RPM International (RPM) Expands Rust-Oleum Business with Star Brands Acquisition

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Apr 03, 2025
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Summary Highlights:

  • RPM International (RPM, Financial) aims to strengthen its Rust-Oleum division with the acquisition of the UK's Star Brands Group.
  • Analysts offer mixed price target projections, with an average target implying a potential 14.68% increase.
  • The GF Value suggests a potential downside, underscoring varying market sentiments.

RPM International Inc. (RPM) has strategically enhanced its portfolio by acquiring the U.K.’s Star Brands Group, the company behind the popular product, The Pink Stuff. This acquisition is set to boost RPM's Rust-Oleum division, particularly fortifying its position in the cleaners segment. With The Pink Stuff's burgeoning popularity in both the U.S. and European markets, this move is designed to leverage growth opportunities effectively.

Wall Street Analysts' Projections

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According to insights from 14 financial analysts, the projected average price target for RPM International Inc. (RPM, Financial) over the next year stands at $134.85, with the most optimistic estimate reaching $154.00 and a more conservative estimate at $117.00. These projections suggest a potential upside of 14.68% from the current trading price of $117.58. Further in-depth estimates can be accessed on the RPM International Inc. (RPM) Forecast page.

Market Sentiment Analysis

The sentiment surrounding RPM International Inc. (RPM, Financial) is currently gauged as a "Hold" recommendation, based on the consensus from 17 brokerage firms. This average recommendation, quantified at 2.6, falls within a rating scale where 1 indicates a Strong Buy and 5 signals a Sell.

GF Value Assessment

The proprietary GF Value metric provides a unique perspective on the stock’s intrinsic value. For RPM International Inc. (RPM, Financial), the estimated GF Value in one year is $106.50, hinting at a possible downside of 9.42% from the current price point of $117.58. This valuation is derived from historical trading multiples, past business growth, and anticipated future performance. More comprehensive data can be reviewed on the RPM International Inc. (RPM) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.