NEW YORK, Nov 8 (Reuters) - Paint producer Sherwin-Williams is "spring-loaded to prosper" after several years of weak sales, buoyed by an improving housing market and sound management, Barron's magazine said on Sunday.
Barron's noted the Cleveland company -- which sells paints and stains under the Dutch Boy, Pratt & Lambert and Minwax brands -- has a dominating network of paint stores, which gives it an advantage with higher margin sales to contractors.
Sherwin-Williams also has raised its dividend for 30 years and used excess cash to buy back stock.
The stock fell 6 percent on Oct. 20 after third quarter revenue fell 12 percent and the company issued a disappointing fourth quarter earnings outlook. Still the stock price has remained resilient, closing at $58.94 on Friday or 16 times estimated 2009 earnings.
Citing one unidentified analyst who owns the shares, Barron's speculated the stock should surge to $90 based if annual earnings nearly double to $6 a share.
(Reporting by Joseph A. Giannone; Editing Bernard Orr) Keywords: SHERWINWILLIAMS/

(joseph.giannone@thomsonreuters.com; +1 646 223 6184; Reuters Messaging: joseph.giannone.reuters.com@reuters.net )

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