PPG Industries, Inc.
PPG
announced the completion of the acquisition of the global coatings manufacturer, Ennis-Flint.
Ennis-Flint is a leading provider of pavement markings and traffic safety solutions. The product portfolio is vast including traffic paint, thermoplastics, pavement markers and transportation systems.
It has roughly 1000 employees worldwide, with manufacturing facilities in the United States, Europe, South America, Australia and Asia. The company’s 2020 revenues are expected to be $600 million, with EBITDA margins in mid-teens.
The acquisition helps PPG Industries to expand its product portfolio and broaden opportunities in rapidly developing and high-growth mobility technology solutions.
Shares of the company have gained 7% in the past year compared with a 9% rise of the
industry
.
PPG Industries is actively managing costs amid the coronavirus pandemic. The company is expecting restructuring savings of $30-$35 million for the last quarter of 2020. Moreover, it expects corporate expenses of $55-$60 million and net interest expenses of $28-$30 million for the fourth quarter. Sales volume for the quarter is expected to be down low-to-mid-single digit range, differing by region and business.
PPG Industries, Inc. Price and Consensus
PPG Industries, Inc. price-consensus-chart
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PPG Industries, Inc. Quote
Zacks Rank & Other Key Picks
PPG Industries currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the basic materials space are
Bunge Limited
BG
,
BHP Group
BHP
and
Clearwater Paper Corporation
CLW
.
Bunge has a projected earnings growth rate of 43% for the current year. The company’s shares have gained around 11% in a year. It currently sports a Zacks Rank #1 (Strong Buy). You can see
the complete list of today’s Zacks #1 Rank stocks here.
BHP has an expected earnings growth rate of 32.4% for the current year. The company’s shares have gained around 20% in the past year. It currently flaunts a Zacks Rank #1.
Clearwater has an expected earnings growth rate of 1,960.9% for the current year. The company’s shares have surged 74.6% in the past year. It currently sports a Zacks Rank #1.
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