Even if you don’t own or look at stocks, a recent downgrade from Jefferies should be of concern to every painting contractor.

In a report this week, Jefferies downgraded Sherwin-Williams from “buy” to “hold” and cut the price target by 10%.

“Relative to the S&P 500, Sherwin-Williams trades in line with the 10-year average, we believe increasing caution on demand prospects could lead to a relative discount, ” Jefferies said.

So why should salt of the earth paint contractors be concerned with these Wall Street quants issuing jargon-filled downgrades?

It’s because of what they say about the macro economy for painters.

Jefferies cites indicators of economic activity that predict that home sales and renovations could suffer a slow down in 2025.

Add in U.S. policy changes (see: Tariffs)  that could further pressure consumer spending, and you have the prospect for a leaner summer for painting contractors.

Sherwin-Williams has been a high flyer compared to its peers, with a price to earnings ratio higher than other paint companies such as PPG.

Jefferies emphasized that Sherwin-Williams still has a good long-term outlook, but the macro conditions in the U.S., along with recent acquisitions, may challenge profitability in the short term.