Update shared on 22 Nov 2025
Fair value Decreased 1.16%The analyst consensus price target for PPG Industries has decreased modestly from $121.20 to $119.80, as analysts cite ongoing cyclical weakness in key end markets and note that a softer macroeconomic environment is pressuring near-term earnings expectations.
Analyst Commentary
Recent analyst notes reflect a mix of optimism about PPG Industries' long-term potential and caution regarding near-term pressures. The following summarizes prevailing viewpoints across the Street:
Bullish Takeaways- Bullish analysts highlight that PPG's current valuation appears more depressed than warranted by underlying business fundamentals. This suggests room for multiple expansion as conditions normalize.
- Expectations remain that cyclical headwinds, rather than structural issues, are currently weighing on earnings. There is potential for accelerated profit growth as macroeconomic factors improve, particularly from 2026 onward.
- Long-term outlooks remain positive, as the company’s core demand patterns are viewed as resilient despite recent softness in select end markets.
- Some positive ratings reflect confidence in management’s ability to execute through volatility and preserve shareholder value during downturns.
- Bearish analysts are lowering price targets in response to persistent weakness across several industrial and commodity-linked end markets. This reflects cautious short-term sentiment.
- Macro uncertainty is cited as a key risk, with inconsistent industrial demand and commodity business slippage contributing to earnings pressure.
- Recent updates indicate that hopes for stronger Q4 seasonality have faded, which is dampening near-term growth expectations.
- There is concern that a subdued macro environment may continue to act as a drag on results, at least through the remainder of the year.
What's in the News
- PPG Industries has introduced an ultrafiltration (UF) antifouling membrane designed for industrial water treatment, featuring a super-hydrophobic surface to resist oil and contaminant fouling and produced without intentionally added PFAS. (Key Developments)
- The company completed a buyback of 6,002,071 shares, representing 2.63% of shares outstanding, totaling $690 million under the repurchase program announced in April 2024. (Key Developments)
- PPG launched PPG ENVIROCRON Extreme Protection Edge Plus, a patent-pending powder coating that advances edge-protection technology, offering improved corrosion resistance and a smoother finish for industrial applications. (Key Developments)
- PPG unveiled MIX'N'SHAKE, an automated paint stirring system for automotive refinish, which increases color accuracy, reduces waste, and saves time for body shops. (Key Developments)
- Solera and PPG formed a strategic partnership to integrate PPG's automotive refinish coatings with Solera's Sustainable Estimatics platform, enabling body shops to track and manage their CO2 emissions per repair. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has decreased slightly from $121.20 to $119.80.
- Discount Rate has risen marginally from 7.90% to 8.04%.
- Revenue Growth estimate is nearly unchanged, moving fractionally from 2.98% to 2.98%.
- Net Profit Margin estimate has declined slightly from 11.46% to 11.44%.
- Future P/E has increased from 15.75x to 16.65x.
Disclaimer
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