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PPG Industries Announced a Partnership with Powercast

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PPG Industries’ partnership

On November 12, PPG Industries (PPG) announced that it has entered into an agreement with Powercast to jointly develop ultra-thin wirelessly powered printed electronics products. The companies plan to introduce LED-based illumination solutions that are applied in consumer product packaging, smart identification cards, and others.

However, PPG Industries didn’t mention anything about the financial aspects of the partnership. Charles Greene Ph.D., Powercast’s chief operating and technology officer, said, “Powercast is excited to partner with PPG to deliver differentiation to the product packaging and secure credential markets. PPG Teslin substrate and the company’s conductive inks have great radio frequency (RF) characteristics, which complement Powercast’s long-range wireless power technology.”

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Stock price updates

PPG Industries stock remained flat with a marginal gain of 0.5% for the week. The stock closed at $107.17 on November 16. PPG Industries’ stock price gains helped the stock trade on par with its 100-day moving average price of $107.15.

On a year-to-date basis, PPG Industries stock has fallen 9.3%. Sherwin-Williams (SHW) and RPM International (RPM) have gained 3.4%  and 22.7%, respectively, while Axalta (AXTA) has fallen 24.0%. Analysts have marginally increased PPG Industries’ target price to $111.08–$112.08, which implies a potential return of 4.6% over its closing price on November 16.

Investors could hold PPG Industries indirectly by investing in the Guggenheim S&P 500 Equal Weight Materials ETF (RTM). RTM gained 1.0% during the week. RTM invests 4.1% of its portfolio in PPG Industries.

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