PPG Industries Inc. (PPG) Stock

PPG Industries Inc. trades at a P/E ratio of 20.20, which is near the market average of approximately 20, suggesting the market views it as fairly valued relative to its earnings. Looking ahead, the forward P/E of 14.58 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 0.83 suggests the stock may be undervalued relative to its growth rate.

With a beta of 1.16, PPG Industries Inc. is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 3.74 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

PPG Industries Inc. achieves a profit margin of 6.95%, meaning it retains $6.95 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 13.30% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 17.60% and ROA at 6.30%, the company generates strong returns on invested capital.

PPG Industries Inc.'s revenue declined by 4.30% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings decreased by 3.40% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against PAINTS, VARNISHES, LACQUERS, ENAMELS & ALLIED PRODS industry averages for proper context.

PPG Industries Inc. offers a dividend yield of 2.38%, paying $2.69 per share annually. This above-average yield of 2-4% provides meaningful income while still allowing the company to reinvest for growth. It compares favorably to the S&P 500 average and offers competitive returns versus bonds in the current rate environment. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/12/2025.

The dividend sustainability can be assessed through the payout ratio - PPG Industries Inc. pays $2.69 per share in dividends against earnings of $5.65 per share, resulting in a payout ratio of 47.61%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 6/12/2025.

PPG Industries Inc. has a market capitalization of $25.91B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 226.97M shares outstanding, the company's ownership is relatively concentrated. As a participant in the PAINTS, VARNISHES, LACQUERS, ENAMELS & ALLIED PRODS industry, it competes with other firms in this sector.

PPG Industries Inc.'s book value per share is $30.52, while the current stock price is $116.75, resulting in a price-to-book (P/B) ratio of 3.83. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

25 analysts cover PPG with 32% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $127.06 implies 8.8% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:1 Strong Buy, 7 Buy, 17 Hold, 00The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

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MACD and moving average data are not available for this stock.