Grainger (GWW) one of the top chart set-ups into the week as it looks to clear $985 and target a move to $1075-$1100 also released a new Investor Presentation this week.

GWW is a leading broad line distributor of MRO products and services. GWW is an industry leader in large and highly attractive market with opportunity to capture share. GWW competes in large and fragmented market, a 7% share in High-Touch Solutions N.A. which is a $193B current addressable market.

GWW products/markets are as follows:

MRO markets have resilient end-market demand providing non-discretionary products and services. The industry is seeing accelerated digital adoption, increased automation and strong trends from labor constraints, manufacturing re-shoring and a focus on supply chain resilience. GWW has made multi-year investments in data and technology making it easier for businesses to purchase supplies.

GWW has a market cap of $48.25B and trades 23.4X Earnings, 17X EBITDA and 27.55X FCF with a 0.8% dividend yield and revenues seen rising 6-8% annually with 8-10% annual EPS growth. GWW has delivered a 9.4% sales CAGR and 20.7% EPS CAGR since 2019. GWW has a strong and flexible balance sheet with a 0.6X net leverage ratio while FCF is hitting new highs. Historically, GWW focused on share buybacks and dividends for capital allocation. GWW valuation is currently near a 10-year historical high while leverage near a low and profitability also near new highs.

Analysts have an average target of $985 with short interest low at 3% of the float.

GWW shares consolidating nicely on the weekly with MACD nearing a bull cross for a potential next trend-move higher.