uploads/2016/09/Part-4-2.png

Sherwin-Williams Chooses Poised Taupe as 2017 Color of the Year

By

Updated

Sherwin-Williams’s Poised Taupe

Sherwin-Williams (SHW) has set the tone for its 2017 paints. In a press release on August 29, 2016, the company announced Poised Taupe (SW 6039) as its 2017 color of the year. In a similar move, PPG Industries (PPG) announced Silverado (MEN7049-5) as its 2017 color of the year. Glidden, a brand of PPG Industries, has named Byzantine Blue (50BB 32/117) as its color of the year.

In a press release, Sue Wadden, director of color marketing for Sherwin-Williams, said, “Poised Taupe celebrates everything people love about cool gray as a neutral, and also brings in the warmth of brown, taking a color to an entirely new level. Not cool or warm, nor gray or brown, Poised Taupe is a weathered, woodsy neutral bringing a sense of coziness and harmony that people are seeking.”

Article continues below advertisement

Why Poised Taupe?

Monochrome gray was the preferred color for the past five years. A survey from a Sherwin-Williams team that went around the world to find out the latest trends, stated that neutral colors such as warm grays, taupes, or beiges are setting the trend. About 40% of the surveyed respondents preferred warmer neutrals.

SHW’s stock price movement

As of September 2, 2016, Sherwin-Williams (SHW) closed at $286.43, a rise of 0.20% for the week ended September 2, 2016. The iShares US Home Construction (ITB), which holds 2.2% in Sherwin-Williams, rose 0.3% and closed at $28.97.

Sherwin-Williams’s peer RPM International (RPM) rose 1.5%. Valspar (VAL), which Sherwin-Williams plans to acquire, rose by 0.3%. Sherwin-Williams stock closed at 2.5% below its 100-day moving average price of $293.93, indicating a weakness in the stock.

Analysts expect SHW’s 12-month target price to be $326.17, implying a potential return of ~14% over the closing price of September 2, 2016. On a year-to-date basis, SHW has risen by 10.3%.

Advertisement

More From Market Realist