WW GRAINGER INC (GWW) Stock Fundamental Analysis

NYSE:GWW • US3848021040

1105.52 USD
-11.66 (-1.04%)
At close: Feb 26, 2026
1105.52 USD
0 (0%)
After Hours: 2/26/2026, 4:33:20 PM
Fundamental Rating

6

Overall GWW gets a fundamental rating of 6 out of 10. We evaluated GWW against 50 industry peers in the Trading Companies & Distributors industry. GWW scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, GWW is valued expensive at the moment. With these ratings, GWW could be worth investigating further for quality investing!.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year GWW was profitable.
  • In the past year GWW had a positive cash flow from operations.
  • GWW had positive earnings in each of the past 5 years.
  • Each year in the past 5 years GWW had a positive operating cash flow.
GWW Yearly Net Income VS EBIT VS OCF VS FCFGWW Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

1.2 Ratios

  • GWW has a Return On Assets of 19.04%. This is amongst the best in the industry. GWW outperforms 98.00% of its industry peers.
  • GWW has a better Return On Equity (41.20%) than 94.00% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 26.89%, GWW belongs to the top of the industry, outperforming 98.00% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for GWW is significantly above the industry average of 9.42%.
Industry RankSector Rank
ROA 19.04%
ROE 41.2%
ROIC 26.89%
ROA(3y)21.04%
ROA(5y)19.86%
ROE(3y)52.25%
ROE(5y)55.16%
ROIC(3y)29.57%
ROIC(5y)28.32%
GWW Yearly ROA, ROE, ROICGWW Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

1.3 Margins

  • GWW has a better Profit Margin (9.51%) than 76.00% of its industry peers.
  • In the last couple of years the Profit Margin of GWW has grown nicely.
  • The Operating Margin of GWW (13.91%) is better than 76.00% of its industry peers.
  • In the last couple of years the Operating Margin of GWW has grown nicely.
  • GWW has a better Gross Margin (39.06%) than 74.00% of its industry peers.
  • In the last couple of years the Gross Margin of GWW has grown nicely.
Industry RankSector Rank
OM 13.91%
PM (TTM) 9.51%
GM 39.06%
OM growth 3Y-1.17%
OM growth 5Y4.33%
PM growth 3Y-2.18%
PM growth 5Y10.05%
GM growth 3Y0.57%
GM growth 5Y1.69%
GWW Yearly Profit, Operating, Gross MarginsGWW Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

7

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), GWW is creating value.
  • Compared to 1 year ago, GWW has less shares outstanding
  • Compared to 5 years ago, GWW has less shares outstanding
  • Compared to 1 year ago, GWW has an improved debt to assets ratio.
GWW Yearly Shares OutstandingGWW Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M 40M 50M
GWW Yearly Total Debt VS Total AssetsGWW Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.2 Solvency

  • The Debt to FCF ratio of GWW is 1.87, which is an excellent value as it means it would take GWW, only 1.87 years of fcf income to pay off all of its debts.
  • GWW has a Debt to FCF ratio of 1.87. This is amongst the best in the industry. GWW outperforms 84.00% of its industry peers.
  • A Debt/Equity ratio of 0.57 indicates that GWW is somewhat dependend on debt financing.
  • GWW's Debt to Equity ratio of 0.57 is in line compared to the rest of the industry. GWW outperforms 56.00% of its industry peers.
  • Even though the debt/equity ratio score it not favorable for GWW, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 1.87
Altman-Z N/A
ROIC/WACC2.83
WACC9.49%
GWW Yearly LT Debt VS Equity VS FCFGWW Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.3 Liquidity

  • A Current Ratio of 2.83 indicates that GWW has no problem at all paying its short term obligations.
  • The Current ratio of GWW (2.83) is better than 76.00% of its industry peers.
  • A Quick Ratio of 1.59 indicates that GWW should not have too much problems paying its short term obligations.
  • GWW has a Quick ratio of 1.59. This is in the better half of the industry: GWW outperforms 64.00% of its industry peers.
Industry RankSector Rank
Current Ratio 2.83
Quick Ratio 1.59
GWW Yearly Current Assets VS Current LiabilitesGWW Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

5

3. Growth

3.1 Past

  • GWW shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.33%.
  • GWW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.55% yearly.
  • GWW shows a small growth in Revenue. In the last year, the Revenue has grown by 4.51%.
  • The Revenue has been growing by 8.75% on average over the past years. This is quite good.
EPS 1Y (TTM)1.33%
EPS 3Y9.99%
EPS 5Y19.55%
EPS Q2Q%-2.78%
Revenue 1Y (TTM)4.51%
Revenue growth 3Y5.62%
Revenue growth 5Y8.75%
Sales Q2Q%4.54%

3.2 Future

  • The Earnings Per Share is expected to grow by 11.58% on average over the next years. This is quite good.
  • Based on estimates for the next years, GWW will show a small growth in Revenue. The Revenue will grow by 7.54% on average per year.
EPS Next Y12.28%
EPS Next 2Y11.65%
EPS Next 3Y10.84%
EPS Next 5Y11.58%
Revenue Next Year5.66%
Revenue Next 2Y6.13%
Revenue Next 3Y6.3%
Revenue Next 5Y7.54%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
GWW Yearly Revenue VS EstimatesGWW Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B 25B
GWW Yearly EPS VS EstimatesGWW Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 20 40 60

3

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 28.00, which means the current valuation is very expensive for GWW.
  • GWW's Price/Earnings ratio is in line with the industry average.
  • When comparing the Price/Earnings ratio of GWW to the average of the S&P500 Index (27.05), we can say GWW is valued inline with the index average.
  • With a Price/Forward Earnings ratio of 24.94, GWW is valued on the expensive side.
  • GWW's Price/Forward Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 28.03. GWW is around the same levels.
Industry RankSector Rank
PE 28
Fwd PE 24.94
GWW Price Earnings VS Forward Price EarningsGWW Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 62.00% of the companies in the same industry are cheaper than GWW, based on the Enterprise Value to EBITDA ratio.
  • 64.00% of the companies in the same industry are more expensive than GWW, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 39.49
EV/EBITDA 20.02
GWW Per share dataGWW EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 100 200 300

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • GWW has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.28
PEG (5Y)1.43
EPS Next 2Y11.65%
EPS Next 3Y10.84%

6

5. Dividend

5.1 Amount

  • GWW has a yearly dividend return of 0.80%, which is pretty low.
  • Compared to an average industry Dividend Yield of 1.11, GWW pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.80, GWW's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.8%

5.2 History

  • The dividend of GWW is nicely growing with an annual growth rate of 8.88%!
  • GWW has been paying a dividend for at least 10 years, so it has a reliable track record.
  • GWW has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.88%
Div Incr Years34
Div Non Decr Years34
GWW Yearly Dividends per shareGWW Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6 8

5.3 Sustainability

  • 27.37% of the earnings are spent on dividend by GWW. This is a low number and sustainable payout ratio.
  • GWW's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP27.37%
EPS Next 2Y11.65%
EPS Next 3Y10.84%
GWW Yearly Income VS Free CF VS DividendGWW Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B
GWW Dividend Payout.GWW Dividend Payout, showing the Payout Ratio.GWW Dividend Payout.PayoutRetained Earnings

WW GRAINGER INC

NYSE:GWW (2/26/2026, 4:33:20 PM)

After market: 1105.52 0 (0%)

1105.52

-11.66 (-1.04%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)02-03
Earnings (Next)05-07
Inst Owners73.69%
Inst Owner Change3.1%
Ins Owners6.15%
Ins Owner Change-0.07%
Market Cap52.57B
Revenue(TTM)17.94B
Net Income(TTM)1.71B
Analysts66.4
Price Target1081.96 (-2.13%)
Short Float %3.08%
Short Ratio4.54
Dividend
Industry RankSector Rank
Dividend Yield 0.8%
Yearly Dividend9.74
Dividend Growth(5Y)8.88%
DP27.37%
Div Incr Years34
Div Non Decr Years34
Ex-Date02-09
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.18%
Min EPS beat(2)-1.23%
Max EPS beat(2)1.6%
EPS beat(4)2
Avg EPS beat(4)0.34%
Min EPS beat(4)-1.9%
Max EPS beat(4)2.89%
EPS beat(8)3
Avg EPS beat(8)-0.27%
EPS beat(12)7
Avg EPS beat(12)1.44%
EPS beat(16)11
Avg EPS beat(16)3.28%
Revenue beat(2)0
Avg Revenue beat(2)-0.59%
Min Revenue beat(2)-0.68%
Max Revenue beat(2)-0.49%
Revenue beat(4)0
Avg Revenue beat(4)-0.71%
Min Revenue beat(4)-1.24%
Max Revenue beat(4)-0.42%
Revenue beat(8)0
Avg Revenue beat(8)-1.09%
Revenue beat(12)0
Avg Revenue beat(12)-1.17%
Revenue beat(16)3
Avg Revenue beat(16)-0.48%
PT rev (1m)1.5%
PT rev (3m)1.6%
EPS NQ rev (1m)-2.86%
EPS NQ rev (3m)-1.94%
EPS NY rev (1m)0%
EPS NY rev (3m)0.31%
Revenue NQ rev (1m)0.74%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)-0.74%
Valuation
Industry RankSector Rank
PE 28
Fwd PE 24.94
P/S 2.93
P/FCF 39.49
P/OCF 26.09
P/B 12.69
P/tB 14.95
EV/EBITDA 20.02
EPS(TTM)39.48
EY3.57%
EPS(NY)44.33
Fwd EY4.01%
FCF(TTM)27.99
FCFY2.53%
OCF(TTM)42.38
OCFY3.83%
SpS377.33
BVpS87.09
TBVpS73.94
PEG (NY)2.28
PEG (5Y)1.43
Graham Number278.14
Profitability
Industry RankSector Rank
ROA 19.04%
ROE 41.2%
ROCE 35.53%
ROIC 26.89%
ROICexc 29.34%
ROICexgc 32.49%
OM 13.91%
PM (TTM) 9.51%
GM 39.06%
FCFM 7.42%
ROA(3y)21.04%
ROA(5y)19.86%
ROE(3y)52.25%
ROE(5y)55.16%
ROIC(3y)29.57%
ROIC(5y)28.32%
ROICexc(3y)33.53%
ROICexc(5y)31.3%
ROICexgc(3y)37.46%
ROICexgc(5y)35.19%
ROCE(3y)39.07%
ROCE(5y)37.42%
ROICexgc growth 3Y-3.1%
ROICexgc growth 5Y3.38%
ROICexc growth 3Y-2.46%
ROICexc growth 5Y4.51%
OM growth 3Y-1.17%
OM growth 5Y4.33%
PM growth 3Y-2.18%
PM growth 5Y10.05%
GM growth 3Y0.57%
GM growth 5Y1.69%
F-Score6
Asset Turnover2
Health
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 1.87
Debt/EBITDA 0.86
Cap/Depr 269.29%
Cap/Sales 3.81%
Interest Coverage 250
Cash Conversion 73.3%
Profit Quality 78.02%
Current Ratio 2.83
Quick Ratio 1.59
Altman-Z N/A
F-Score6
WACC9.49%
ROIC/WACC2.83
Cap/Depr(3y)235.17%
Cap/Depr(5y)192.26%
Cap/Sales(3y)3.22%
Cap/Sales(5y)2.66%
Profit Quality(3y)82.32%
Profit Quality(5y)76.4%
High Growth Momentum
Growth
EPS 1Y (TTM)1.33%
EPS 3Y9.99%
EPS 5Y19.55%
EPS Q2Q%-2.78%
EPS Next Y12.28%
EPS Next 2Y11.65%
EPS Next 3Y10.84%
EPS Next 5Y11.58%
Revenue 1Y (TTM)4.51%
Revenue growth 3Y5.62%
Revenue growth 5Y8.75%
Sales Q2Q%4.54%
Revenue Next Year5.66%
Revenue Next 2Y6.13%
Revenue Next 3Y6.3%
Revenue Next 5Y7.54%
EBIT growth 1Y-5.96%
EBIT growth 3Y4.38%
EBIT growth 5Y13.46%
EBIT Next Year18.72%
EBIT Next 3Y11.36%
EBIT Next 5Y10.55%
FCF growth 1Y-15.22%
FCF growth 3Y7.31%
FCF growth 5Y7.53%
OCF growth 1Y-4.55%
OCF growth 3Y14.77%
OCF growth 5Y12.4%

WW GRAINGER INC / GWW FAQ

Can you provide the ChartMill fundamental rating for WW GRAINGER INC?

ChartMill assigns a fundamental rating of 6 / 10 to GWW.


What is the valuation status for GWW stock?

ChartMill assigns a valuation rating of 3 / 10 to WW GRAINGER INC (GWW). This can be considered as Overvalued.


What is the profitability of GWW stock?

WW GRAINGER INC (GWW) has a profitability rating of 8 / 10.


How financially healthy is WW GRAINGER INC?

The financial health rating of WW GRAINGER INC (GWW) is 7 / 10.


Can you provide the expected EPS growth for GWW stock?

The Earnings per Share (EPS) of WW GRAINGER INC (GWW) is expected to grow by 12.28% in the next year.