Why PPG Industries (PPG) Dipped More Than Broader Market Today
PPG Industries (PPG) closed at $146.39 in the latest trading session, marking a -0.61% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.07% for the day.
Shares of the paint and coatings maker have depreciated by 0.12% over the course of the past month, underperforming the Basic Materials sector's gain of 1.66% and the S&P 500's gain of 3.98%.
Investors will be eagerly watching for the performance of PPG Industries in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on January 18, 2024. The company's earnings per share (EPS) are projected to be $1.49, reflecting a 22.13% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $4.27 billion, indicating a 1.95% upward movement from the same quarter last year.
Investors should also pay attention to any latest changes in analyst estimates for PPG Industries. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.09% decrease. At present, PPG Industries boasts a Zacks Rank of #4 (Sell).
In terms of valuation, PPG Industries is presently being traded at a Forward P/E ratio of 17.46. This denotes a premium relative to the industry's average Forward P/E of 15.18.
We can also see that PPG currently has a PEG ratio of 1.13. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. PPG's industry had an average PEG ratio of 2.49 as of yesterday's close.
The Chemical - Specialty industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 207, finds itself in the bottom 18% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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PPG Industries, Inc. (PPG) : Free Stock Analysis Report
