My stock to hold for a lifetime is Sherwin-Williams (NYSE:SHW), hands down. The nation’s largest producer of paints and coatings is a great long-term play because it resists market shocks like a champion.
The housing bust, for one, barely fazed it compared to competitors. From the start of 2007 to the beginning of 2009, SHW gave up 12% while PPG Industries (NYSE:PPG) dropped almost 40% and DuPont (NYSE:DD) plunged almost 50%.
One reason that shareholders are so loyal? Sherwin-Williams takes care of them through a reliable and juicy dividend (the sixth highest in its industry) and hefty stock buybacks. The company has hiked up its dividend by 160% over the past 10 years and shows no sign of stopping this trend.
Plus, now is a great time to buy SHW between its recent buyout of Comex Group and rising demand. Analysts also forecast nearly 20% earnings growth next year, while the rest of the General Building Materials sector is headed towards a 1.1% drop in earnings.
That kind of consistent outperformance is one of many reasons why I’d hold SHW for the long haul.