PPG Industries, Inc. (PPG - Free Report) introduced PPG Novaguard 810 ER coating for the U.S. and Canada marine markets. The coating protects ballast tanks, fuel tanks, and the internal and external superstructures of tugs and barges. The product’s single-coat and direct-to-metal formulation delivers fast application times and faster return to service after coating, with touch-up using epoxy thin-film.
Novaguard 810 ER is a solvent-free, amine rapid-cured novolac epoxy coating. It offers high build with superior edge retention, and enables smooth finish for easy cleaning and inspection. Its single-coat coverage allows to wet film thickness of more than 50 mils without sagging, curtaining or running. The coating also offers optically active pigment (OAP) technology, which enables detection of non-destructive ultraviolet (UV) light.
Additionally, PPG Industries has recently launched high-performance coating, PPG Sigmashield 880 for the U.S. and Canada offshore markets. The multipurpose and surface-tolerant epoxy coating protects assets in extreme marine environments and all kinds of offshore support vessels.
Novaguard 810 ER coating offers customers cost savings with high performance, enabling them to work their assets harder along with assuring prolonged service life.
PPG Industries has outperformed the industry in the past year. The company’s shares have lost around 7.9% compared with roughly 20.8% decline of the industry.
In its third-quarter earnings call, PPG Industries stated that it sees normal business seasonality in the fourth quarter. It also expects overall global economic growth to remain positive. The company witnessed higher industrial production volatility and inconsistency in emerging region growth rates during the third quarter and expects this to persist in the fourth quarter. The company projects fourth-quarter earnings per share of $1.03-$1.13.
PPG Industries’ Performance Coatings segment sales rose more than 2% at constant currency in the third quarter, as higher selling prices more than offset the modest decline in sales volumes. The company’s Industrial Coatings segment saw a year-over-year uptick in sales. However, net income at both the segments declined year over year due to raw-material and logistics cost inflation.
PPG Industries, Inc. Price and Consensus
Zacks Rank & Stocks to Consider
PPG Industries currently carries a Zacks Rank #4 (Sell).
A few better-ranked stocks in the basic materials space include CF Industries Holdings, Inc (CF - Free Report) , Methanex Corporation (MEOH - Free Report) and The Mosaic Company (MOS - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
CF Industries has an expected long-term earnings growth rate of 6%. The company’s shares have risen 13.6% in the past year.
Methanex has an expected long-term earnings growth rate of 15%. Its shares have gained 3.3% in a year’s time.
Mosaic has an expected long-term earnings growth rate of 7%. The company’s shares have rallied 45.4% in the past year.
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