PPG Industries (PPG)
Key Statistics
EV/EBIT = 15x
ROE = 19.1%
Debt/Equity = 94%
FCF Yield = 2.4%
Dividend Yield = 2.6%
Market Cap = $23.58 billion
The Company
PPG Industries is a global manufacturer of paints, coatings, and specialty materials, serving a wide range of industries, including aerospace, automotive, construction, and industrial applications. With a history that spans over 140 years, the company has grown from a small glass manufacturer into one of the world's largest suppliers of coatings and specialty materials.
The company was founded in 1883 as Pittsburgh Plate Glass Company in Creighton, Pennsylvania, by Captain John Baptiste Ford and John Pitcairn Jr. At the time, high-quality plate glass was difficult to obtain in the United States, and most had to be imported from Europe. PPG became the first successful American manufacturer of plate glass, significantly lowering costs and increasing availability. Over the next several decades, PPG expanded its product offerings and began innovating in glassmaking, coatings, and chemicals.
During the early 20th century, the company diversified its business and entered the coatings industry, developing paints for automotive applications. PPG played a crucial role during both World Wars by supplying glass and coatings for military vehicles, aircraft, and other essential equipment. After the wars, PPG capitalized on the booming economy and rapid industrial growth, expanding into new markets such as industrial coatings, fiberglass, and specialty chemicals.
In 1968, recognizing that its business had evolved far beyond glass manufacturing, the company officially changed its name from Pittsburgh Plate Glass Company to PPG Industries. This shift marked the beginning of an aggressive global expansion, with the company acquiring businesses and investing in research and development to strengthen its position as a leader in the coatings industry. Throughout the 1970s and 1980s, PPG became a dominant force in automotive and industrial coatings, acquiring companies such as Ditzler Color and Sigma Coatings. By the early 2000s, PPG had fully transitioned away from glass manufacturing and focused on coatings, divesting its glass and chemical businesses to solidify its position as a coatings leader.
PPG continued its expansion with major acquisitions such as SigmaKalon in 2008 and AkzoNobel’s North American coatings division in 2013, further strengthening its global market share. Today, PPG operates in more than 70 countries and is a leader in developing innovative and sustainable coatings for a variety of industries. In December 2024, the company made a strategic decision to sell its U.S. and Canada architectural coatings business, allowing it to focus on its core strengths in performance and industrial coatings while maintaining its architectural coatings business in Latin America, Asia Pacific, Europe, the Middle East, and Africa.
PPG is currently structured into three main business segments: Global Architectural Coatings, Performance Coatings, and Industrial Coatings.
