PPG Industries received another approval for windshield
On October 9, 2017, PPG Industries’ (PPG) glass-faced acrylic windshields received Parts Manufacturer Approval from the Federal Aviation Administration. The windshields can be used in BEECHJET 400 Business jets and their variants. Axalta claims that the windshield has strong resistance to moisture and will last longer.
It’s PPG Industries’ second approval. In the previous week, PPG Industries received approval from the EASA (European Aviation Safety Agency). Steve Knight, PPG’s market director for general aviation transparencies, said, “These PPG windshields incorporate a moisture, or weather, seal that is used with pre-molded pressure seals on the edge attachment to eliminate the need for additional sealant application during installation.”
PPG Industries’ stock performance
PPG Industries stock remained flat with a marginal gain of 0.20% for the week ending October 13, 2017. The stock closed at $113.50 and traded 5.20% above the 100-day moving average price of $107.92. PPG Industries underperformed the Materials Select Sector SPDR Fund (XLB), which returned 0.80% during the same period. XLB has invested 4.60% of its holdings in PPG Industries.
On a year-to-date basis, the stock has returned 19.80%, while its peers Sherwin-Williams (SHW), Axalta (AXTA), and RPM International (RPM) have returned 43.60%, 3.90%, and -3.90%, respectively. Analysts see more upside in the stock. They recommended a target price of $115.75, which implies a return potential of 2.0% from the closing price as of October 13, 2017. However, PPG Industries’ 14-day relative strength index of 73 indicates that the stock has temporarily moved into an “overbought” situation.