Stock in Focus: PPG Industries (PPG)

Company Profile:

PPG Industries, Inc. manufactures and distributes paints, coatings, and specialty materials worldwide. It operates and innovates in more than 75 countries and reported net sales of $13.8 billion in 2020. The company serve customers in construction, consumer products, industrial and transportation markets and aftermarkets. It was founded in 1883 and is headquartered in Pittsburgh, Pennsylvania.

Recent News:

On December 01, 2021, the company announced the start-up of expanded automotive OEM clearcoat production at its facility in Erlenbach, Germany. The 3 million Euro project nearly doubles the site’s capacity for premium clearcoats and uses advanced manufacturing technology to improve operational efficiency, sustainability and flexibility compared to conventional processes.

For the third quarter 2021, the company reported net sales of nearly $4.4 billion, about 19% higher than prior year. It Reported earnings per diluted share (EPS) of $1.43 and adjusted EPS of $1.69.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects: Growth, Profitability, solvency and efficiency.

Growth – Measures the growth of both the company’s income statement and cash flow.

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Profitability – Measures the historical price movement of the stock.

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Solvency – Measures the solvency of the company based on several ratios.

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Efficiency – Measures the strength and historic growth of a company’s return on invested capital.

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Conclusion:

PPG’s strengths can be seen in its strong growth and strong efficiency compared with its peers. Technical indicators signal the bullish signs, as there is a bullish crossover in the Stochastic oscillator, the MACD is trying to cross back up and the RSI stands at 53.00 with positive bias. We rate
PPG Industries (PPG) a STRONG BUY.