PPG Industries: Analysts’ Views and Recommendations

Analysts’ consensus on PPG Industries

PPG Industries (PPG) continues to draw analysts’ attention with 24 analysts actively following it. Among them, 58% of the analysts recommended a “buy,” 42% of the analysts recommended a “hold,” and no analysts recommended a “sell.”

PPG Industries: Analysts’ Views and Recommendations

Analysts’ consensus for PPG Industries indicates a target price of $123.35, which implies a potential return of 5.80% over the closing price of $116.61 as of January 10, 2018. Analysts’ consensus target price has seen a remarkable jump from $115.50 in October to the current target price. It indicates that analysts are still bullish on the stock.

Only “buys” and “holds”

PPG Industries’ acquisition of Crown Group and the latest acquisition of wholesaler ProCoatings reiterates its commitment to expand its business. It has set aside $2.5 billion–$3.5 billion. The announcement of the new share repurchases program indicates a strong buyback of outstanding common shares. It will add more value to the remaining shareholders. As a result, analysts recommended to “buy” or “hold” PPG Industries.

Individual brokerage firms

  • Raymond James (RJF) rated PPG Industries as “outperform.” It suggested a target price of $139, which implies a return potential of 19.20% over the closing price of $116.61 as of January 10, 2018.
  • UBS (UBS) increased its target price for PPG Industries to $128, which implies a return potential of 9.75% over the closing price as of January 10, 2018.
  • JPMorgan Chase (JPM) recommended a target price of $120 for PPG Industries, which implies a return potential of 2.90% from the closing price as of January 10, 2018.

Investors can hold PPG Industries indirectly by investing in the Guggenheim S&P 500 Equal Weight Materials ETF (RTM). RTM has invested 3.80% of its portfolio in PPG Industries.