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CSW Industrials, Inc. (CSW)



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Upturn Advisory Summary
08/14/2025: CSW (2-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit 74.84% | Avg. Invested days 66 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 4.86B USD | Price to earnings Ratio 33.95 | 1Y Target Price - |
Price to earnings Ratio 33.95 | 1Y Target Price - | ||
Volume (30-day avg) - | Beta - | 52 Weeks Range 249.63 - 435.81 | Updated Date 06/20/2025 |
52 Weeks Range 249.63 - 435.81 | Updated Date 06/20/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 8.41 |
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin - | Operating Margin (TTM) - |
Management Effectiveness
Return on Assets (TTM) - | Return on Equity (TTM) 1625.75% |
Valuation
Trailing PE - | Forward PE - | Enterprise Value - | Price to Sales(TTM) - |
Enterprise Value - | Price to Sales(TTM) - | ||
Enterprise Value to Revenue - | Enterprise Value to EBITDA - | Shares Outstanding 16000000 | Shares Floating - |
Shares Outstanding 16000000 | Shares Floating - | ||
Percent Insiders - | Percent Institutions - |
Upturn AI SWOT
CSW Industrials Inc
Company Overview
History and Background
CSW Industrials, Inc. was founded in 1954 as Capital Southwest Corporation, an investment firm. It evolved over time, focusing on industrial products and specialty chemicals. In 2015, it spun off as CSW Industrials, Inc., concentrating on its industrial growth strategy.
Core Business Areas
- Contractor Solutions: Provides professional-grade specialty products for heating, ventilation, air conditioning, and refrigeration (HVAC/R), plumbing, general industrial, and building construction markets.
- Engineered Solutions: Offers anti-seize lubricants, cutting oils, and other specialty products for critical applications in energy, mining, rail, and general industrial sectors.
- Specialty Chemicals: Formulates and manufactures high-performance cleaning and sanitizing solutions for the foodservice, hospitality, and healthcare industries.
Leadership and Structure
Joseph B. Armes serves as the Chairman, President, and Chief Executive Officer. The company operates with a divisional structure across its core business areas, overseen by a senior management team.
Top Products and Market Share
Key Offerings
- RectorSeal: HVAC/R sealants and accessories. Competitors include JB Industries, Nu-Calgon, and DiversiTech. Market share varies by specific product category, but RectorSeal holds a significant position in several HVAC/R sealant segments. No definitive numbers are given by the company.
- Whitmore: Industrial lubricants and greases. Competitors include The Timken Company and Lubrizol. Whitmore is recognized for its high-performance lubricants, with a strong presence in heavy industries. No definitive numbers are given by the company.
- Kleen-Rite: Cleaning and sanitizing solutions. Competitors include Ecolab and Diversey. Kleen-Rite serves diverse markets like foodservice and hospitality. No definitive numbers are given by the company.
Market Dynamics
Industry Overview
The industrial products and specialty chemicals market is driven by infrastructure development, manufacturing activity, and maintenance needs. It's a competitive market with both large global players and smaller specialized companies.
Positioning
CSW Industrials, Inc. differentiates itself through its diverse product portfolio, focus on niche markets, and strong distribution network. Its acquisition strategy enhances its market presence.
Total Addressable Market (TAM)
The TAM is estimated to be in the billions of dollars, considering the breadth of industries served by CSWI. CSW Industrials is positioned to capitalize on the TAM through its diversified product portfolio, strategic acquisitions, and focus on niche applications.
Upturn SWOT Analysis
Strengths
- Diversified product portfolio
- Strong distribution network
- Focus on niche markets
- Experienced management team
- Strategic acquisition strategy
Weaknesses
- Dependence on macroeconomic conditions
- Exposure to raw material price fluctuations
- Integration risks associated with acquisitions
- Limited brand recognition compared to larger competitors
Opportunities
- Expanding into new geographic markets
- Developing innovative products and solutions
- Acquiring complementary businesses
- Capitalizing on infrastructure spending
Threats
- Intense competition
- Economic downturns
- Regulatory changes
- Supply chain disruptions
Competitors and Market Share
Key Competitors
- ITW
- EMR
- DOV
- ALB
Competitive Landscape
CSW Industrials, Inc. operates in a competitive landscape against much larger, diversified companies. Its advantage lies in its niche focus and specialized product offerings.
Major Acquisitions
SOS Products
- Year: 2022
- Acquisition Price (USD millions): 130
- Strategic Rationale: Expands CSWI's contractor solutions segment with complementary products for HVAC/R and plumbing applications.
Growth Trajectory and Initiatives
Historical Growth: Historical growth information is not current.
Future Projections: Future projections information is not current.
Recent Initiatives: CSW Industrials, Inc. has been actively pursuing acquisitions to expand its product portfolio and market reach.
Summary
CSW Industrials demonstrates a diversified business model with promising growth opportunities through strategic acquisitions and a focus on niche markets. However, the company must navigate intense competition and economic volatility. Successful integration of acquired companies and effective management of supply chain risks are crucial for sustained growth. Overall, CSW Industrials presents a cautiously optimistic picture with a blend of strengths and vulnerabilities.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company filings, industry reports, analyst estimates
Disclaimers:
This analysis is based on available information and is subject to change. Investment decisions should be made with consideration of individual circumstances and professional advice.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About CSW Industrials Inc
Exchange NASDAQ | Headquaters Dallas, TX, United States | ||
IPO Launch date 2025-06-09 | Chairman, President & CEO Mr. Joseph Brooks Armes J.D. | ||
Sector Industrials | Industry Specialty Industrial Machinery | Full time employees 2600 | Website https://www.cswindustrials.com |
Full time employees 2600 | Website https://www.cswindustrials.com |
CSW Industrials, Inc. provides various industrial products in the United States and internationally. It operates through three segments: Contractor Solutions, Engineered Building Solutions, and Specialized Reliability Solutions. The Contractor Solutions segment offers condensate pads, pans, and pumps; condensate switches and traps; drain management system; drain waste and vent mechanical products; ductless mini-split systems installation support tools and accessories; HVAC electrical protection, installation supplies, and maintenance chemicals; evaporator coils and air handlers; grilles, registers, diffusers and vents; line set covers; load management systems; refrigerant caps; solvents, cements, traps, and thread sealants; surge protection products; and wire pulling head tools. This segment sells its products under the AquaGuard, Aspen, Clean Check, Cover Guard, Desolv, Dust Free, EZ Trap, Falcon Stainless, Fortress, Goliath, G-O-N, Guardian Drain Lock, Hubsett, Kickstart, Leak Freeze, No. 5, Novent, PF WaterWorks, PRO-Fit, PSP Products, RectorSeal, Safe-T-Switch, Shoemaker Manufacturing, Slimduct, SureSeal, TRU-BLU, and TRUaire brands. The Engineered Building Solutions segment offers architectural railings and metals; fire and smoke protection, and fire stopping solutions; and pre-engineered and custom architectural building components under the Balco, BlazeSeal, Greco, IllumiTread, Metacaulk, MetaflexPro, and Smoke Guard brands. The Specialized Reliability Solutions segment provides compounds, lubricants, and sealants; industrial maintenance and repair, anti-seize, contamination control, and desiccant breather filtration products; lubricant management systems; operation solutions; and rail friction modifiers under the AccuTrack, Air Sentry, BioRail, Deacon, Envirolube, Extreme, Gearmate, Jet-Lube, Kopr-Kote, Matrix, NCS-30 ECF, OilSafe, RailArmor, Run-N-Seal ECF, TOR Armor, and Whitmore brands. The company was incorporated in 2014 and is based in Dallas, Texas.

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