Analysts’ consensus on PPG post-4Q17
Following PPG Industries’ (PPG) 4Q17 earnings, analysts’ consensus has changed compared to their consensus prior to its 4Q17 earnings.
On January 19, 2018, 50% of analysts recommended “buys” on the stock, while 50% recommended “holds.” Prior to the company’s earnings release, analysts’ consensus reflected 58% “buy” recommendations and 42% “hold” recommendations.
Following PPG’s 4Q17 earnings, analysts’ consensus target price for the stock rose to $125.74, implying a return potential of 6.2% over its closing price as of December 19, 2018. Prior to PPG’s 4Q17 earnings, analysts’ consensus target price for the stock was $123.35. PPG’s strong revenue growth and its focus on improving revenue by way of acquisitions and organic growth going forward may have caused analysts to raise their target prices.
Analysts’ view on PPG Industries post-4Q17
- JPMorgan Chase (JPM) has downgraded its rating on PPG to a “neutral” from an “overweight.” JPM hasn’t provided a target price for the stock.
- Deutsche Bank (DB) has rated PPG Industries as a “hold” and raised its target price for the stock to $126 from $120. This implies a return potential of 6.4% compared to the stock’s closing price on January 19, 2018.
Investors can indirectly hold PPG Industries by investing in the iShares Global Materials ETF (MXI), which invests 1.3% of its portfolio in PPG Industries. The fund’s other holdings include DowDuPont (DWDP), Monsanto (MON), and Praxair (PX) with weights of 8.0%, 2.3%, and 2.1%, respectively, as of January 19, 2018.