We recently published a list of 11 Best Performing Dow Stocks So Far in 2025. In this article, we are going to take a look at where The Sherwin-Williams Company (NYSE:SHW) stands against other best performing Dow stocks so far in 2025.
The Dow is a renowned and significant stock market index that measures the performance of 30 publicly traded businesses listed on US stock exchanges, representing a diverse variety of industries.
As of 20 February 2025, the index has steadily increased, rising 14.41% in the last 12 months and 4.21% year to date in 2025. It rose 8.04% over the last six months, mirroring its 8.04% gain in the previous month. Over the long term, it has risen 52.37% in the last five years and has returned an astounding 3,362.55% since 1985.
In comparison, the broader market has outpaced the Dow, gaining 22% in the last year and 4% year to date in 2025. The wider market has risen 8.84% during the last six months, with a 1.13% increase in the last month. Its long-term performance has been favorable, with a five-year gain of 83.28% and a remarkable 3,717.09% increase since 1996. Its superior performance is largely due to the strength of technology and high-growth stocks.
Nonetheless, the Nasdaq has led the market, climbing 28.12% in the last 12 months and 3.53% year to date in 2025. Over the last six months, the Nasdaq has gone up by 11.40%, with 1.04% growth in the last month. Over the last five years, it has surged by 108.45%, proving its dominance in high-growth sectors.
While the Dow has fallen behind the other two markets in recent years, its consistency and solid historical returns underline its long-term investment appeal. The index typically has reduced volatility and concentrates on established blue-chip companies.
According to a report by S&P Dow Jones Indices, the Dow is still a dependable benchmark for US market performance, following 30 blue-chip businesses with strong reputations and consistent growth. Its price-weighted system ensures stability, typically reducing losses during downturns. The index has a historical association with broader markets, but it is less volatile than the broader market due to its emphasis on well-established firms. Despite its small size, the index has shown resilience in bear markets, such as 2009, while also reaping gains during bullish cycles. Its longstanding reputation and exposure to important industries make it a reliable predictor of economic strength.
However, the Dow lost 0.6% on Thursday, February 20, 2025, as U.S. jobless claims surged faster than expected, heightening concerns about the labor market and the overall economic outlook. The wider market fell 0.5%, while the Nasdaq fell 0.7% in early trading, signaling broader market weakness. Investors reacted to economic data and shifting market sentiment as bond yields edged lower, with the 10-year Treasury yield falling to 4.52%.
A close-up of a vibrant paint color being sprayed onto a wooden surface.
Methodology
We began with a pool of 30 stocks from the Dow Jones Industrial Average (DJIA) and identified stocks that have delivered positive returns in 2025 so far. We then picked the top 11 stocks with the highest Year-to-Date return as of February 14. The stocks are ranked in ascending order of their year-to-date performance.
“Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).”
The Sherwin-Williams Company (NYSE:SHW)
Year-to-date return as of February 14: 7.11%
The Sherwin-Williams Company (NYSE:SHW) is the biggest supplier of architectural paint in the US. The company provides high-quality paint at prices higher than those of its competitors, and it has more than 5,000 outlets. Sherwin-Williams also distributes goods in big-box retailers and offers coatings to original equipment manufacturers.
Over three-quarters of the company operations occur in North America, and the 2016 acquisition of Valspar gave it significant worldwide exposure. The acquisition has strengthened its previously limited retail reach since Valspar’s long-standing relationship with Lowe’s resulted in an exclusive collaboration with the firm in 2018. Furthermore, The Sherwin-Williams Company (NYSE:SHW) expanded its performance coatings segment by acquiring Valspar’s industrial business.
The Sherwin-Williams Company (NYSE:SHW) has significant brand loyalty and price power because professional painters have been using their products for decades. The stock’s year-to-date return as of February 14 is 7.11%, making it one of the Best Performing Stocks.
The Sherwin-Williams Company (NYSE:SHW) reported strong fourth-quarter earnings, as the residential repaint markets held firm. Net sales increased 1% annually as the company’s paint stores division witnessed improvements, but the consumer brands and performance coatings segments suffered minor dips. All three segments reported an increase in margins, resulting in a 100 basis point increase in consolidated operating margins from a year ago. The strength of its paint stores segment and the company’s capacity to raise architectural paint prices continue to impress. Although there are still some challenges in the general industrial and automotive markets, the firm is well-positioned to benefit from the demand for architectural coatings.
Overall, SHW ranks 11th on our list of Best Performing Dow Stocks So Far in 2025. While we acknowledge the potential for SHW to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SHW but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
