Intrinsic value of PPG Industries - PPG

Previous Close

$113.17

  Intrinsic Value

$91.19

stock screener

  Rating & Target

hold

-19%

  Value-price divergence*

+15%

Previous close

$113.17

 
Intrinsic value

$91.19

 
Up/down potential

-19%

 
Rating

hold

 
Value-price divergence*

+15%

*Intrinsic value change (in %) minus stock price change (in %) in the past 12 months.

We calculate the intrinsic value of PPG stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2016), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 29.0

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  -0.10
  2.00
  2.30
  2.57
  2.81
  3.03
  3.23
  3.41
  3.57
  3.71
  3.84
  3.95
  4.06
  4.15
  4.24
  4.31
  4.38
  4.44
  4.50
  4.55
  4.59
  4.64
  4.67
  4.70
  4.73
  4.76
  4.78
  4.81
  4.83
  4.84
  4.86
Revenue, $m
  14,751
  15,046
  15,392
  15,788
  16,232
  16,724
  17,264
  17,852
  18,488
  19,174
  19,910
  20,697
  21,537
  22,431
  23,382
  24,390
  25,459
  26,591
  27,787
  29,051
  30,386
  31,795
  33,280
  34,846
  36,495
  38,233
  40,062
  41,988
  44,014
  46,145
  48,387
Variable operating expenses, $m
 
  13,173
  13,468
  13,805
  14,183
  14,602
  15,062
  15,563
  16,105
  16,689
  17,316
  17,629
  18,345
  19,107
  19,916
  20,775
  21,686
  22,650
  23,669
  24,746
  25,883
  27,082
  28,347
  29,681
  31,086
  32,566
  34,124
  35,764
  37,490
  39,306
  41,216
Fixed operating expenses, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  13,905
  13,173
  13,468
  13,805
  14,183
  14,602
  15,062
  15,563
  16,105
  16,689
  17,316
  17,629
  18,345
  19,107
  19,916
  20,775
  21,686
  22,650
  23,669
  24,746
  25,883
  27,082
  28,347
  29,681
  31,086
  32,566
  34,124
  35,764
  37,490
  39,306
  41,216
Operating income, $m
  846
  1,873
  1,924
  1,983
  2,049
  2,122
  2,202
  2,289
  2,383
  2,485
  2,594
  3,068
  3,192
  3,325
  3,466
  3,615
  3,773
  3,941
  4,118
  4,306
  4,504
  4,712
  4,933
  5,165
  5,409
  5,667
  5,938
  6,223
  6,524
  6,839
  7,172
EBITDA, $m
  1,308
  2,499
  2,556
  2,622
  2,696
  2,777
  2,867
  2,965
  3,070
  3,184
  3,306
  3,437
  3,577
  3,725
  3,883
  4,051
  4,228
  4,416
  4,615
  4,825
  5,046
  5,280
  5,527
  5,787
  6,061
  6,349
  6,653
  6,973
  7,309
  7,663
  8,036
Interest expense (income), $m
  118
  133
  140
  148
  158
  169
  181
  194
  209
  224
  241
  259
  278
  299
  321
  344
  369
  395
  422
  452
  483
  515
  550
  586
  624
  665
  707
  752
  799
  849
  901
Earnings before tax, $m
  827
  1,740
  1,784
  1,834
  1,891
  1,953
  2,021
  2,095
  2,175
  2,261
  2,353
  2,809
  2,914
  3,026
  3,145
  3,271
  3,405
  3,546
  3,696
  3,854
  4,021
  4,197
  4,383
  4,579
  4,785
  5,002
  5,230
  5,471
  5,724
  5,991
  6,271
Tax expense, $m
  241
  470
  482
  495
  510
  527
  546
  566
  587
  610
  635
  758
  787
  817
  849
  883
  919
  958
  998
  1,041
  1,086
  1,133
  1,183
  1,236
  1,292
  1,350
  1,412
  1,477
  1,546
  1,617
  1,693
Net income, $m
  877
  1,270
  1,303
  1,339
  1,380
  1,425
  1,475
  1,529
  1,587
  1,650
  1,718
  2,050
  2,127
  2,209
  2,296
  2,388
  2,486
  2,589
  2,698
  2,814
  2,935
  3,064
  3,199
  3,342
  3,493
  3,651
  3,818
  3,994
  4,179
  4,373
  4,578

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  1,863
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  15,769
  14,181
  14,507
  14,880
  15,299
  15,762
  16,271
  16,825
  17,425
  18,071
  18,765
  19,507
  20,299
  21,142
  22,037
  22,988
  23,996
  25,062
  26,190
  27,381
  28,639
  29,967
  31,367
  32,842
  34,397
  36,035
  37,759
  39,574
  41,483
  43,492
  45,605
Adjusted assets (=assets-cash), $m
  13,906
  14,181
  14,507
  14,880
  15,299
  15,762
  16,271
  16,825
  17,425
  18,071
  18,765
  19,507
  20,299
  21,142
  22,037
  22,988
  23,996
  25,062
  26,190
  27,381
  28,639
  29,967
  31,367
  32,842
  34,397
  36,035
  37,759
  39,574
  41,483
  43,492
  45,605
Revenue / Adjusted assets
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
  1.061
Average production assets, $m
  4,796
  4,890
  5,002
  5,131
  5,275
  5,435
  5,611
  5,802
  6,009
  6,231
  6,471
  6,726
  6,999
  7,290
  7,599
  7,927
  8,274
  8,642
  9,031
  9,442
  9,876
  10,333
  10,816
  11,325
  11,861
  12,426
  13,020
  13,646
  14,304
  14,997
  15,726
Working capital, $m
  2,321
  1,113
  1,139
  1,168
  1,201
  1,238
  1,278
  1,321
  1,368
  1,419
  1,473
  1,532
  1,594
  1,660
  1,730
  1,805
  1,884
  1,968
  2,056
  2,150
  2,249
  2,353
  2,463
  2,579
  2,701
  2,829
  2,965
  3,107
  3,257
  3,415
  3,581
Total debt, $m
  4,416
  3,995
  4,237
  4,514
  4,825
  5,169
  5,546
  5,957
  6,403
  6,882
  7,397
  7,947
  8,535
  9,160
  9,825
  10,530
  11,278
  12,069
  12,906
  13,790
  14,723
  15,708
  16,747
  17,842
  18,996
  20,211
  21,490
  22,837
  24,254
  25,744
  27,312
Total liabilities, $m
  10,943
  10,522
  10,764
  11,041
  11,352
  11,696
  12,073
  12,484
  12,930
  13,409
  13,924
  14,474
  15,062
  15,687
  16,352
  17,057
  17,805
  18,596
  19,433
  20,317
  21,250
  22,235
  23,274
  24,369
  25,523
  26,738
  28,017
  29,364
  30,781
  32,271
  33,839
Total equity, $m
  4,826
  3,659
  3,743
  3,839
  3,947
  4,067
  4,198
  4,341
  4,496
  4,662
  4,841
  5,033
  5,237
  5,455
  5,686
  5,931
  6,191
  6,466
  6,757
  7,064
  7,389
  7,731
  8,093
  8,473
  8,874
  9,297
  9,742
  10,210
  10,703
  11,221
  11,766
Total liabilities and equity, $m
  15,769
  14,181
  14,507
  14,880
  15,299
  15,763
  16,271
  16,825
  17,426
  18,071
  18,765
  19,507
  20,299
  21,142
  22,038
  22,988
  23,996
  25,062
  26,190
  27,381
  28,639
  29,966
  31,367
  32,842
  34,397
  36,035
  37,759
  39,574
  41,484
  43,492
  45,605
Debt-to-equity ratio
  0.915
  1.090
  1.130
  1.180
  1.220
  1.270
  1.320
  1.370
  1.420
  1.480
  1.530
  1.580
  1.630
  1.680
  1.730
  1.780
  1.820
  1.870
  1.910
  1.950
  1.990
  2.030
  2.070
  2.110
  2.140
  2.170
  2.210
  2.240
  2.270
  2.290
  2.320
Adjusted equity ratio
  0.213
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258
  0.258

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  877
  1,270
  1,303
  1,339
  1,380
  1,425
  1,475
  1,529
  1,587
  1,650
  1,718
  2,050
  2,127
  2,209
  2,296
  2,388
  2,486
  2,589
  2,698
  2,814
  2,935
  3,064
  3,199
  3,342
  3,493
  3,651
  3,818
  3,994
  4,179
  4,373
  4,578
Depreciation, amort., depletion, $m
  462
  626
  632
  639
  647
  656
  665
  676
  687
  700
  713
  370
  385
  401
  418
  436
  455
  475
  496
  519
  543
  568
  594
  622
  652
  683
  715
  750
  786
  824
  864
Funds from operations, $m
  293
  1,896
  1,935
  1,978
  2,027
  2,081
  2,141
  2,205
  2,275
  2,350
  2,430
  2,420
  2,512
  2,609
  2,713
  2,823
  2,940
  3,064
  3,194
  3,332
  3,478
  3,632
  3,794
  3,965
  4,145
  4,334
  4,534
  4,744
  4,965
  5,197
  5,442
Change in working capital, $m
  -1,032
  22
  26
  29
  33
  36
  40
  44
  47
  51
  54
  58
  62
  66
  70
  75
  79
  84
  89
  94
  99
  104
  110
  116
  122
  129
  135
  142
  150
  158
  166
Cash from operations, $m
  1,325
  1,874
  1,909
  1,949
  1,994
  2,045
  2,101
  2,162
  2,228
  2,299
  2,376
  2,362
  2,450
  2,543
  2,643
  2,749
  2,861
  2,980
  3,106
  3,239
  3,379
  3,527
  3,684
  3,849
  4,022
  4,206
  4,398
  4,601
  4,815
  5,039
  5,276
Maintenance CAPEX, $m
  0
  -263
  -269
  -275
  -282
  -290
  -299
  -308
  -319
  -330
  -342
  -356
  -370
  -385
  -401
  -418
  -436
  -455
  -475
  -496
  -519
  -543
  -568
  -594
  -622
  -652
  -683
  -715
  -750
  -786
  -824
New CAPEX, $m
  -402
  -94
  -112
  -129
  -144
  -160
  -175
  -191
  -207
  -223
  -239
  -256
  -273
  -291
  -309
  -328
  -347
  -368
  -389
  -411
  -434
  -458
  -483
  -509
  -536
  -565
  -595
  -626
  -658
  -693
  -729
Cash from investing activities, $m
  436
  -357
  -381
  -404
  -426
  -450
  -474
  -499
  -526
  -553
  -581
  -612
  -643
  -676
  -710
  -746
  -783
  -823
  -864
  -907
  -953
  -1,001
  -1,051
  -1,103
  -1,158
  -1,217
  -1,278
  -1,341
  -1,408
  -1,479
  -1,553
Free cash flow, $m
  1,761
  1,517
  1,528
  1,546
  1,568
  1,595
  1,626
  1,662
  1,702
  1,746
  1,794
  1,750
  1,807
  1,868
  1,934
  2,004
  2,078
  2,158
  2,242
  2,332
  2,427
  2,527
  2,633
  2,746
  2,864
  2,989
  3,121
  3,260
  3,406
  3,561
  3,723
Issuance/(repayment) of debt, $m
  233
  208
  242
  277
  311
  344
  378
  411
  445
  480
  515
  551
  587
  625
  665
  705
  748
  791
  837
  884
  934
  985
  1,039
  1,095
  1,154
  1,215
  1,279
  1,347
  1,417
  1,491
  1,568
Issuance/(repurchase) of shares, $m
  -1,019
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from financing (excl. dividends), $m  
  -770
  208
  242
  277
  311
  344
  378
  411
  445
  480
  515
  551
  587
  625
  665
  705
  748
  791
  837
  884
  934
  985
  1,039
  1,095
  1,154
  1,215
  1,279
  1,347
  1,417
  1,491
  1,568
Total cash flow (excl. dividends), $m
  923
  1,725
  1,770
  1,822
  1,879
  1,939
  2,004
  2,073
  2,147
  2,226
  2,309
  2,301
  2,394
  2,494
  2,598
  2,709
  2,826
  2,949
  3,079
  3,216
  3,360
  3,512
  3,672
  3,841
  4,018
  4,204
  4,400
  4,607
  4,823
  5,051
  5,291
Retained Cash Flow (-), $m
  157
  -67
  -84
  -96
  -108
  -120
  -131
  -143
  -155
  -167
  -179
  -191
  -204
  -217
  -231
  -245
  -260
  -275
  -291
  -307
  -325
  -342
  -361
  -381
  -401
  -422
  -445
  -468
  -493
  -518
  -545
Prev. year cash balance distribution, $m
 
  1,234
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  2,892
  1,686
  1,726
  1,771
  1,820
  1,873
  1,930
  1,992
  2,059
  2,130
  2,109
  2,190
  2,276
  2,367
  2,464
  2,566
  2,674
  2,788
  2,908
  3,036
  3,170
  3,311
  3,460
  3,617
  3,782
  3,955
  4,138
  4,331
  4,533
  4,746
Discount rate, %
 
  4.30
  4.52
  4.74
  4.98
  5.23
  5.49
  5.76
  6.05
  6.35
  6.67
  7.00
  7.35
  7.72
  8.11
  8.51
  8.94
  9.39
  9.86
  10.35
  10.87
  11.41
  11.98
  12.58
  13.21
  13.87
  14.56
  15.29
  16.05
  16.86
  17.70
PV of cash for distribution, $m
 
  2,773
  1,543
  1,502
  1,458
  1,410
  1,359
  1,304
  1,245
  1,183
  1,117
  1,002
  935
  865
  795
  723
  652
  582
  513
  448
  386
  328
  275
  227
  184
  147
  115
  89
  67
  49
  36
Current shareholders' claim on cash, %
  100
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0

PPG Industries, Inc. manufactures and distributes a range of coatings and specialty materials. The Company has three segments: Performance Coatings, Industrial Coatings and Glass. The Performance Coatings segment includes the refinish, aerospace, protective and marine, architectural businesses. The Industrial Coatings segment includes the automotive original equipment manufacturer (OEM), industrial coatings, packaging coatings, coatings services and specialty coatings and materials businesses. The Glass segment includes the North American fiber glass business. The Company's geographical segments include the United States, Canada, Western Europe, Latin America, Central and Eastern Europe, the Middle East, Africa and Asia Pacific. The Company's brands include PPG, GLIDDEN, COMEX, OLYMPIC, DULUX, SIKKENS, PPG PITTSBURGH PAINTS, MULCO, FLOOD, LIQUID NAILS, SICO, CIL, RENNER, TAUBMANS, WHITE KNIGHT, BRISTOL, HOMAX, DEKORAL, TRILAK, GORI, and BONDEX, among others.

FINANCIAL RATIOS  of  PPG Industries (PPG)

Valuation Ratios
P/E Ratio 33.2
Price to Sales 2
Price to Book 6
Price to Tangible Book
Price to Cash Flow 22
Price to Free Cash Flow 31.6
Growth Rates
Sales Growth Rate -0.1%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -15.5%
Cap. Spend. - 3 Yr. Gr. Rate -4%
Financial Strength
Quick Ratio 3
Current Ratio 0.1
LT Debt to Equity 78.5%
Total Debt to Equity 91.5%
Interest Coverage 8
Management Effectiveness
Return On Assets 5.8%
Ret/ On Assets - 3 Yr. Avg. 9.4%
Return On Total Capital 9.5%
Ret/ On T. Cap. - 3 Yr. Avg. 16.2%
Return On Equity 17.9%
Return On Equity - 3 Yr. Avg. 29%
Asset Turnover 0.9
Profitability Ratios
Gross Margin 45.3%
Gross Margin - 3 Yr. Avg. 44.4%
EBITDA Margin 9.5%
EBITDA Margin - 3 Yr. Avg. 13.2%
Operating Margin 5.7%
Oper. Margin - 3 Yr. Avg. 9.1%
Pre-Tax Margin 5.6%
Pre-Tax Margin - 3 Yr. Avg. 8.9%
Net Profit Margin 5.9%
Net Profit Margin - 3 Yr. Avg. 9.9%
Effective Tax Rate 29.1%
Eff/ Tax Rate - 3 Yr. Avg. 23.5%
Payout Ratio 47.2%

PPG stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the PPG stock intrinsic value calculation we used $14751 million for the last fiscal year's total revenue generated by PPG Industries. The default revenue input number comes from 2016 income statement of PPG Industries. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our PPG stock valuation model: a) initial revenue growth rate of 2% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 4.3%, whose default value for PPG is calculated based on our internal credit rating of PPG Industries, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of PPG Industries.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of PPG stock the variable cost ratio is equal to 87.6%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for PPG stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 3.5% for PPG Industries.

Corporate tax rate of 27% is the nominal tax rate for PPG Industries. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the PPG stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for PPG are equal to 32.5%.

Life of production assets of 18.2 years is the average useful life of capital assets used in PPG Industries operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for PPG is equal to 7.4%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $4826 million for PPG Industries - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 256.46 million for PPG Industries is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of PPG Industries at the current share price and the inputted number of shares is $29.0 billion.

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COMPANY NEWS

▶ Should You Buy PPG Industries Inc (PPG)?   [Oct-16-17 06:17PM  Simply Wall St.]
▶ PPG Industries New Windshield Receives EASA Approval   [Oct-09-17 01:35PM  Market Realist]
▶ [$$] High Road Exits Crown Group in Sale to PPG   [Oct-03-17 01:22PM  The Wall Street Journal]
▶ PPG to Announce Third Quarter 2017 Results Oct. 19   [Sep-29-17 09:59AM  Business Wire]
▶ PPG to take hit in earnings from earthquakes, hurricanes   [Sep-25-17 02:37PM  American City Business Journals]
▶ PPG Announces Leadership Changes   [Sep-21-17 03:31PM  Business Wire]
▶ [$$] Shift From DIY Renovations Hurts Paint Profits   [Sep-10-17 07:00AM  The Wall Street Journal]
▶ [$$] Ailing Akzo Nobel Keeps Deal Talk Alive and Well   [Sep-08-17 11:41PM  The Wall Street Journal]
▶ [$$] Ailing Akzo Nobel Keeps Deal Talk Alive and Well   [08:05AM  The Wall Street Journal]
▶ Akzo's Real Warning   [07:33AM  Bloomberg]
▶ Dangerous Assumptions on Hurricane Harvey   [07:00AM  TheStreet.com]
▶ PPG Industries Stock So Far in 2017 Compared to Its Peers   [Aug-29-17 09:07AM  Market Realist]
▶ Why PPG Industries Is Trading at a Discount   [07:39AM  Market Realist]
▶ Wall Streets Views and Recommendations for PPG Industries   [Aug-28-17 02:06PM  Market Realist]
▶ PPG Industries Launched A New Product: TIMELESS   [Aug-21-17 09:43AM  Market Realist]
▶ [$$] Akzo Nobel, Elliott Make Peace After Protracted Spat   [Aug-17-17 11:06AM  The Wall Street Journal]
▶ [$$] Elliott Advisors: activism ascendant   [10:56AM  Financial Times]
▶ A Truce in Elliott's Paintball Fight   [07:17AM  Bloomberg]
▶ Akzo Nobel Shares Rise on Elliott Truce   [03:08AM  TheStreet.com]
▶ [$$] Elliott Loses Legal Battle Against Akzo Nobel   [01:52PM  The Wall Street Journal]
▶ PPG Is Looking Toppy Again   [Aug-01-17 01:47PM  TheStreet.com]
Financial statements of PPG
Valuation of Stocks

The paper VALUATION OF STOCKS: The Quest for Intrinsic Value provides a detailed description of our valuation model and discloses the calculation algorithm.

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