Earnings per Share (EPS) of $0.41 missed the estimated $0.52, indicating lower profitability.
Actual revenue of approximately $1.48 billion fell short of the estimated $2.08 billion, suggesting challenges in sales generation.
The company maintains a low debt-to-equity ratio of about 0.11, indicating a conservative approach to leveraging.
RPM International Inc. (NYSE:RPM) is a global leader in specialty coatings, sealants, and building materials. The company operates in various segments, including industrial, consumer, and specialty products. RPM faces competition from companies like Sherwin-Williams and PPG Industries. Despite its strong market presence, RPM’s recent financial performance has raised some concerns.
On April 8, 2025, RPM reported earnings per share (EPS) of $0.41, missing the estimated $0.52. This shortfall in EPS indicates that the company’s profitability was lower than expected. The company’s actual revenue was approximately $1.48 billion, falling short of the estimated $2.08 billion. This revenue miss suggests challenges in generating sales across its segments.
RPM’s financial metrics provide insight into its valuation and financial health. The company’s price-to-earnings (P/E) ratio is approximately 21.16, indicating the price investors are willing to pay for each dollar of earnings. A price-to-sales ratio of about 1.88 suggests the value placed on each dollar of the company’s sales. These ratios reflect investor sentiment and market valuation.
The enterprise value to sales ratio is roughly 1.89, showing the company’s total valuation compared to its sales. Additionally, the enterprise value to operating cash flow ratio is around 17.22, highlighting how the company’s valuation compares to its cash flow from operations. These metrics are crucial for assessing RPM’s financial stability and growth potential.
RPM maintains a relatively low level of debt, with a debt-to-equity ratio of about 0.11. This indicates a conservative approach to leveraging its balance sheet. The current ratio of approximately 2.22 suggests that RPM has a strong ability to cover its short-term liabilities with its short-term assets, reflecting solid liquidity.