PPG IndustriesFRA:PPQ +2.49%84 ROE % is 19.17% as of Mar. 2026, which is 6% below its 10-year median of 20.35. GuruFocus rates FRA:PPQ with a GF Score™ of 84/100 and a GF Value™ of €120.08 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,591 Chemicals companies, PPG Industries ranks better than 93.02% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. PPG Industries's annualized net income for the quarter that ended in Mar. 2026 was €1,322 Mil. PPG Industries's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was €6,896 Mil. Therefore, PPG Industries's annualized ROE % for the quarter that ended in Mar. 2026 was 19.17%.
The historical rank and industry rank for PPG Industries's ROE % or its related term are showing as below:
FRA:PPQ'
s ROE % Range Over the Past 10 Years
Min: 15.27 Med: 20.35 Max: 30.7
Current: 20.67
During the past 13 years, PPG Industries's highest ROE % was 30.70%. The lowest was 15.27%. And the median was 20.35%.
FRA:PPQ's ROE % is ranked better than 93.02% of 1591
companies
in the Chemicals industry
Industry Median: 5.19
vs FRA:PPQ: 20.67
PPG Industries (FRA:PPQ) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
PPG Industries ROE % Related Terms
PPG Industries ROE % Historical Data
* Premium members only.
The historical data trend for PPG Industries's ROE % 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.
For the Specialty Chemicals subindustry, PPG Industries's ROE %, along with its competitors' market caps and ROE % 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 ROE % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, PPG Industries's ROE % distribution charts can be found below:
* The bar in red indicates where PPG Industries's ROE % falls into.
* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
PPG Industries (FRA:PPQ) has a ROE % of 19.17% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on PPG Industries and its competitors. This is near median its historical median of 20.35. Over the past decade, PPG Industries' ROE % has ranged from 15.27 to 30.70. According to the industry distribution chart, PPG Industries ranks #111 out of 1591 companies in the Chemicals industry, placing it in the top 7%.
Is PPG Industries' ROE % too high?
PPG Industries' current ROE % of 19.17% is near median its 10-year median of 20.35. Over the past 10 years, this metric has ranged from a low of 15.27 to a high of 30.70. The Chemicals industry median ROE % is 5.19. PPG Industries' value of 19.17% is 269.4% above this industry median. Based on the distribution chart, PPG Industries ranks #111 out of 1591 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. 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' ROE % compare to LYB and ALB?
According to the Chemicals industry distribution chart, PPG Industries ranks #111 out of 1591 companies for ROE %. This places PPG Industries in the top 7% of its industry — outperforming the majority of peers. The industry median ROE % is 5.19. PPG Industries' value of 19.17% is 269.4% above this benchmark. Historically, PPG Industries' own ROE % has ranged from 15.27 to 30.70 over the past decade. While the company's 10-year median is 20.35 vs. the industry median of 5.19, PPG Industries has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Chemicals company?
The median ROE % among Chemicals companies is 5.19, based on 1,591 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PPG Industries's current ROE % of 19.17% is 269.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on PPG Industries and its competitors. For the Chemicals industry, the median ROE % is 5.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PPG Industries's current ROE % is 19.17%, which is near median its own 10-year median of 20.35. 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 €120.08, compared to a current price of €107.00 — trading 10.9% below its estimated fair value. The current ROE % is 19.17%, which is near median its 10-year median of 20.35 and 269.4% above the Chemicals industry median of 5.19. PPG Industries' overall GF Score™ is 84/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For PPG Industries (FRA:PPQ), the current ROE % is 19.17% as of Mar. 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 €107.00 is trading 10.9% below its estimated GF Value™ of €120.08.
GuruFocus considers PPG Industries to be Modestly Undervalued.
Key valuation signals for FRA:PPQ:
ROE %: 19.17% (near median its 10-year median of 20.35)
GF Value™: €120.08 vs. price of €107.00 (10.9% below fair value)
Industry Position: 269.4% above the Chemicals median (#111 of 1591)
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 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
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