Top Stock to Buy #5 – Sherwin-Williams Co. (SHW)
When homeowners and builders think of paint they think Sherwin-Williams Co. (NYSE:SHW). The company produces a wide variety of paints and protective products for homes, boats and cars.
Analysts estimate that the company will earn $7.84 in 2013 versus $6.53 in 2012. These estimates could dramatically increase if the economy improves from a 2% growth rate.
Technically, SHW is in a clearly defined bull channel with support at its 50-day moving average at about $155 and its bullish support line. Although MACD is strong, volume is lagging, and so our buy under price is $155 with a trading target of $168. However, long-term investors could see much higher returns from this high-quality stock.