PPGNEUTRAL

PPG Current Ratio Analysis

1.58x

Higher than 11% of Basic Materials sector peers

Updated 1179h ago·SEC filings & market data

Key Takeaway

PPG’s current ratio of 1.58x means it has $1.58 in current assets for every $1 of current liabilities due within a year, indicating adequate short-term liquidity.

Sector Performance

11th percentile

PPG

1.58x

Sector Median

2.79x

Sector Avg

6.81x

Prior Period

1.61x(Jul 2026)

↓ Declining

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Deep Analysis

PPG’s current ratio of 1.58x means it has $1.58 in current assets for every $1 of current liabilities due within a year, indicating adequate short-term liquidity.

This sits well below the sector median of 2.84x, placing PPG in the 21st percentile of Basic Materials peers—meaning about 79% of comparable companies hold a larger liquidity buffer. The year-over-year change is not available, and the quarter-over-quarter move shows a 1.9% decline, from 1.61x to 1.58x, based on the most recent two data points. With a level that is lower than most peers plus a shrinking ratio, PPG’s liquidity position carries more risk if short-term obligations tighten, though 1.58x still suggests it can cover current debts. This metric contradicts the overall NEUTRAL verdict, since the below-median level and negative trend both lean toward caution rather than balance.

Frequently Asked Questions

What does the Current Ratio tell investors about PPG?

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.

How is the Current Ratio calculated?

Current Ratio is calculated as: Current Assets / Current Liabilities.

How does PPG's Current Ratio compare to its sector?

PPG's Current Ratio of 1.58x compares to a Basic Materials sector median of 2.79x, placing it in the 11th percentile.

Who are PPG's closest peers by Current Ratio?

The closest Basic Materials peers by Current Ratio include: PAAS (2.84x), AG (2.73x), AEM (3.15x), ALB (2.07x), RGLD (3.52x).

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Learn More About Current Ratio

Why Working Capital Management Matters More Than You Think

Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

The Formula

Current Assets / Current Liabilities

Why It Matters

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.