Stanley Black & Decker (SWK)
Industrials · $17.6B market cap · SEC CIK 0000093556
ahead of 9% of the S&P 500 · #74 of 79 in Industrials
Next reports on Feb 2, 2027, after the close, with analysts expecting $1.55 in earnings per share.
52-week range $61.90 to $122.68. 5% below its 52-week high and 88% above its low.
The case for SWK
- Earnings per share up 93.5%.
- Pays a 3.5% dividend while you wait.
- Up 73.0% over the past year.
- Price/sales of 1.2× is lower than 87% of Industrials companies.
The case against
- Expensive for its growth: 20.9× earnings, where 0% a year of growth plus a 3.5% dividend would justify about 13×.
- Operating profit covers its interest bill only 2.3 times.
- Revenue was flat on the year (+0.4%).
- Revenue has shrunk 2.2% a year over five years.
- Net margin of 6% is thinner than 86% of Industrials companies.
- Long-term debt of $4.7B against $280M of cash.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings and cash, against the growth you get | 26 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 20 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 31 |
| Momentumhow the price has behaved lately | 86 |
| Stabilityhow violently it moves, what it owes and what it pays you | 29 |
- Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.
The financials
Revenue growth
Is the business growing? No, flat
| Last 12 months | +0.4% |
|---|---|
| Over 5 years | −2.2% a year |
| FY2025 revenue | $15.1B (−2%) |
Free cash flow
Is it generating real cash? A little
| FY2025 free cash flow | $688M |
|---|---|
| Of revenue | 5% |
| Of profit | 171% |
Profit margins
Is profitability improving? Yes, improving
| Gross margin | 32% |
|---|---|
| Operating margin | 9% |
| Net margin, FY24 → FY25 → now | 1.9% → 2.7% → 5.5% |
Debt vs. cash
Is the balance sheet healthy? Mostly, with some debt to carry
| Cash | $280M |
|---|---|
| Long-term debt | $4.7B |
| Net debt | $4.4B |
| Years to repay | 4.8 yrs |
Valuation
Is the stock price reasonable? No, expensive
| P/E | 20.9× |
|---|---|
| Fair P/E for its growth | 13× |
| P/FCF | 25.5× |
| Forward P/E | 16.7× |
| EV / EBITDA | 11.9× |
At 20.9× earnings it trades above the 13× that 0% a year of growth plus a 3.5% dividend would justify. At 25.5× free cash flow it trades well above that same mark.
The financials, five years deep
Pulled from Stanley Black & Decker's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue growth | |||||
| Revenue | $15.1B | $15.4B | $15.8B | $16.9B | $15.3B |
| Change on the year | −2% | −3% | −7% | +11% | — |
| Free cash flow | |||||
| Free cash flow | $688M | $753M | $853M | −$2.0B | $144M |
| Of revenue | 5% | 5% | 5% | −12% | 1% |
| Profit margins | |||||
| Gross margin | — | — | — | 25.3% | 33.3% |
| Net margin | 2.7% | 1.9% | −2.0% | 6.3% | 11.1% |
| Debt vs. cash | |||||
| Cash | $280M | $291M | $449M | $396M | $142M |
| Long-term debt | $4.7B | $5.6B | $6.1B | $5.4B | $4.4B |
| Net cash (debt) | −$4.4B | −$5.3B | −$5.7B | −$5.0B | −$4.2B |
What Stanley Black & Decker says it does
Stanley Black & Decker, Inc. ("the Company") was founded in 1843 by Frederick T. Stanley and incorporated in Connecticut in 1852. In March 2010, the Company completed a merger with The Black & Decker Corporation (“Black & Decker”), a company founded by S. Duncan Black and Alonzo G. Decker and incorporated in Maryland in 1910. At that time, the Company changed its name from The Stanley Works to Stanley Black & Decker, Inc. The Company’s principal executive office is located at 1000 Stanley Drive, New Britain, Connecticut 06053 and its telephone number is (860) 225-5111. The Company is a global provider of hand tools, power tools, outdoor products and related accessories, as well as a leading provider of engineered fastening solutions, with 2025 consolidated annual revenues of $15.1 billion. Approximately 62% of the Company’s 2025 revenues were generated in the United States, with the remainder largely from Europe (16%), emerging markets…