Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. Trade-Ideas LLC identified PPG Industries ( PPG) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified PPG Industries as such a stock due to the following factors:
- PPG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $110.5 million.
- PPG has traded 44,460 shares today.
- PPG is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in PPG with the Ticky from Trade-Ideas. See the FREE profile for PPG NOW at Trade-Ideas More details on PPG: PPG Industries, Inc. manufactures and distributes coatings, optical and specialty materials, and glass products. The company operates in five segments: Performance Coatings, Industrial Coatings, Architectural Coatings, Optical and Specialty Materials, and Glass. The stock currently has a dividend yield of 1.3%. PPG has a PE ratio of 26.2. Currently there are 10 analysts that rate PPG Industries a buy, no analysts rate it a sell, and 4 rate it a hold. The average volume for PPG Industries has been 643,800 shares per day over the past 30 days. PPG has a market cap of $28.3 billion and is part of the basic materials sector and chemicals industry. The stock has a beta of 1.26 and a short float of 0.8% with 2.17 days to cover. Shares are up 6.8% year-to-date as of the close of trading on Thursday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreetRatings.com Analysis: TheStreet Quant Ratings rates PPG Industries as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, good cash flow from operations and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Highlights from the ratings report include:
- PPG's revenue growth has slightly outpaced the industry average of 7.1%. Since the same quarter one year prior, revenues rose by 17.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The current debt-to-equity ratio, 0.57, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.33, which illustrates the ability to avoid short-term cash problems.
- PPG INDUSTRIES INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, PPG INDUSTRIES INC increased its bottom line by earning $6.94 versus $4.69 in the prior year. This year, the market expects an improvement in earnings ($9.44 versus $6.94).
- 42.49% is the gross profit margin for PPG INDUSTRIES INC which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 34.70% significantly outperformed against the industry average.
- Net operating cash flow has significantly increased by 283.14% to $163.00 million when compared to the same quarter last year. In addition, PPG INDUSTRIES INC has also vastly surpassed the industry average cash flow growth rate of -1.65%.
- You can view the full PPG Industries Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.