PPG Industries (PPG)
NYSEMaterialsChemicals - SpecialtySnapshot 2026-09-04
$112.53+1.61%
Close 2026-09-04 · 1-day change
NYSEMaterialsChemicals - SpecialtySnapshot 2026-09-04
Intact: The reason to own it still holds.
PPG keeps its full-year EPS guidance near $8.10. Sales grow about 5% a year with new products and investments. Profit margins stay stable. The company returns cash with steady dividends and buybacks.
Sales growth could slow below 3%. EPS might fall under $7.70 if costs rise or demand weakens. New product launches may not boost revenue as expected.
The price is about 9% below our fair value near $134. Analysts expect about 5% revenue growth and EPS around $7.88 for 2026. Our view aligns with consensus but sees some risk in margin pressure.
Breaks if: Significant cut in dividends or buybacks
Breaks if: EPS guidance falls below $7.7 for FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment is characterized as a durable compounder. The current thesis is intact, supported by consistent earnings guidance and organic sales growth, despite recent earnings misses.
The market is pricing PPG as cheap compared to its peers, with a slight expectations gap. This suggests that investors may not fully account for the company's recent strong performance and stable management.
Fundamentals are likely to remain stable, with management focused on maintaining EPS guidance and driving organic sales growth. Recent results indicate a positive trajectory, although the company has a history of earnings misses.
The thesis hinges on management's ability to maintain guidance and deliver on organic growth. Additionally, external factors like inflation trends and performance of sector peers will play a crucial role in shaping future outcomes.
The most important moves since the prior daily snapshot.
Yes, our read has weakened. The company missed earnings expectations, which impacts the credibility of its adjusted EPS guidance. This guidance remains at $7.70 to $8.10 for the full year.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
PPG aims to maintain its full-year EPS guidance range of $7.70 to $8.10.
Breaks if: Organic sales growth falls below 0% in FY26
Breaks if: Profit margins decline significantly below recent levels
Overall, PPG's fundamentals and management priorities suggest a stable outlook for the next 1 to 3 years. Not investment advice.