not differentiating · TTM from SEC filings (OCF − CapEx), four quarters to 08/26.
Rev+6.0%TTM YoY
C+
Revenue +6.0% — steady but below market-beating range · Latest four quarters of revenue vs the four before them, from SEC filings.
D/E0.79
C
D/E 0.79 — more levered than most Basic Materials peers (≈90th pctile)
P/E18.4x
B
P/E 18.4 — near the Basic Materials median (≈60th pctile)
PEG1.67
C+
PEG 1.67 — modest premium; above fair value

Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology

Quality-growth score · 58.2
Quality73.7
Growth50.0
Value53.6
Why this score
  • Raising its dividend
  • Durable high returns
  • Cyclical growth
Entry · Margin of safety
52-week rangeNear 52-week low
20% off the 12-month high
vs DCF fair value17% aboveest. fair value ~$83
What the price assumes: free cash flow growing about 9% next year, slowing to 4% a year by year ten — vs a starting rate of ~6% our model takes as the middle of three readings — analyst estimates, last year's revenue growth, and the company's own multi-year record.
Quality signals
Gross profitability40% · B+gross profit ÷ total assets — not in the score
ROIC16.6% · A-return on invested capital — leads the quality score

Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards

Why now
Specialty Chemicals · market cap $12.5b. 20% off the 52-week high of $121.78. 15 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $124.60 (implying +27% upside).
Moat
ROE 20% is above 15% — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 102% of net income — earnings translate cleanly into cash.
Risk
Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Horizon
1-3 yr $124.60 (15-analyst consensus) — fundamentals + valuation re-rating. 5 yr $182.43 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $270.62 if current growth sustains into durable earnings power.

RPM vs the Top Picks average

PillarRPMBook avgDiff
Quality7483-9
Growth5089-39
Value5476-22

Average of today's Top 30 (mean score 82.6); size and sector limits also decide the book.

Trend
+1.1 over 80 daily scores
From 57.1 (Jun 22) → 58.2 (now)

One point per daily run; read From → To for the actual range.

RPM at a glance

THE BULL RANKINGS SCORECARD58.2/ 100 · BULL SCOREPEER MEDIANQUALITY73.7GROWTH50.0VALUE53.6Reverse-DCF · Price implies ~9% growth a year from here.
PRICE vs OUR DCF FAIR VALUE$80.9$86.7FAIR-VALUE RANGE$97.7PRICEOur DCF fair value ~$83.3 · price $97.7 is 17% above it.
PRICE IN ITS 52-WEEK RANGE$97.7LOW $92.9HIGH $122Trading at the 17th percentile of its 52-week range ($92.9–$122).
ONE-YEAR MOVE VS ITS BETAFLATThis stock-11%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.

Same audited fundamentals as the score, unless a card says otherwise.

Analyst estimate revisions

30-day change-2.1%
90-day change-2.8%
Forward EPS estimate$6.62

Over the last 90 days, what analysts expect RPM to earn is drifting lower (-2.8%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

A fiscal-year roll fell inside this window: the forward horizon moved on to the next financial year, which shifts the earnings figure without any analyst changing their view. That step is excluded, so the number above covers the rest of the window rather than all of it.

Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →

Shares to buy
20
Position size
$1,955
3.9% of portfolio
Stop price
$73.30
25% below $97.73
$ at risk if stopped
$488.65
budget $500.00 · 1% of portfolio

Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.

RPM International Inc. (RPM): score, valuation & FAQ

RPM International Inc. (RPM) is a Specialty Chemicals company that scores 58.2 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

On valuation, RPM sits about 17% above our discounted-cash-flow fair value — the current price implies free cash flow growing about 9% next year, slowing to 4% a year by year ten.

Is RPM a good stock to buy?

Bull Rankings scores RPM 58.2 out of 100 on its quality-growth model, which is a middling reading. A score is a quantitative screen of RPM International Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does RPM score 58.2 on Bull Rankings?

The score leans on quality at 73.7 out of 100, with growth the weakest pillar at 50.0 — the three combine geometrically, so a weak one cannot be papered over by a strong one. RPM grades middle-of-pack across the graded signals. Each signal is graded against sector-aware thresholds rather than one absolute bar, so RPM is measured against Specialty Chemicals peers, not against the market as a whole.

Is RPM overvalued or undervalued?

Based on $97.73, RPM sits about 17% above our discounted-cash-flow fair value — the current price implies free cash flow growing about 9% next year, slowing to 4% a year by year ten. It trades at an 18.4x P/E (graded B). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in RPM?

Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.

New to these metrics? See the guides and the methodology.

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