PPGNEUTRAL

PPG Return on Equity (ROE) Analysis

19.3%

Higher than 75% of Basic Materials sector peers

Updated 57h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; PPG’s 19.3% means it earns $0.193 per $1 of equity.

Sector Performance

75th percentile

PPG

19.3%

Sector Median

12.5%

Sector Avg

12.6%

Prior Period

20.7%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; PPG’s 19.3% means it earns $0.193 per $1 of equity.

That beats the Basic Materials sector median of 12.5%, placing PPG in the 71th percentile among peers. The year-over-year change is N/A, while the quarter-over-quarter change is -6.8%, with historical values showing a drop from 20.7% to 19.3%. This combination—high current profitability above most peers but a recent decline—suggests modest downside risk if the downward trend continues, though the level remains strong. The metric supports the overall NEUTRAL verdict, as the high level justifies attention but the negative momentum tempers enthusiasm.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about PPG?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does PPG's Return on Equity (ROE) compare to its sector?

PPG's Return on Equity (ROE) of 19.3% compares to a Basic Materials sector median of 12.5%, placing it in the 75th percentile.

Who are PPG's closest peers by Return on Equity (ROE)?

The closest Basic Materials peers by Return on Equity (ROE) include: MAG (12.5%), RGLD (12.0%), AEM (18.0%), AG (6.1%), BHP (24.7%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.