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PPG PAINTS Brand Announces Enhancement of Three Products

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PPG Industries’ (PPG - Free Report) PAINTS brand announced to enhance three new products that will help solve common job-site concerns for professionals, such as dirt resistance and flash rust resistance and augment customers’ experiences.

The new products include PPG Paints PERMA-CRETE PITT-FLEX elastomeric coating which offers a 100% acrylic formula that claims exceptional dirt resistance, as well as a flexible bond to prevent hairline cracks and protect against water infiltration to achieve uniform, pinhole-free jobs.

PPG Paints SPEEDHIDE PRO-EV ZERO coating provides excellent hide and coverage, adhesion, uniformity, and extensive color-matching capabilities with a zero-VOC (volatile organic compound) formula.

PPG Paints SUN-PROOF exterior latex house & trim paint offers resistance against cracking, peeling and flaking, even after exposure to challenging weather conditions. Along with it, the product’s flash rust resistance will prevent rust from items such as nail heads from spoiling  the surface.

PPG Industries’ shares have rallied around 3% over the past three months, outperforming the Zacks categorized Chemicals-Diversified industry’s 0.3% decline.



The company has a diversified business, both in terms of products offered and geographical presence. The company’s strong presence in emerging regions has enabled it to deliver growth to shareholders by tapping opportunities there. PPG Industries is also taking initiatives to expand its business through acquisitions.

PPG Industries has announced certain restructuring measures to lower its cost structure globally. Special emphasis will be put on regions and end-use markets with the weakest business. The restructuring actions are expected to deliver $120–$130 million in annual savings, with $40–$50 million of savings expected to be realized in 2017.

The company also has an impressive record of returning cash to shareholders through dividends and share buybacks. PPG Industries expects to deploy $2.5–$3.5 billion cash in acquisitions and share repurchases for 2017 and 2018 combined.

PPG Industries is however, exposed to unfavorable currency exchange translation. The company also continues to face macroeconomic challenges. It sees moderate growth in emerging economies in 2017. The company’s operating results are also exposed to the cost of raw materials and energy.

PPG Industries, Inc. Price and Consensus

Zacks Rank & Key Picks

PPG Industries currently carries a Zacks Rank #3 (Hold).

Some better-ranked companies in the chemical space include BASF SE (BASFY - Free Report) , The Chemours Company (CC - Free Report) and Kronos Worldwide Inc (KRO - Free Report) . All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

BASF has expected long-term growth of 8.6%.

Chemours has expected long-term growth of 15.5%.

Kronos has expected long-term growth of 5%.

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