PPG Industries (FRA:PPQ) Effective Interest Rate on Debt %: 3.75% (As of Jun. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:PPQ PPG Industries Inc FRA:PPQ
84 GF Score
Price €98.06
GF Value €121.86
Valuation Modestly Undervalued
View Full Analysis

What is PPG Industries Effective Interest Rate on Debt %?

PPG Industries FRA:PPQ -4.10% 84 Effective Interest Rate on Debt % is 3.75% as of Jun. 2026. GuruFocus rates FRA:PPQ with a GF Score™ of 84/100 and a GF Value™ of €121.86 (Modestly Undervalued).

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. PPG Industries's annualized positive value of Interest Expense for the quarter that ended in Jun. 2026 was €247 Mil. PPG Industries's average total debt for the quarter that ended in Jun. 2026 was €6,580 Mil. Therefore, PPG Industries's annualized Effective Interest Rate on Debt % for the quarter that ended in Jun. 2026 was 3.75%.


PPG Industries  (FRA:PPQ) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


PPG Industries Effective Interest Rate on Debt % Related Terms


PPG Industries Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for PPG Industries's Effective Interest Rate on Debt % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

PPG Industries Effective Interest Rate on Debt % Chart

PPG Industries Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.78 2.28 3.42 3.79 3.20

PPG Industries Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Effective Interest Rate on Debt % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.04 3.25 2.94 3.14 3.75

FRA:PPQ vs LYB, IFF, DD: Effective Interest Rate on Debt % Comparison

For the Specialty Chemicals subindustry, PPG Industries's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PPG Industries Effective Interest Rate on Debt % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, PPG Industries's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where PPG Industries's Effective Interest Rate on Debt % falls into.


FRA:PPQ
84GF Score
PPG Industries Inc FRA:PPQ
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

PPG Industries Effective Interest Rate on Debt % Calculation

PPG Industries's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -205.814/( (6107.225+6743.184)/ 2 )
=-1  *  -205.814/6425.2045
=3.20 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5090.15 + 1017.075
=6107.225

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=6022.408 + 720.776
=6743.184

PPG Industries's annualized Effective Interest Rate on Debt % for the quarter that ended in Jun. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Mar. 2026 )+Total Debt  (Q: Jun. 2026 ))/ count )
=-1  *  -246.512/( (6686.45+6474.412)/ 2 )
=-1  *  -246.512/6580.431
=3.75 %

where

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5930.44 + 756.01
=6686.45

Total Debt  (Q: Jun. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5757.444 + 716.968
=6474.412

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Jun. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 3.75% mean?
PPG Industries (FRA:PPQ) has a Effective Interest Rate on Debt % of 3.75% as of Jun. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on PPG Industries and its competitors.
Is PPG Industries' Effective Interest Rate on Debt % too high?
PPG Industries' current Effective Interest Rate on Debt % is 3.75%. Overall, PPG Industries has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PPG Industries' Effective Interest Rate on Debt % compare to LYB and IFF?
PPG Industries' Effective Interest Rate on Debt % of 3.75% can be compared against companies in the Chemicals industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Chemicals company?
A good Effective Interest Rate on Debt % depends on the Chemicals industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on PPG Industries and its competitors. PPG Industries's current Effective Interest Rate on Debt % is 3.75%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PPG Industries stock overvalued right now?
Based on GuruFocus' analysis, PPG Industries (FRA:PPQ) is currently considered Modestly Undervalued. The stock's GF Value™ is €121.86, compared to a current price of €98.06 — trading 19.5% below its estimated fair value. The current Effective Interest Rate on Debt % is 3.75%. PPG Industries' overall GF Score™ is 84/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For PPG Industries (FRA:PPQ), the current Effective Interest Rate on Debt % is 3.75% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is PPG Industries (FRA:PPQ) Overvalued in 2026?

Based on GuruFocus' analysis, PPG Industries stock appears to be undervalued. The current stock price of €98.06 is trading 19.5% below its estimated GF Value™ of €121.86. GuruFocus considers PPG Industries to be Modestly Undervalued.

Key valuation signals for FRA:PPQ:

  • Effective Interest Rate on Debt %: 3.75%
  • GF Value™: €121.86 vs. price of €98.06 (19.5% below fair value)
  • GF Score™: 84/100

No single metric tells the full story. See the FRA:PPQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


PPG Industries Business Description

Address One PPG Place, Pittsburgh, PA, USA, 15272
PPG is the world's second-largest producer of paints and coatings. PPG's products are sold to a wide variety of end users, including industrial segments such as automotive, aerospace, and protective and marine, as well as paint contractors and do-it-yourself customers. The company has a footprint in many regions around the globe, with less than half of sales coming from North America in recent years.
84GF Score

Get the complete analysis for FRA:PPQ

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€98.06
Price
€121.86
GF Value