PPGNEUTRAL

PPG P/E Ratio Analysis

15.7x

Higher than 36% of Basic Materials sector peers

Updated 57h ago·SEC filings & market data

Key Takeaway

The P/E ratio of 15.7x means investors pay $15.70 for every $1.00 of the company's annual earnings per share; it is a standard gauge of how expensive a stock is relative to its profitability.

Sector Performance

36th percentile

PPG

15.7x

Sector Median

17.1x

Sector Avg

20.2x

Prior Period

15.7x(Jul 2026)

→ Stable

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Deep Analysis

The P/E ratio of 15.7x means investors pay $15.70 for every $1.00 of the company's annual earnings per share; it is a standard gauge of how expensive a stock is relative to its profitability.

This is below the sector median of 17.1x, placing PPG in the 36th percentile among Basic Materials peers, so the stock trades cheaper than most comparable companies. The trend data is limited: the year-over-year change is N/A, while the quarter-over-quarter change is a small +0.3%, moving from 15.7x to 15.7x. Because the metric shows no meaningful shift and sits modestly below the sector norm, the valuation appears stable without signaling a dramatic bargain or an overheated price. This combination implies moderate investment risk, as the stock is neither priced for high growth nor deeply discounted. The P/E ratio supports the overall NEUTRAL verdict, as it aligns with a fairly valued, steady profile rather than a clear over- or under-valuation.

Frequently Asked Questions

What does the P/E Ratio tell investors about PPG?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does PPG's P/E Ratio compare to its sector?

PPG's P/E Ratio of 15.7x compares to a Basic Materials sector median of 17.1x, placing it in the 36th percentile.

Who are PPG's closest peers by P/E Ratio?

The closest Basic Materials peers by P/E Ratio include: AEM (18.4x), CDE (15.8x), SILV (19.6x), KGC (13.3x), BHP (10.6x).

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.