UPDATE: Nomura Raises PT to $170 on Sherwin-Williams on Growth, Deal Synergy

Nomura reiterated its Buy rating on Sherwin-Williams (NYSE: SHW) and raised its price target from $160 to $170. Nomura commented, "SHW's acquisition of Comex (unlisted) for $2.3bn adds exposure to under-penetrated markets such as Mexico and Western US. With sales equal to 15% of SHW's base, Comex increases SHW's leverage to improving underlying trends. Added reach creates economies of scale and introduces synergy into the mix. SHW expects over $1.00 in EPS accretion by ‘15, equal to nearly 10% accretion off of our baseline ‘14 estimate of $10.50. The acquisition adds a positive catalyst, reiterate Buy, bump target to $170 on added growth and synergy." Sherwin-Williams closed at $149.06 on Monday.