PPG Industries, Inc. (PPG) AI Stock Analysis

PPG Industries, Inc. is a global manufacturer and distributor of paints, coatings, and specialty materials. The company operates through segments that include Performance Coatings and Industrial Coatings. Its Performance Coatings segment provides coatings, solvents, adhesives, sealants, transparent armor, and chemical management services for automotive, commercial transport, aerospace, architectural, and marine infrastructure applications. The Industrial Coatings segment delivers coatings, adhesives, and pretreatments for appliances, consumer electronics, automotive parts, and packaging. In addition, PPG produces specialty materials such as TESLIN substrates for secure identification cards and organic light emitting diode materials for advanced display technologies.

Between FY2021 and FY2025, PPG generated a 5-year revenue CAGR of 2.8%. Annual revenue moved from $16.80B in FY2021 to $15.61B in FY2022, $16.24B in FY2023, $15.85B in FY2024, and $15.88B in FY2025. Over the same span, gross margin shifted from 38.8% in FY2021 to 38.0% in FY2025, while operating margin expanded from 10.0% to 13.7%. Net income rose from $1.44B in FY2021 to $1.58B in FY2025, with EPS finishing at $7.58. In the latest quarter ended June 30, 2026, quarterly revenue grew 7.2% year-over-year, while quarterly earnings declined 1.5%.

As of June 30, 2026, PPG held $1.59B in cash and short-term investments against total debt of $7.46B, resulting in net debt of $5.87B. Total assets stood at $22.53B and shareholders' equity was $8.44B. The company maintained a current ratio of 1.58 and a debt-to-equity ratio of 0.88. During FY2025, operating cash flow reached $1.94B, which supported capital expenditures of $778.0M, share buybacks of $790.0M, and dividends paid of $628.0M, contributing to a 5-year share count change of -6.4%.

PPG trades at a trailing P/E of 15.4x and a forward P/E of 12.4x, both lower than the median of its S&P 500 Basic Materials peers at 32.2x and 15.3x, respectively. Its price-to-sales ratio of 1.5x and EV to EBITDA of 10.5x also compare favorably to peer medians of 2.5x and 14.9x. The company has an enterprise value of $29.70B and a market cap of $23.87B. Over the past year, PPG produced a return of 9.1% compared to 16.8% for the S&P 500, while its 5-year return fell 25.5% against an 83.0% gain for the index.

PPG pays an annualized forward dividend of $2.96 per share, representing a dividend yield of 2.76%. The payout ratio stands at 37.7%, supported by 44 consecutive years of dividend payments. Over the past five years, its annualized dividend growth was 5.8%, with the last ex-dividend date recorded on November 10, 2026.

Wall Street coverage includes 10 Strong Buy, 3 Buy, and 12 Hold ratings, with zero Sell or Strong Sell recommendations. The mean price target is $125.73, representing an upside of 17.1% from the last close of $107.39. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $16.79B and EPS of $7.89, representing 4.1% earnings growth. Over the last 4 quarters, the company beat EPS estimates 2 times, and the next earnings date is October 27, 2026.

This page is an AI-written research summary of PPG Industries, Inc. (PPG). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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