Back to top

PPG Industries (PPG) to Feature Coating Technologies at NAIAS

Read MoreHide Full Article

PPG Industries, Inc. (PPG - Free Report) will showcase its latest technical developments in coatings for autonomous, connected, electric and shared vehicles at North American International Auto Show (NAIAS) 2019, to be held at Cobo Center in Detroit from Jan 14 to 27.

Per PPG Industries, new technologies to be exhibited include Cathode coating for electric-vehicle batteries, PPG Envirocron Extreme Protection powder coating system; Visibility-enhancing coatings for autonomous driving; and Stackable functional coatings for vehicle interiors.

Cathode coating is a versatile and lucrative replacement for conventional cathode binders. Its safety advantages reduce mixing times by up to 90% and contribute to prolonged battery life.  PPG Envirocron Extreme Protection powder coating is a dual-coat system, which provides chip and corrosion resistant coatings for high-tensile automotive coil springs.

Moreover, Visibility-enhancing coatings improve autonomous vehicle sensor detection of other vehicles and obstacles. Its easy-clean and composite coatings keep lenses and sensors clear in adverse weather conditions.

In order to meet the requirement of modern mobility through innovative coatings, PPG Industries’ Stackable functional coatings enhance the look, feel, comfort and utility of interior surfaces for vehicle interiors. These coatings also feature anti-fingerprint and anti-glare coatings; transparent protective coatings; anti-reflective coatings; and soft-touch paints, which can combine into layered, pre-stacked solutions for the ease of application.

Additionally, PPG Industries will showcase “We Are” color collection for automotive models (2021 and beyond), which will represent the latest global consumer color trends. The company’s unique position as a color leader enables it to help customers with color identification and preferences for increase in brand difference.

PPG Industries has outperformed the industry in the past year. The company’s shares lost around 13.2% compared with 26.9% decline recorded by the industry.

 



PPG Industries stated in third-quarter 2018 earnings call that it expects 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 in the third quarter. It expects this volatility to persist in the fourth quarter. The company projects earnings per share of $1.03-$1.13 for the fourth quarter.

PPG Industries is executing cost-cutting and restructuring strategies. Moreover, it expects to achieve additional savings of around $20 million in the fourth quarter. Cost savings from restructuring efforts are likely to make a positive impact on the company.

PPG Industries also aims to boost shareholder returns, with cash deployment. The company expects to deploy roughly $1 billion in the fourth quarter on acquisitions and share repurchases. Moreover, acquisitions are likely to contribute to sales.

PPG Industries, Inc. Price and Consensus

 

Zacks Rank & Stocks to Consider

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

A few better-ranked stocks in the basic materials space are Ingevity Corporation (NGVT - Free Report) , Israel Chemicals Ltd. (ICL - Free Report) and Cameco Corporation (CCJ - Free Report) .

Ingevity’s shares have gained 18.5% in the past year. The company has an expected earnings growth rate of 21.5% for 2019 and it currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Israel Chemicals has an expected earnings growth rate of 2.7% for 2019 and a Zacks Rank #2 (Buy). The stock has rallied 31.4% in a year.

Cameco has an expected earnings growth rate of 20% for 2019 and a Zacks Rank #2. Its shares have gained 24.6% in a year.

More Stock News: This Is Bigger than the iPhone!

It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.

Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.

Click here for the 6 trades >>



More from Zacks Analyst Blog

You May Like

Published in