GWW Stock Analysis: Buy, Sell, or Hold?

GWW - W.W. Grainger, Inc.

WHOLESALE-DURABLE GOODS
$1079.94
-2.27 (-0.21%) ▼
BUY
MODERATE Confidence
Last Updated: January 30, 2026
Earnings: Feb 03, 2026 2d

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
💡 BUY OPPORTUNITY: GWW shows positive signals but monitor for confirmation. Market pricing in 2.0% growth. Moderate conviction.

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$1458.36
Based on 7.5% avg growth
INTRINSIC VALUE TODAY
$905.53
Trading above fair value

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 23.2x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: GWW is currently trading at $1079.94, which is considered extended relative to its 30-day fair value range of $1018.34 to $1062.88. The stock's valuation (Forward PE: 24.7) is in line with its historical norms (23.2). At these levels, the market is pricing in 2.0% annual earnings growth.

Technical Outlook: Technically, GWW is in a uptrend. The price is approaching resistance at $1086.78. A breakout above this level would be a bullish signal, while rejection here could lead to consolidation.

Market Sentiment: GWW has a strong technical setup (75/100), with favorable trendlines, momentum, and price action for short-term traders. In the options market, Implied Volatility is low (0th percentile), suggesting options premiums are relatively cheap. This makes it an attractive time for long options strategies if you have a directional bias. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.

Quick Decision Summary

Current Position EXTENDED
Fair Price Range $1018.34 - $1062.88
Company Quality Score 67/100 (BUY)
Volume Confirmation HIGH
Confidence Score 68.1%

All Signals

  • BEARISH: Price extended above range
  • BULLISH: Options cheap (IV 0th percentile)
  • BULLISH: Strong technical setup (75/100)
  • BULLISH: High volume confirmation
  • NEUTRAL: Near Wall St target ($1082.06)
  • BULLISH: Expecting earnings turnaround to 2.0% growth with 6.1% revenue growth

Fair Price Analysis

30-Day Fair Range $1018.34 - $1062.88
Current vs Fair Value EXTENDED
Expected Move (7 Days) ±$32.69 (3.0%)

Support & Resistance Levels

Support Level $1033.85
Resistance Level $1086.78
Current Trend Uptrend

Fundamental Context

Forward P/E (Next Year Est.) 24.68
Wall Street Target $1082.06
Revenue Growth (YoY) 6.1%
Earnings Growth (YoY) -38.0%
Profit Margin 9.8%
Valuation Premium vs History +2.0% premium
PE vs Historical 24.7 vs 23.2 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): +2.0% (market-implied from PE analysis)
1-Year Target $1103.85 (+2%)
2-Year Target $1125.93 (+4%)
3-Year Target $1148.45 (+6%)
3-Yr Target (if PE normalizes) (PE: 25→23) PE COMPRESSION $1079.44 (0%)
Earnings growth offset by PE compression
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 24.7, Growth: 11.0%) $1479.54 (+37%)
Base: (SPY PE: 22.3, Growth: 11.0%) $1336.68 (+24%)
Bear: (PE: 19.0, Growth: 11.0%) $1136.18 (+5%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (30x PE), but valuation improves significantly next year (25x PE) as earnings recover.
Trailing PE: 30.02 | Current EPS (TTM): $35.64
Bull Case $1447.95 (+34%)
Analyst growth 23.0%, PE expands to 33.0
Base Case $1316.32 (+22%)
Market implied 23.0%, PE stable at 30.0
Bear Case $727.61 (-33%)
Severe decline -20.0%, PE contracts to 25.5
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Last updated: January 30, 2026 7:33 PM ET
Data refreshes hourly during market hours. Next update: 8:33 PM
🔥 Top Stocks Breaking Out Now
Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
2
Sells
Net
INSIDERS SELLING
Recent Transactions
Ro Khanna SELL 2025-09-29
Jonny M Leroy SELL 500 shares 2025-09-09

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Advanced GWW Option Strategies

Professional options setups generated by AI based on today's GWW price and gamma walls.

Iron Condor Bull Call Bear Put Collar

More Analysis for GWW

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