W.W. GRAINGER, INC.(GWW)Stock Analysis
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Rank #365 of 2,879 stocksTOP 25%
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Rankings refresh quarterly once 80% of peers have filed (~45 days after quarter-end). Next update: ~Aug 14, 2026.
Revenue Growth
Profitability
Balance Sheet
Earnings Quality
Free Cash Flow
Institutional Flow
Revenue Scale
Dilution Risk
GWW Stock Analysis & AI Quality Score
AI stock analysis and institutional research for W.W. GRAINGER, INC. (GWW), a Consumer Discretionary sector company. 13F Pro's AI-powered ranking engine scores GWW at 69.5/100 on a 32-signal composite quality model, placing it at rank #365 of 2,879 stocks — the top 25% of the AI-ranked universe. GWW scores in the top quartile across balance sheet strength (96.7), revenue scale (92.3). Areas of concern include earnings quality (34.9), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q1 2026), W.W. GRAINGER, INC. reports quarterly revenue of $4.7B, net income of $555.0M, an operating margin of 16.7%. Top institutional holders of GWW by reported 13-F value include BlackRock,, VANGUARD CAPITAL MANAGEMENT, VANGUARD PORTFOLIO MANAGEMENT, based on the most recent SEC filings. GWW trades on the NYSE exchange and files with the SEC under CIK 277135. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate GWW daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for W.W. GRAINGER, INC. directly from SEC EDGAR. W.W. GRAINGER, INC.'s 13F Pro composite quality score has ranged between 59 and 78 since 2021, currently 69.5 — an improving long-term trajectory across 28 quarterly and live scoring snapshots.
What's Driving GWW's Business? Latest 10-Q Breakdown
AI-extracted from W.W. GRAINGER, INC.'s 10-Q filed 2026-05-07 — Q1 2026 (quarter ended March 31, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
W.W. Grainger delivered 10% revenue growth to $4.7B with operating earnings surging 18% to $793M, driven by balanced contributions from High-Touch Solutions and Endless Assortment segments.
Biggest Revenue Drivers
Total revenue: $4,742M+10.1% YoY
Equal contribution of 5% from both volume and price growth; daily constant currency basis increased 10%.
Repeat business and enterprise customer growth at MonotaRO; daily organic constant currency basis increased 22%.
Largest Expense Items
Increase in line with sales growth; gross margin improved 30 basis points to 40.0%.
Higher payroll and benefit expenses partially offset by benefit related to U.K. market exit in Q4 2025.
Margins: Gross profit margin expanded 30 basis points to 40.0%, reflecting improved operational efficiency and pricing realization. Operating margin improved to 16.7% from 15.6% as sales leverage offset SG&A deleverage.
Watch Items from the Filing
- Macroeconomic headwinds including tariff policy changes, geopolitical tensions, and supply chain disruptions persist; company acknowledges evolved tariff strategies under evaluation.
- Endless Assortment growing 20% YoY with 46% operating earnings growth demonstrates strong momentum in Japan (MonotaRO) and e-commerce expansion.
- Total debt as percent of capitalization declined to 35.7% from 37.5% year-end; company maintains $1.9B available liquidity and investment-grade ratings from Moody's and S&P.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
Revenue
Q1 2026
$4.7B
Net Income
Q1 2026
$555.0M
Free Cash Flow
Q1 2026
$569.0M
Operating Margin
Q1 2026
16.7%
D/E Ratio
Q1 2026
0.61
Revenue & Net Income
Earnings Per Share
Key Financials Over Time
Export Financial Table · Pro+Revenue
+4.5% YoYNet Income
-10.6% YoYOperating Income
-5.4% YoYEPS (Diluted)
-8.6% YoYTotal Assets
+1.5% YoYTotal Debt
-20.2% YoYOp. Cash Flow
-4.5% YoY| Metric | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 |
|---|---|---|---|---|---|---|
| Revenue | $17.94B +4.5% | $17.17B +4.2% | $16.48B +8.2% | $15.23B +16.9% | $13.02B +10.4% | $11.80B |
| Net Income | $1.71B -10.6% | $1.91B +4.4% | $1.83B +18.2% | $1.55B +48.3% | $1.04B +50.1% | $695.0M |
| Operating Income | $2.50B -5.4% | $2.64B +2.8% | $2.56B +15.8% | $2.21B +43.2% | $1.55B +51.8% | $1.02B |
| EPS (Diluted) | $35.40 -8.6% | $38.71 +6.8% | $36.23 +20.5% | $30.06 +51.5% | $19.84 +54.8% | $12.82 |
| Total Assets | $8.96B +1.5% | $8.83B +8.4% | $8.15B +7.4% | $7.59B +15.1% | $6.59B +4.7% | $6.29B |
| Total Debt | $2.61B -20.2% | $3.28B +42.5% | $2.30B -0.8% | $2.32B -1.8% | $2.36B -1.5% | $2.40B |
| Operating Cash Flow | $2.02B -4.5% | $2.11B +3.9% | $2.03B +52.4% | $1.33B +42.3% | $937.0M -16.6% | $1.12B |
AI Insight: GWW Financial Trends
Q1 2026 delivers record operating income of $793M and strongest operating cash flow in the dataset, while Q3 2025's net income collapse to $294M warrants scrutiny.
• Revenue grew from $4,312M in Q2 2024 to $4,742M in Q1 2026, a steady ~10% cumulative gain over seven quarters.
• Operating income hit a dataset high of $793M in Q1 2026, up from $649M in Q2 2024, implying meaningful margin expansion.
• Total debt fell sharply from $3,277M in Q4 2024 to $2,284M in Q1 2025 and remains at $2,413M in Q1 2026, reducing leverage materially.
• Operating cash flow surged to $739M in Q1 2026, the highest in the dataset, up from $411M in Q2 2024.
⚠ Net income collapsed to $294M in Q3 2025 versus $486M in Q3 2024 — a 40% year-over-year drop demanding explanation.
⚠ Operating cash flow remains lumpy, swinging from $739M in Q1 2026 to $377M in Q2 2025, signaling working-capital volatility.
⚠ Equity grew modestly to $3,930M in Q1 2026 despite strong earnings, suggesting significant capital returns offsetting retained earnings.
AI Insight: GWW Ratio Trends
Q1 2026 shows a broad-based profitability recovery, with ROIC hitting 50.0% — the highest level in the visible dataset.
• Operating margin rebounded to 16.7% in Q1 2026 from an anomalous 11.0% in Q3 2025, surpassing all prior quarters in the dataset.
• ROIC expanded sharply to 50.0% in Q1 2026 from 34.5% in Q3 2025, exceeding the Q1 2025 prior peak of 46.6%.
• Leverage (D/E) declined steadily to 0.61 in Q1 2026 from a peak of 0.98 in Q4 2024, strengthening the balance sheet.
• TTM figures (OpMargin 14.2%, NPM 9.7%) lag Q1 2026 quarterly readings, reflecting the Q3 2025 drag on trailing averages.
⚠ Q3 2025 saw OpMargin collapse to 11.0% and ROIC to 34.5% — the cause of that one-quarter deterioration warrants close monitoring.
⚠ ROE of 56.5% in Q1 2026 remains below the Q2 2024 peak of 57.4%, despite improved margins — watch ROA and asset-turn trends.
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Top Institutional Holders of GWW
BlackRock, Inc.
$5.1B4,641,675 shVANGUARD CAPITAL MANAGEMENT LLC
$3.1B2,882,615 shVANGUARD PORTFOLIO MANAGEMENT LLC
$2.5B2,312,763 shSTATE STREET CORP
$2.2B1,994,093 shGEODE CAPITAL MANAGEMENT, LLC
$1.3B1,230,969 shWELLINGTON MANAGEMENT GROUP LLP
$1.1B1,032,852 shWELLS FARGO & COMPANY/MN
$1.0B922,497 shClearbridge Investments, LLC
$922.3M845,522 shPARNASSUS INVESTMENTS, LLC
$710.4M651,243 shUBS AM, a distinct business unit of UBS ASSET MANAGEMENT AME
$696.3M638,347 sh
| Fund | Value | Shares |
|---|---|---|
| BlackRock, Inc. | $5.1B | 4,641,675 |
| VANGUARD CAPITAL MANAGEMENT LLC | $3.1B | 2,882,615 |
| VANGUARD PORTFOLIO MANAGEMENT LLC | $2.5B | 2,312,763 |
| STATE STREET CORP | $2.2B | 1,994,093 |
| GEODE CAPITAL MANAGEMENT, LLC | $1.3B | 1,230,969 |
| WELLINGTON MANAGEMENT GROUP LLP | $1.1B | 1,032,852 |
| WELLS FARGO & COMPANY/MN | $1.0B | 922,497 |
| Clearbridge Investments, LLC | $922.3M | 845,522 |
| PARNASSUS INVESTMENTS, LLC | $710.4M | 651,243 |
| UBS AM, a distinct business unit of UBS ASSET MANAGEMENT AME | $696.3M | 638,347 |
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Popular Research
Is GWW a good stock to buy?
13F Pro's AI-powered analysis of W.W. GRAINGER, INC. (GWW) draws on SEC EDGAR-sourced fundamentals, institutional 13F holdings, and insider Form 4 transactions in the Consumer Discretionary sector (listed on NYSE). The 32-signal AI Quality Score, current rank, and full bull/bear verdict for GWW are available on the GWW stock profile dashboard — with the same data, AI insights, ratios, and institutional activity refreshed after every 10-K, 10-Q, 13F, and Form 4 filing.
Which hedge funds own GWW?
Institutional investors are required to disclose their holdings quarterly via SEC Form 13F. 13F Pro aggregates these filings to show which hedge funds, mutual funds, and asset managers are buying or selling GWW. Combined with insider transaction data from Form 4 filings and AI-powered analysis from 10 specialized research agents, 13F Pro provides a comprehensive view of W.W. GRAINGER, INC.'s investment landscape.