• RPM International recently announced about US$100 million in expected annual SG&A savings and guided to mid-single-digit sales growth with mid- to high-single-digit adjusted EBIT growth for fiscal Q3 and Q4 2026, while JPMorgan upgraded the stock and Vice President of Operations Timothy R. Kinser sold 3,441 shares on January 21, 2026.
• An interesting angle for investors is how RPM’s cost-optimization push and upgraded analyst view are emerging despite recent operational and earnings pressures.
• With the shares posting a 1.29% seven-day decline, we’ll explore how RPM’s planned US$100 million cost savings shapes its investment narrative.

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What Is RPM International's Investment Narrative?

To own RPM International, you have to believe in a steady, cash-generative coatings and specialty chemicals business that can translate modest growth into solid returns, helped by disciplined cost control and a long dividend track record. The latest update is important to that story: management’s plan for roughly US$100 million in annual SG&A savings and guidance for mid-single-digit sales growth with mid to high-single-digit adjusted EBIT growth in late fiscal 2026 gives more structure to the near-term earnings catalyst, even as the company expects flat to down EPS for the full year. JPMorgan’s upgrade adds support on the sentiment side, while the recent insider sale and a 1.29% seven-day share price decline highlight that operational and macro pressures, including high leverage and softer construction activity, remain front of mind for investors.

However, one key balance sheet issue could matter more than the short-term earnings guidance. Despite retreating, RPM International's shares might still be trading 29% above their fair value. Discover the potential downside here.

Exploring Other Perspectives

Five fair value estimates from the Simply Wall St Community span roughly US$102 to just over US$153, showing how far apart individual views can be. Set against RPM’s cost-cut ambition and recent guidance reset, this spread underlines why it is worth weighing several perspectives before deciding how these earnings and balance sheet risks might shape the company’s performance.

Explore 5 other fair value estimates on RPM International - why the stock might be worth as much as 40% more than the current price!

Build Your Own RPM International Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your RPM International research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.
• Our free RPM International research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate RPM International's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.