Stanley Black & Decker
Through the investors’ lenses
Each of these investors has said in public what they look at before buying. Click a name to see how this company measures up — a tick where it passes one of their tests, a cross where it does not.
Warren Buffett 2/4
| Measure | SWK | Checked against | |
|---|---|---|---|
| Owner earnings | $484.20m | positive | ✓ |
| Return on equity | 4.4% | median 11.7% | ✗ |
| Debt to equity | 0.58x | median 0.79x | ✓ |
| Operating margin | 2.8% | median 15.0% | ✗ |
Passes 2 of 4. To be clear: Warren Buffett has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Terry Smith 2/4
| Measure | SWK | Checked against | |
|---|---|---|---|
| Return on capital employed | 2.9% | median 10.1% | ✗ |
| Cash conversion | 2.42x | median 1.78x | ✓ |
| Operating margin | 2.8% | median 15.0% | ✗ |
| Debt to equity | 0.58x | median 0.79x | ✓ |
Passes 2 of 4. To be clear: Terry Smith has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Charlie Munger 0/3
| Measure | SWK | Checked against | |
|---|---|---|---|
| Return on capital employed | 2.9% | median 10.1% | ✗ |
| Return on equity | 4.4% | median 11.7% | ✗ |
| Operating margin | 2.8% | median 15.0% | ✗ |
Passes 0 of 3. To be clear: Charlie Munger has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Chuck Akre 2/4
| Measure | SWK | Checked against | |
|---|---|---|---|
| Return on equity | 4.4% | median 11.7% | ✗ |
| Debt to equity | 0.58x | median 0.79x | ✓ |
| Cash conversion | 2.42x | median 1.78x | ✓ |
| Return on equity, sustained | 3 of 10 | 8 of 10 above median | ✗ |
Passes 2 of 4. To be clear: Chuck Akre has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Philip Fisher 0/4
| Measure | SWK | Checked against | |
|---|---|---|---|
| Operating margin | 2.8% | median 15.0% | ✗ |
| Net margin | 2.7% | median 10.2% | ✗ |
| Return on capital employed | 2.9% | median 10.1% | ✗ |
| Operating margin, held or improving | 2.8% | 10-yr median 13.5% | ✗ |
Passes 0 of 4. To be clear: Philip Fisher has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Walter Schloss 1/2
| Measure | SWK | Checked against | |
|---|---|---|---|
| Current ratio | 1.14x | median 1.25x | ✗ |
| Debt to equity | 0.58x | median 0.79x | ✓ |
Passes 1 of 2. To be clear: Walter Schloss has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Benjamin Graham 0/3
| Measure | SWK | Checked against | |
|---|---|---|---|
| Current ratio | 1.14x | 2.00x published | ✗ |
| Long-term debt to working capital | 6.41x | 1.00x published | ✗ |
| Positive earnings, ten years running | 2 yrs | 10 published | ✗ |
Passes 0 of 3. To be clear: Benjamin Graham has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Joel Greenblatt 0/1
| Measure | SWK | Checked against | |
|---|---|---|---|
| Return on capital employed | 2.9% | median 10.1% | ✗ |
Passes 0 of 1. To be clear: Joel Greenblatt has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
Peter Lynch 1/2
| Measure | SWK | Checked against | |
|---|---|---|---|
| Debt to equity | 0.58x | median 0.79x | ✓ |
| Net margin | 2.7% | median 10.2% | ✗ |
Passes 1 of 2. To be clear: Peter Lynch has never said anything about Stanley Black & Decker. These are the company’s own figures put through the tests he described. What he looks at, and why →
| Basis | Payout | Why |
|---|---|---|
| GAAP earnings | 124.5% | whyThe figure most screeners publish. |
| Operating cash flow | 51.5% | whyBefore capital spending. |
| Free cash flow | 72.8% | whyAfter maintaining the business. |
73 points between highest and lowest basis.
Coverage rating 6 / 100 — Not covered. ? Peer standing 2/50Direction 4/30Stability 0/20
Free cash flow payout, last 6 years
| Fiscal year | Payout |
|---|---|
| 2026-01-03 | 72.8% |
| 2024-12-28 | 65.2% |
| 2023-12-30 | 56.6% |
| 2022-01-01 | 329.7% |
| 2021-01-02 | 25.8% |
| 2019-12-28 | 37.2% |
4% of the 74 industrials here pay out more — at the demanding end.
The arithmetic
- GAAP earnings — dividends declared per share $3.30 ÷ diluted EPS $2.65
- Operating cash flow — dividends paid $501m ÷ operating cash flow $971m
- Free cash flow — dividends paid $501m ÷ (operating cash flow $971m − capex $283m)
Where the figures came from
- 10-K filed 2026-02-24 · accession 0000093556-26-000009
All public at sec.gov — you should not have to take our word for it.
Computed straight from SEC XBRL. A number that looks wrong to you is more useful to us than agreement — tell us.
What the free cash flow payout ratio measures, and where every company here sits on it.
Also on: uncovered on earnings, covered on the basis that applies · rated not covered · when it files.
When this changes
Every figure above is recomputed whenever Stanley Black & Decker files. The monthly letter carries what filed, what moved, and one finding computed across every company here.