Company Overview

W.W. Grainger, Inc. distributes maintenance, repair, and operating (MRO) products and services in the United States, Japan, Canada, the United Kingdom, and internationally. The company operates through two segments, High-Touch Solutions N.A. and Endless Assortment. It offers safety and security supplies, material handling and storage equipment, pumps and plumbing equipment, cleaning and maintenance supplies, and metalworking and hand tools. It also offers inventory management and technical support services. The company serves businesses, corporations, government entities, and other institutions through sales and service representatives, and electronic and ecommerce channels. W.W. Grainger, Inc. was founded in 1927 and is headquartered in Lake Forest, Illinois.

  • Name

    W.W. Grainger, Inc.

  • CEO

    Donald G. Macpherson

  • Website

    www.grainger.com

  • Sector

    Trading Companies and Distributors

  • Year Founded

    1927

Company Statistics

Profile

  • Market Cap

  • EV

  • Shares Out

  • Revenue

  • Employees

Margins

  • Gross

  • EBITDA

  • Operating

  • Pre-Tax

  • Net

  • FCF

Returns (5Yr Avg)

  • ROA

  • ROTA

  • ROE

  • ROCE

  • ROIC

Valuation (TTM)

  • P/E

  • P/B

  • EV/Sales

  • EV/EBITDA

  • P/FCF

  • EV/Gross Profit

Valuation (NTM)

  • Price Target

  • P/E

  • PEG

  • EV/Sales

  • EV/EBITDA

  • P/FCF

Financial Health

  • Cash

  • Net Debt

  • Debt/Equity

  • EBIT/Interest

Growth (CAGR)

  • Rev 3Yr

  • Rev 5Yr

  • Rev 10Yr

  • Dil EPS 3Yr

  • Dil EPS 5Yr

  • Dil EPS 10Yr

  • Rev Fwd 2Yr

  • EBITDA Fwd 2Yr

  • EPS Fwd 2Yr

  • EPS LT Growth Est

Dividends

  • Yield

  • Payout

  • DPS

  • DPS Growth 3Yr

  • DPS Growth 5Yr

  • DPS Growth 10Yr

  • DPS Growth Fwd 2Yr

Bulls Say

  • Grainger generates some of the fastest inventory turns in the industry driven by astute inventory management and a dense customer base.

  • Grainger’s short- and long-term incentive plans, based on organic growth, ROIC, operating margin, and share gain targets, adequately align the executive team with long-term shareholders.

  • As a large distributor with national scale and inventory management services, Grainger is well positioned to take share from local and regional distributors as customers consolidate their MRO spending.

Bears Say

  • Amazon Business remains an ever-present threat to Grainger’s endless assortment business, possessing the scale and product breadth required to compete.

  • A growing concentration of large customers, which are more likely to negotiate prices, can be a headwind to gross margins.

  • The MRO distribution market remains highly fragmented, and we estimate Grainger only holds a single-digit market share, potentially limiting its scale-driven cost advantage.

Source: Morningstar Analysis - Oct 31, 2025

What's happening

Nov 4, 2025 - Dec 4, 2025

GWW Faces Mixed Signals Amid Analyst Caution and Profit Margin Declines

  • W.W. Grainger's stock declined by 0.5% over the past month, underperforming against the S&P 500's decrease of 0.3%.
  • The company's Q3 report revealed a significant drop in net earnings by 36.4%, raising concerns among investors regarding profitability.
  • Despite positive quarterly earnings exceeding expectations, analysts issued a consensus "Hold" rating, reflecting cautious sentiment towards future growth prospects.

Over the past month, W.W. Grainger Inc (GWW) experienced a slight decline of 0.5%. This performance fell short compared to the S&P 500 index, which recorded a decrease of 0.3%. Investor sentiment turned bearish due to mixed signals from analyst ratings and financial reports that raised concerns about GWW’s outlook. On November 10th, nine brokerages provided a consensus recommendation of "Hold," including two sell ratings and five holds.

The company reported earnings per share of $10.21 for the last quarter, surpassing expectations alongside a year-over-year revenue increase of 6.1%. However, these positive results were overshadowed by challenges highlighted in its Q3 financial report released on November 3rd; specifically, GWW faced declines in gross profit margins and operating earnings attributed to increased selling general & administrative expenses (SG&A) and an asset impairment loss related to exiting the U.K market.

Net earnings dropped significantly by 36.4%, with diluted earnings per share declining from $9.87 in the previous year to $6.12 this year due to these pressures on profitability metrics amid rising costs associated with digital transformation efforts aimed at enhancing operational efficiency.

Despite some analysts making positive adjustments—such as Barclays slightly raising its price target while maintaining an Underweight rating—investor caution remained prevalent as they weighed both favorable quarterly results against deteriorating profit margins and challenging market conditions impacting future growth prospects for GWW.

Overall, WW Grainger Inc underperformed not only against its own historical performance but also compared to broader indices like the S&P 500 where it lagged behind by -0.3%. Additionally, WW Grainger Inc underperformed the Industrials (XLI) sector by -0.4%.

NYSE:GWW