Here's Why Sherwin-Williams Stock Jumped Monday

The stock of coatings and paint supplier Sherwin-Williams (NYSE: SHW) popped Monday morning after news about the company was released late Friday. Shares jumped as much as 7% before paring some of that gain.

Still, as of 10:38 a.m. ET, Sherwin-Williams stock was higher by 4%. The move came after news that the well-known company will join the Dow Jones Industrial Average (DJIA) stock index. It will be replacing chemical maker Dow Inc. in the 30-stock index. Investors see that as good news for the stock that has already moved higher by about 20% this year. But it's not really why investors should be interested in owning shares.

Source Fool.com