RPM International Inc

A wave of deal activity spanned multiple sectors this week, led by Qualcomm's acquisition of robotics software firm PickNik to boost its presence in physical AI and robotics. Smurfit Westrock agreed to acquire Empresas CMPC's Chilean containerboard and corrugated business for $420M, including a paper machine in Santiago that produces roughly 250K tons per year. Madison Dearborn Partners agreed to acquire holding firm The Marygold Companies in an all-cash transaction valuing it at $2.00 per share, a 100% premium over its September 24, 2026 closing price. Brookfield is in exclusive talks to buy fraud detection business Actimize from Nice for $2 billion, while Goldman Sachs emerged as the lead bidder for Palmer Square Capital Management, a credit manager overseeing more than $37 billion. Elsewhere, Capri Holdings soared 10% on a report it has connected with potential acquirers, Evonik rose 7.2% in German trading after a report that BASF approached it about a takeover, RPM International agreed to acquire Italy-based Volteco S.p.A. for its Tremco Construction Products Group, and Superstar Platforms agreed to acquire fintech company TitlePal in an all-stock transaction.

RPM International shares have climbed 5.3% since its latest earnings report, outperforming the S&P 500. The company reported fourth-quarter fiscal 2026 adjusted earnings of $1.89 per share, beating the Zacks Consensus Estimate of $1.84, while net sales of $2.23 billion topped the consensus of $2.19 billion and rose 7.2% year over year. Adjusted EBIT increased 7.7% to a record $338.6 million, and for fiscal 2027 management expects sales growth of 3% to 7% and adjusted EBITDA growth of 5% to 10%. Estimates have been trending upward, and the stock carries a Zacks Rank #3, or Hold.

RPM International posted record fourth-quarter net sales of $2.23 billion, a 7.2% increase driven by demand for engineered solutions, acquisitions, and pricing actions. Adjusted EBIT reached a record $338.6 million, while adjusted diluted EPS rose 9.9% to $1.89. For the full fiscal year 2026, sales climbed 6.7% to $7.86 billion and adjusted EBIT grew 4.4% to $1.02 billion. The company generated $899 million in operating cash flow, its second-highest ever, and returned $349 million to shareholders through dividends and buybacks. The board authorized a $700 million increase to the share repurchase program, adding to $115 million remaining from prior authorizations. Looking ahead, RPM guided for fiscal 2027 sales growth of 3% to 7% and adjusted EBITDA growth of 5% to 10%, while expecting raw material inflation of 5% to 6% in the first quarter and 6% to 8% in the second quarter.

RPM International CFO Russell L. Gordon sold 1,137 shares at $105.08 each, totaling about $119,500, in a non-discretionary transaction to satisfy tax withholding obligations tied to vesting performance stock units. The sale represents 1% of his direct holdings, leaving him with 80,281 shares directly and 219,800 derivative securities. The filing comes as RPM posted record fourth-quarter adjusted EBIT, with all three segments growing sales and profit, though weak DIY demand remains a drag.

RPM International's board of directors declared a regular quarterly cash dividend of $0.54 per share, payable on July 31, 2026, to stockholders of record as of July 14, 2026. The company's last cash dividend increase of 6% in October 2025 marked its 52nd consecutive year of increased cash dividends, placing it among less than half of 1% of all publicly traded U.S. companies. Only 39 other U.S. companies have a longer streak of consecutive annual dividend increases, according to stockanalysis.com. RPM has returned approximately $3.9 billion in cash dividends to stockholders during this period.