PPG Industries (PPG) just posted third quarter 2026 results, reporting sales of US$4,353 million and basic earnings per share from continuing operations of US$2.13, while net income remained close to last year’s level.
PPG Industries’ latest earnings arrived amid a sharp swing in sentiment, with the share price up 15.30% over the past month and 16.19% year to date, yet slipping 2.92% on the day. The 1-year total shareholder return of 31.07% contrasts with a 5-year total shareholder loss of 16.79%, suggesting that recent momentum is building off a much weaker long-run base.
Scan how PPG Industries compares with other materials stocks showing resilient momentum and fundamentals in our hand-picked list of solid balance sheet and fundamentals (23 results)
After a sharp rebound in PPG Industries’ share price and only modest changes in reported earnings, buying after this run-up looks very different to buying six months ago. Is it worth paying today’s price, or would it be better to wait for a cleaner entry point?
Most Popular Narrative: 6% Undervalued
On the latest narrative, PPG Industries' fair value of $129.41 sits above the recent $121.24 close. This puts the current rebound in a different light for anyone weighing fresh capital.
The main thing that has to go right is that PPG Industries continues to execute on pricing and structural cost reductions, including the planned European plant closures and targeted structural savings in 2026 and 2027, so that higher value coatings and volume growth translate into sustained profitability.
See why 44 investors see PPG Industries as 6% undervalued.
Result: Fair Value of $129.41 (UNDERVALUED)
Still, the story for PPG Industries can change quickly if auto production stays weak in the U.S. and Europe, or if raw material inflation keeps outpacing indexed pricing.
Find out about the key risks to this PPG Industries narrative.
Next Steps
Mixed signals on PPG Industries and its valuation story are clear, so move quickly to review the full picture yourself, then weigh the 5 key rewards and 1 important warning sign.
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