Latest Ratios: P/E Ratio 15.6x · EV/EBITDA 10.8x · ROE 92.2%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $24.0B | $23.3B | $28.1B | $35.5B | $29.8B | $41.3B | $34.3B | $31.8B | $25.1B | $30.1B | $25.3B |
| Enterprise Value | $29.2B | $28.6B | $33.2B | $40.6B | $36.4B | $47.7B | $39.1B | $36.4B | $29.2B | $32.8B | $27.9B |
| P/E Ratio → | 15.57 | 14.81 | 25.15 | 27.95 | 29.11 | 28.69 | 32.41 | 25.57 | 18.72 | 18.90 | 28.89 |
| P/S Ratio | 1.51 | 1.47 | 1.77 | 2.18 | 1.91 | 2.46 | 2.48 | 2.10 | 1.63 | 2.04 | 1.78 |
| P/B Ratio | — | — | 4.03 | 4.42 | 4.45 | 6.44 | 5.90 | 5.89 | 5.30 | 5.31 | 5.16 |
| P/FCF | 20.60 | 20.01 | 40.14 | 18.72 | 62.55 | 34.66 | 18.79 | 19.07 | 23.76 | 24.93 | 27.45 |
| P/OCF | 12.34 | 11.99 | 19.76 | 14.71 | 30.98 | 26.43 | 16.11 | 15.29 | 17.10 | 19.21 | 19.12 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.80 | 2.09 | 2.50 | 2.33 | 2.84 | 2.83 | 2.40 | 1.90 | 2.23 | 1.96 |
| EV / EBITDA | 10.84 | 10.59 | 11.94 | 15.92 | 16.78 | 21.25 | 17.08 | 14.83 | 12.38 | 13.27 | 17.15 |
| EV / EBIT | 13.48 | 12.49 | 15.85 | 20.95 | 23.90 | 24.66 | 26.06 | 20.32 | 16.12 | 15.56 | 30.90 |
| EV / FCF | — | 24.55 | 47.47 | 21.41 | 76.26 | 40.09 | 21.41 | 21.85 | 27.65 | 27.17 | 30.27 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 38.0% | 38.0% | 41.6% | 40.4% | 36.1% | 38.8% | 43.8% | 42.9% | 41.5% | 44.3% | 46.3% |
| Operating Margin | 13.7% | 13.7% | 14.4% | 12.5% | 10.7% | 10.0% | 12.9% | 12.8% | 12.1% | 13.7% | 8.3% |
| Net Profit Margin | 9.9% | 9.9% | 7.0% | 7.8% | 6.6% | 8.6% | 7.7% | 8.2% | 8.7% | 10.8% | 6.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 92.2% | 92.2% | 14.9% | 17.2% | 15.6% | 23.5% | 18.9% | 24.5% | 25.8% | 30.1% | 17.5% |
| ROA | 11.5% | 11.5% | 5.4% | 6.0% | 4.9% | 7.0% | 5.7% | 7.4% | 8.2% | 9.9% | 5.3% |
| ROIC | 23.5% | 23.5% | 13.6% | 11.6% | 9.6% | 10.8% | 12.9% | 15.5% | 16.2% | 19.0% | 11.5% |
| ROCE | 24.8% | 24.8% | 14.7% | 12.5% | 10.2% | 10.8% | 12.7% | 15.6% | 15.3% | 16.7% | 10.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 0.92 | 0.82 | 1.14 | 1.16 | 1.14 | 1.08 | 1.06 | 0.73 | 0.90 |
| Debt / EBITDA | 2.76 | 2.76 | 2.30 | 2.59 | 3.52 | 3.32 | 2.89 | 2.38 | 2.13 | 1.68 | 2.71 |
| Net Debt / Equity | — | — | 0.74 | 0.64 | 0.97 | 1.01 | 0.82 | 0.86 | 0.87 | 0.48 | 0.53 |
| Net Debt / EBITDA | 1.96 | 1.96 | 1.84 | 2.00 | 3.01 | 2.88 | 2.09 | 1.88 | 1.74 | 1.10 | 1.59 |
| Debt / FCF | — | 4.54 | 7.33 | 2.69 | 13.70 | 5.42 | 2.62 | 2.78 | 3.90 | 2.24 | 2.81 |
| Interest Coverage | 9.49 | 9.49 | 8.68 | 7.84 | 9.11 | 16.00 | 10.87 | 13.58 | 15.35 | 20.10 | 7.23 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.62 | 1.62 | 1.31 | 1.47 | 1.52 | 1.42 | 1.41 | 1.41 | 1.36 | 1.66 | 1.55 |
| Quick Ratio | 1.22 | 1.22 | 0.94 | 1.09 | 1.04 | 0.97 | 1.05 | 1.02 | 0.96 | 1.22 | 1.19 |
| Cash Ratio | 0.45 | 0.45 | 0.27 | 0.31 | 0.24 | 0.22 | 0.40 | 0.29 | 0.22 | 0.38 | 0.44 |
| Asset Turnover | — | 1.99 | 0.82 | 0.75 | 0.75 | 0.79 | 0.71 | 0.86 | 0.96 | 0.89 | 0.90 |
| Inventory Turnover | 4.93 | 4.93 | 5.01 | 5.00 | 4.39 | 4.74 | 4.48 | 5.06 | 5.05 | 4.75 | 5.06 |
| Days Sales Outstanding | — | 76.70 | 68.76 | 67.58 | 77.21 | 68.47 | 71.92 | 66.42 | 67.54 | 71.85 | 67.88 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.6% | 2.7% | 2.2% | 1.7% | 1.9% | 1.3% | 1.4% | 1.5% | 1.8% | 1.4% | 1.6% |
| Payout Ratio | 39.8% | 39.8% | 55.7% | 47.1% | 55.6% | 37.2% | 46.8% | 37.7% | 33.8% | 27.2% | 47.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.4% | 6.8% | 4.0% | 3.6% | 3.4% | 3.5% | 3.1% | 3.9% | 5.3% | 5.3% | 3.5% |
| FCF Yield | 4.9% | 5.0% | 2.5% | 5.3% | 1.6% | 2.9% | 5.3% | 5.2% | 4.2% | 4.0% | 3.6% |
| Buyback Yield | 3.3% | 3.4% | 2.7% | 0.2% | 0.6% | 0.5% | 0.0% | 1.0% | 6.9% | 2.7% | 4.1% |
| Total Shareholder Yield | 5.9% | 6.1% | 4.9% | 1.9% | 2.5% | 1.8% | 1.4% | 2.5% | 8.7% | 4.1% | 5.8% |
| Shares Outstanding | — | $227M | $235M | $237M | $237M | $239M | $238M | $238M | $245M | $258M | $267M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying PPG stock.
PPG Industries, Inc.'s current P/E ratio is 15.6x. The historical average is 19.6x. This places it at the 38th percentile of its historical range.
PPG Industries, Inc.'s current EV/EBITDA is 10.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.1x.
PPG Industries, Inc.'s return on equity (ROE) is 92.2%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 27.0%.
Based on historical data, PPG Industries, Inc. is trading at a P/E of 15.6x. This is at the 38th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
PPG Industries, Inc.'s current dividend yield is 2.57% with a payout ratio of 39.8%.
PPG Industries, Inc. has 38.0% gross margin and 13.7% operating margin. Operating margin between 10-20% is typical for established companies.
PPG Industries, Inc.'s Debt/EBITDA ratio is 2.8x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Cyclical end-market exposure
Metrics are mathematically derived from official filings.
Margin Resilience Amid Cost Pressures
Gross margin expanded to 40.2% in Q2 2026 from 37.4% in Q4 2025, yet remains below the 43.3% peak of Q1 2024, indicating partial recovery. According to reported figures, operating margin improved to 14.1%, but still trails the 16.4% seen in Q2 2024.
The sequential gross margin improvement suggests that pricing discipline and raw material stabilization are taking hold, but the gap from the 2024 peak implies that input cost volatility and mix shifts continue to weigh on profitability. Operating margin recovery is slower, reflecting under-absorbed overhead in cyclical segments. Investors should monitor the price/mix versus raw material spread as the key swing factor for near-term margin expansion.
Return on Capital Trails Peers
ROIC averaged roughly 3.4% over the last ten quarters, well below the 11-17% range of key peers like Sherwin-Williams and Axalta. Based on reported figures, ROE fluctuated between -3.7% and 16.2%, highlighting cyclicality and the impact of one-off charges.
The persistently low ROIC relative to peers suggests that PPG's capital base, inflated by goodwill from acquisitions, is not generating commensurate returns. The wide swings in ROE, including a negative quarter in Q4 2024, point to earnings volatility rather than a stable compounding machine. Management's portfolio optimization, including the potential divestiture of the architectural business, could improve returns by reallocating capital to higher-margin specialty segments.
Working Capital Efficiency Shows Strain
DSO rose to 77 days in Q2 2026 from 70 days in Q1 2024, while DIO remained elevated at 74 days, per financial statements. The cash conversion cycle, when available, averaged around 11 days, but data gaps obscure the full trend.
The lengthening DSO suggests that PPG is extending credit terms to customers, possibly to support volume in a soft demand environment, which ties up cash and increases credit risk. DIO stability indicates inventory management is holding, but the combination of higher receivables and inventory relative to payables may pressure free cash flow. The quarterly CCC data is incomplete, so investors should monitor working capital trends closely, especially as cyclical headwinds persist.
Leverage Eases but Coverage Remains Thin
Debt-to-equity improved to 0.87 in Q2 2026 from 1.11 in Q1 2025, while interest coverage rose to 8.42x from 1.18x in Q4 2024, according to reported figures. However, D/EBITDA remains elevated at 9.69x, far above the 8.79x low in Q2 2024.
The deleveraging trend is positive, but the high D/EBITDA multiple suggests that EBITDA generation is still recovering from cyclical troughs, making debt service less comfortable than the coverage ratio alone implies. The Q4 2024 interest coverage of 1.18x was a clear red flag, and while it has improved, the absolute debt level of $7.5B remains substantial. Investors should monitor whether the potential divestiture of the architectural business could accelerate debt reduction and lower leverage to more sustainable levels.
Liquidity Buffer Comfortable but Seasonal
Current ratio improved to 1.58 in Q2 2026 from 1.31 in Q4 2024, with quick ratio at 1.15, per reported data. Cash of $1.5B provides a cushion, but the negative FCF in Q1 2026 highlights seasonal working capital swings.
The liquidity position appears adequate to cover short-term obligations, but the reliance on inventory (quick ratio below 1.2) suggests that a sudden demand shock could strain liquidity if inventory becomes difficult to monetize. The seasonal pattern of negative FCF in Q1, followed by positive in Q2, indicates that PPG manages working capital cycles, but the buffer is not excessive. Under a severe downturn, the current ratio could deteriorate quickly, especially if receivables collection slows further.
Misapplied Metric: EV/EBITDA
EV/EBITDA of 11.32x appears reasonable versus peers, but it understates PPG's true leverage because EBITDA excludes significant restructuring charges and amortization from acquisitions. According to reported figures, D/EBITDA of 9.69x reveals a more strained balance sheet than the multiple suggests.
The market often uses EV/EBITDA to compare PPG to specialty chemical peers, but this metric fails to capture the recurring nature of PPG's 'business optimization' costs and the heavy intangible amortization from deals like Tikkurila. A more appropriate measure would be EV/EBITDAR or EV/EBIT, which adjusts for these non-cash and non-recurring items, providing a clearer picture of operating earnings power. Additionally, investors should consider net debt to EBITDA, which at 9.69x is significantly higher than the headline EV/EBITDA, indicating that the company is more leveraged than it appears.