Buying PPG Industries, Inc. (NYSE:PPG) Stock Now May Be A Safer Move

Taking into account all relevant factors, PPG Industries, Inc. (NYSE:PPG) scores 56.% Buy on the technical side. The share price is also flashing a Sell from the Barchart TrendSpotter trading system. Investors starting out on a short-term path of investing should know that short terms indicators for PPG averaged 50% Buy with an average daily trading volume over the past 20 days at 1297737 shares. Those using medium-term investment strategies, the shares have overall a 0.5% Buy signal while the 50-day average daily volume remained almost 1241957 shares. It’s also important to note that the stock, whose average daily volume over the 100 days as of this piece was 1216782 shares, is signaling100% Buy for long term investors.

The stock is lingering around the initial support level of $129.52. After this, the following support is at the zone of $128.29. Up until the time the PPG stock hit levels beyond the current one, bulls should have no alarm. In terms of its momentum, the stock’s RSI hit 35.94 on the daily chart, and this may be a cause for comfort. In case the price goes below $128.29 level on closing basis, there may be more profit booking with the stock growing weaker. Still, getting to the $131.92 level may cause a pull-back move approaching $133.1 mark.

PPG Industries, Inc. (PPG) is most likely going to rise 6.54 percent in the coming 12 months, as per price target approximations compiled by finviz. Nevertheless, they have set the price target at a $155 as 12-month high price target. This represents a whopping 22.37 percent increase from the current trading price of shares. The 52-week median price target given by the analysts is $137, which means a return possibility of 8.16 percent in comparison with the closing price of the stock of $126.67 in recent trading session. The lowest price set for the stock is $113 which is just above -10.79 percent from PPG share’s price at the end of session.

Let’s take a glimpse at some insider activity at PPG Industries, Inc. (NYSE:PPG) and observe the pattern. The earliest insider trade happened on 11/06/2019. MCGARRY MICHAEL H parted with a total of 30.45 thousand shares of the firm at average share price of $130. The total amount for the sale was set at $3.96 million. On completing this exchange, the Chairman of the Board and CEO account balance was 134.16 thousand shares. The stock lost -2.47 percent from that insider sale. On 10/21/2019, MCGARRY MICHAEL H, Chairman of the Board and CEO, did a sale of 11.92 thousand shares at a price of $125 per share. This got rid of 1.49 million shares from the insider’s fortune and the stock experienced a 1.43 percent rally in price since the news became public. This exchange saw 134.17 thousand shares get out from the Chairman of the Board and CEO account. On 09/19/2019, Chairman of the Board and CEO MCGARRY MICHAEL H recorded a sale transaction valued at $1.44 million. The sale at $120 a share has eliminated 12 thousand shares from the insider’s portfolio position. Meanwhile, shares price witnessed 5.66 percent increase since the transaction reporting date. The company insider is left with 134.18 thousand shares remaining in the account. RAMAPRASAD VADLAMANNATI, who works as Sr. VP, Protect. & Marine Ctgs at the company, performed a sale of 13.9 thousand shares in a transaction worth $1.63 million. The disposal recorded on 07/22/2019 was priced at $117.12 per share. The stock price soared 8.26 percent since the transaction. RAMAPRASAD VADLAMANNATI currently holds a stake of 22.91 thousand in PPG stock which is worth $2.9 million after the insider selling.

In the recent trading session, PPG Industries, Inc. (NYSE:PPG) shares lost -3.11% or -4.07 points to reach at $126.67 with a thin trading volume of 1.016 million shares. It opened the trading session at $129.71, the shares rose to $131.88 and dropped to $129.475, the range by which the price of stock traded the whole session. The company now has a market cap of $31.1 billion and currently has 237.52 million outstanding shares. PPG Industries, Inc. (PPG) stock has plunged -1.71 percent of market value in 21 trading days.

Stock analysts at Berenberg, assumed coverage of shares of PPG Industries, Inc. (NYSE:PPG) with Buy recommendation, according to their opinion released on November 06. Analysts at JP Morgan issued an upgrade for the stock to Neutral from previous rating of Underweight, in a research note that dated back to October 18.

PPG stock’s trailing 3-year beta is 1.24, meaning there will be a greater rate of return, although posing a higher risk. The part of a firm’s profit given to each outstanding share of regular stock was $5.05 share in the trailing 52 weeks. The stock’s value fallen -2.06 percent year to date (YTD) compared to a rise of 29.45 percent in 52 week’s period. The firm’s shares are still trading -5.72 percent below its 1-year high of $134.36 and 25.57 percent up from 52-week low of $100.87. The average consensus ranking on the company is 2.4, on a ranging where 5 is equal to a consensus sell rating. In other words, the mean analyst recommendations are ranking this stock as a sell.

PPG Industries, Inc. (PPG) shares are trading at a P/E ratio of 25.27 times earnings posted in the trailing 12 months. The industry PPG deals with has an average P/E of 32.05. Its P/B ratio is standing at 5.78X compared to the 8.34 industry average. It is additionally sporting a 1.85 on the Price-to-Sales ratio, compared to the industry’s P/S average of 0.37. PPG Industries, Inc. has a 42.4% gross profit margin, with its operating margin around 10.7%. Alongside this, the company’s net profit margin currently stands at 8%.

Past records have indicated that shares in PPG Industries, Inc. rose on 25 different earnings reaction days and we have yet to see whether this trend will play out and remain in place when the company reports upcoming earnings. Investors will get the next hint of PPG’s Q4 earnings on January 20. Analysts are predicting revenue to climb 1.1 percent to $3.69B in the financial fourth quarter, while EPS will soar by about 16.52 percent to $1.34 per share. In the last quarter, it’s earnings of $1.67 per share came better than the $1.20918, adjusted, expected by Thomson Reuters consensus estimate. Revenue for the quarter was $3.83B, missing the $3.89B analysts had expected. Earnings are seen to rise by -8.4 percent this year, 9.55 percent in the coming year and the trend continues by 8.31 percent every year in the next 5 years.