PPG INDUSTRIES INC (PPG) Stock Fundamental Analysis
NYSE:PPG • US6935061076
131.34 USD
-0.22 (-0.17%)
At close: Feb 13, 2026
131.44 USD
+0.1 (+0.08%)
Pre-Market: 2/17/2026, 7:10:49 AM
Taking everything into account, PPG scores 5 out of 10 in our fundamental rating. PPG was compared to 83 industry peers in the Chemicals industry. PPG scores excellent on profitability, but there are some minor concerns on its financial health. PPG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year PPG was profitable.
- PPG had a positive operating cash flow in the past year.
- In the past 5 years PPG has always been profitable.
- Of the past 5 years PPG 4 years had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 4.50%, PPG is doing good in the industry, outperforming 78.31% of the companies in the same industry.
- With an excellent Return On Equity value of 12.77%, PPG belongs to the best of the industry, outperforming 85.54% of the companies in the same industry.
- PPG has a better Return On Invested Capital (9.54%) than 80.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 12.77% | ||
| ROIC | 9.54% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- PPG has a Profit Margin of 7.05%. This is in the better half of the industry: PPG outperforms 75.90% of its industry peers.
- In the last couple of years the Profit Margin of PPG has grown nicely.
- PPG's Operating Margin of 14.70% is fine compared to the rest of the industry. PPG outperforms 77.11% of its industry peers.
- In the last couple of years the Operating Margin of PPG has grown nicely.
- With an excellent Gross Margin value of 40.46%, PPG belongs to the best of the industry, outperforming 83.13% of the companies in the same industry.
- In the last couple of years the Gross Margin of PPG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.7% | ||
| PM (TTM) | 7.05% | ||
| GM | 40.46% |
OM growth 3Y8.61%
OM growth 5Y1.75%
PM growth 3Y14.75%
PM growth 5Y5.34%
GM growth 3Y4.33%
GM growth 5Y-1.26%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PPG is destroying value.
- PPG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- PPG has an Altman-Z score of 3.76. This indicates that PPG is financially healthy and has little risk of bankruptcy at the moment.
- PPG has a Altman-Z score of 3.76. This is amongst the best in the industry. PPG outperforms 85.54% of its industry peers.
- PPG has a debt to FCF ratio of 10.09. This is a negative value and a sign of low solvency as PPG would need 10.09 years to pay back of all of its debts.
- PPG has a better Debt to FCF ratio (10.09) than 61.45% of its industry peers.
- A Debt/Equity ratio of 0.76 indicates that PPG is somewhat dependend on debt financing.
- The Debt to Equity ratio of PPG (0.76) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 10.09 | ||
| Altman-Z | 3.76 |
ROIC/WACC0.7
WACC13.54%
2.3 Liquidity
- A Current Ratio of 1.47 indicates that PPG should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.47, PPG is doing worse than 69.88% of the companies in the same industry.
- PPG has a Quick Ratio of 1.08. This is a normal value and indicates that PPG is financially healthy and should not expect problems in meeting its short term obligations.
- PPG has a Quick ratio (1.08) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
- PPG shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.42%.
- PPG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.87% yearly.
- PPG shows a small growth in Revenue. In the last year, the Revenue has grown by 0.19%.
- PPG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.79% yearly.
EPS 1Y (TTM)-6.42%
EPS 3Y7.75%
EPS 5Y5.87%
EPS Q2Q%-6.21%
Revenue 1Y (TTM)0.19%
Revenue growth 3Y0.55%
Revenue growth 5Y2.79%
Sales Q2Q%4.96%
3.2 Future
- PPG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.62% yearly.
- The Revenue is expected to grow by 4.30% on average over the next years.
EPS Next Y6.89%
EPS Next 2Y7.56%
EPS Next 3Y8.35%
EPS Next 5Y8.62%
Revenue Next Year3.99%
Revenue Next 2Y3.42%
Revenue Next 3Y3.46%
Revenue Next 5Y4.3%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 17.33, PPG is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of PPG indicates a somewhat cheap valuation: PPG is cheaper than 69.88% of the companies listed in the same industry.
- PPG is valuated rather cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 16.21 indicates a correct valuation of PPG.
- 63.86% of the companies in the same industry are more expensive than PPG, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of PPG to the average of the S&P500 Index (28.06), we can say PPG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.33 | ||
| Fwd PE | 16.21 |
4.2 Price Multiples
- PPG's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of PPG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.65 | ||
| EV/EBITDA | 13.6 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of PPG may justify a higher PE ratio.
PEG (NY)2.52
PEG (5Y)2.95
EPS Next 2Y7.56%
EPS Next 3Y8.35%
5. Dividend
5.1 Amount
- PPG has a Yearly Dividend Yield of 2.16%. Purely for dividend investing, there may be better candidates out there.
- PPG's Dividend Yield is a higher than the industry average which is at 2.15.
- PPG's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
5.2 History
- On average, the dividend of PPG grows each year by 6.16%, which is quite nice.
- PPG has been paying a dividend for at least 10 years, so it has a reliable track record.
- PPG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.16%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
- PPG pays out 62.85% of its income as dividend. This is not a sustainable payout ratio.
- PPG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP62.85%
EPS Next 2Y7.56%
EPS Next 3Y8.35%
131.34
-0.22 (-0.17%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)01-27 2026-01-27/amc
Earnings (Next)04-27 2026-04-27/amc
Inst Owners88.79%
Inst Owner Change2.73%
Ins Owners0.09%
Ins Owner Change0%
Market Cap29.47B
Revenue(TTM)15.88B
Net Income(TTM)996.00M
Analysts72.26
Price Target125.71 (-4.29%)
Short Float %3.09%
Short Ratio3.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
Yearly Dividend2.67
Dividend Growth(5Y)6.16%
DP62.85%
Div Incr Years34
Div Non Decr Years34
Ex-Date02-20 2026-02-20 (0.71)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.24%
Min EPS beat(2)-1.41%
Max EPS beat(2)0.93%
EPS beat(4)2
Avg EPS beat(4)0.31%
Min EPS beat(4)-3.35%
Max EPS beat(4)5.06%
EPS beat(8)3
Avg EPS beat(8)-0.09%
EPS beat(12)7
Avg EPS beat(12)2.84%
EPS beat(16)10
Avg EPS beat(16)4.1%
Revenue beat(2)0
Avg Revenue beat(2)-0.19%
Min Revenue beat(2)-0.26%
Max Revenue beat(2)-0.12%
Revenue beat(4)0
Avg Revenue beat(4)-2.44%
Min Revenue beat(4)-8.85%
Max Revenue beat(4)-0.12%
Revenue beat(8)1
Avg Revenue beat(8)-2.35%
Revenue beat(12)2
Avg Revenue beat(12)-1.68%
Revenue beat(16)4
Avg Revenue beat(16)-1.09%
PT rev (1m)3.71%
PT rev (3m)-1.54%
EPS NQ rev (1m)-0.12%
EPS NQ rev (3m)-0.51%
EPS NY rev (1m)-1.02%
EPS NY rev (3m)-2.36%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)0.03%
Revenue NY rev (1m)1.53%
Revenue NY rev (3m)1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.33 | ||
| Fwd PE | 16.21 | ||
| P/S | 2.09 | ||
| P/FCF | 40.65 | ||
| P/OCF | 21.05 | ||
| P/B | 3.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.6 |
EPS(TTM)7.58
EY5.77%
EPS(NY)8.1
Fwd EY6.17%
FCF(TTM)3.23
FCFY2.46%
OCF(TTM)6.24
OCFY4.75%
SpS62.95
BVpS34.76
TBVpS-1.33
PEG (NY)2.52
PEG (5Y)2.95
Graham Number76.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 12.77% | ||
| ROCE | 12.56% | ||
| ROIC | 9.54% | ||
| ROICexc | 10.78% | ||
| ROICexgc | 24.16% | ||
| OM | 14.7% | ||
| PM (TTM) | 7.05% | ||
| GM | 40.46% | ||
| FCFM | 5.13% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y8.61%
OM growth 5Y1.75%
PM growth 3Y14.75%
PM growth 5Y5.34%
GM growth 3Y4.33%
GM growth 5Y-1.26%
F-Score5
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 10.09 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 140.04% | ||
| Cap/Sales | 4.78% | ||
| Interest Coverage | 9.39 | ||
| Cash Conversion | 54.73% | ||
| Profit Quality | 72.79% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 3.76 |
F-Score5
WACC13.54%
ROIC/WACC0.7
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.42%
EPS 3Y7.75%
EPS 5Y5.87%
EPS Q2Q%-6.21%
EPS Next Y6.89%
EPS Next 2Y7.56%
EPS Next 3Y8.35%
EPS Next 5Y8.62%
Revenue 1Y (TTM)0.19%
Revenue growth 3Y0.55%
Revenue growth 5Y2.79%
Sales Q2Q%4.96%
Revenue Next Year3.99%
Revenue Next 2Y3.42%
Revenue Next 3Y3.46%
Revenue Next 5Y4.3%
EBIT growth 1Y-10.25%
EBIT growth 3Y9.21%
EBIT growth 5Y4.59%
EBIT Next Year25.34%
EBIT Next 3Y13.18%
EBIT Next 5Y10.04%
FCF growth 1Y-43.4%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-29.01%
OCF growth 3YN/A
OCF growth 5YN/A
PPG INDUSTRIES INC / PPG FAQ
What is the fundamental rating for PPG stock?
ChartMill assigns a fundamental rating of 5 / 10 to PPG.
What is the valuation status for PPG stock?
ChartMill assigns a valuation rating of 4 / 10 to PPG INDUSTRIES INC (PPG). This can be considered as Fairly Valued.
Can you provide the profitability details for PPG INDUSTRIES INC?
PPG INDUSTRIES INC (PPG) has a profitability rating of 7 / 10.
Can you provide the financial health for PPG stock?
The financial health rating of PPG INDUSTRIES INC (PPG) is 5 / 10.
What is the earnings growth outlook for PPG INDUSTRIES INC?
The Earnings per Share (EPS) of PPG INDUSTRIES INC (PPG) is expected to grow by 6.89% in the next year.