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PPG vs SHW
Which Stock Would AI Choose? PPG Industries (PPG) vs. Sherwin-Williams (SHW) Stock Comparison
Key Takeaways
- PPG and SHW are two of the world's largest coatings manufacturers, but they pursue sharply different business models and growth profiles.
- SHW delivered stronger recent earnings momentum, with second-quarter net income up about 12% year over year, while PPG posted flat adjusted earnings per share (EPS).
- PPG trades at a notable valuation discount to SHW, partly reflecting its lower margins and heavier exposure to cyclical industrial end markets.
- Both companies face soft demand and rising raw material costs, and both have leaned on pricing actions and share gains to protect profitability.
- SHW is widely viewed as holding stronger pricing power, while PPG offers more diversification across aerospace, industrial, and packaging segments.
- Relative positioning depends on whether an investor prioritizes earnings consistency and premium brands or valuation and cyclical recovery potential.
Introduction
This stock comparison examines two dominant names in the global paints and coatings industry: PPG Industries, Inc. (PPG) and The Sherwin-Williams Company (SHW). Although both companies sell coatings, their market positioning, customer bases, and financial profiles differ considerably. Long-term investors focused on dividend consistency and pricing power may gravitate toward one, while value-oriented and momentum-driven traders may favor the other. By evaluating recent performance, growth drivers, risk factors, and market sentiment, this comparison offers a clear framework for understanding how the two stocks currently stack up against one another.
PPG Overview and Recent Performance
PPG Industries (PPG), headquartered in Pittsburgh, manufactures and sells paints, coatings, and specialty materials in more than 50 countries, generating roughly $15.9 billion in full-year sales. Its portfolio spans architectural, industrial, automotive, aerospace, packaging, and protective coatings, giving it broad diversification across end markets.
In recent weeks, PPG has reported its sixth consecutive quarter of organic sales growth, with solid contributions from aerospace coatings, architectural coatings in Latin America, and packaging coatings. However, adjusted EPS has been roughly flat year over year, missing analyst expectations in its most recent quarterly report, as strength in differentiated businesses was partly offset by softer volumes in automotive refinish coatings and higher interest and corporate expenses. Management has reaffirmed full-year adjusted EPS guidance of $7.70 to $8.10 and pointed to data centers and technology-advantaged products as emerging growth levers. Sentiment has been tempered by higher raw material costs and a valuation that, while below many peers, reflects lower profitability than SHW.
SHW Overview and Recent Performance
The Sherwin-Williams Company (SHW), based in Cleveland, is the larger of the two by market capitalization and operates a vertically integrated model anchored by its Paint Stores Group, alongside Consumer Brands and Performance Coatings segments. It celebrates 160 years in business and has raised its dividend for 47 consecutive years.
In recent market activity, SHW posted second-quarter net income up roughly 12% year over year on sales growth of about 7.5%, with adjusted EPS beating consensus estimates. Management attributed gains to new account wins, share-of-wallet growth, and pricing actions, even as it described "no meaningful improvement in demand." The company's recent acquisition of Brazil-based Suvinil has broadened its international consumer reach, while investments in new stores and sales territories support long-term expansion. Still, analysts have flagged volume pressure and a premium valuation, and one major firm recently downgraded the stock, citing a more challenging outlook for U.S. housing and higher raw material costs.
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Head-to-Head Comparison
The clearest contrast between the two companies lies in their business models. SHW is heavily oriented toward architectural coatings, distributing much of its output through its own retail stores to professional painters, which supports strong pricing discipline and stable margins. PPG, by contrast, is more diversified into industrial, automotive, aerospace, and packaging coatings, exposing it to broader cyclical swings but also to higher-growth niches such as aerospace and data-center infrastructure.
On recent momentum, SHW has shown greater earnings consistency and higher margins, while PPG offers a lower valuation and a more diversified revenue base. Risk profiles differ as well: SHW carries sensitivity to U.S. housing and affordability, whereas PPG faces exposure to global industrial production and raw material pass-through. Market sentiment has been mixed for both, with analysts citing pricing power as a SHW strength and valuation support as a potential PPG tailwind.
Tickeron AI Verdict
Based on observable factors such as trend consistency, margin stability, and pricing power, Tickeron's AI would likely lean toward SHW as the more favorable near-term candidate. Its stronger earnings momentum, higher profitability, and consistent dividend track record suggest a more resilient trend profile, even against a soft demand backdrop. That said, PPG presents a competing case through its valuation discount and diversified cyclical exposure, which could appeal under a recovery scenario. The outcome ultimately depends on whether trend stability or relative value carries more weight in the prevailing market environment.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is PPG is a StrongBuy and SHW is a Hold.
PPG | SHW | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 7 | 59 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 34 Fair valued | 90 Overvalued | |
PROFIT vs RISK RATING 1..100 | 100 | 84 | |
SMR RATING 1..100 | 48 | 18 | |
PRICE GROWTH RATING 1..100 | 57 | 57 | |
P/E GROWTH RATING 1..100 | 61 | 49 | |
SEASONALITY SCORE 1..100 | 55 | 85 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
PPG's Valuation (34) in the Industrial Specialties industry is somewhat better than the same rating for SHW (90). This means that PPG’s stock grew somewhat faster than SHW’s over the last 12 months.
SHW's Profit vs Risk Rating (84) in the Industrial Specialties industry is in the same range as PPG (100). This means that SHW’s stock grew similarly to PPG’s over the last 12 months.
SHW's SMR Rating (18) in the Industrial Specialties industry is in the same range as PPG (48). This means that SHW’s stock grew similarly to PPG’s over the last 12 months.
SHW's Price Growth Rating (57) in the Industrial Specialties industry is in the same range as PPG (57). This means that SHW’s stock grew similarly to PPG’s over the last 12 months.
SHW's P/E Growth Rating (49) in the Industrial Specialties industry is in the same range as PPG (61). This means that SHW’s stock grew similarly to PPG’s over the last 12 months.
| PPG | SHW | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 52% | 1 day ago 66% |
| Stochastic ODDS (%) | 1 day ago 70% | 1 day ago 56% |
| Momentum ODDS (%) | 1 day ago 66% | 1 day ago 65% |
| MACD ODDS (%) | 1 day ago 62% | 1 day ago 67% |
| TrendWeek ODDS (%) | 1 day ago 55% | 1 day ago 64% |
| TrendMonth ODDS (%) | 1 day ago 57% | 1 day ago 61% |
| Advances ODDS (%) | 2 days ago 52% | 10 days ago 58% |
| Declines ODDS (%) | 8 days ago 60% | 3 days ago 65% |
| BollingerBands ODDS (%) | 1 day ago 58% | 1 day ago 57% |
| Aroon ODDS (%) | 1 day ago 54% | 1 day ago 51% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
PPG’s FA Score shows that 0 FA rating(s) are green while SHW’s FA Score has 1 green FA rating(s).
- PPG’s FA Score: 0 green, 5 red.
- SHW’s FA Score: 1 green, 4 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
PPG’s TA Score shows that 4 TA indicator(s) are bullish while SHW’s TA Score has 3 bullish TA indicator(s).
- PPG’s TA Score: 4 bullish, 5 bearish.
- SHW’s TA Score: 3 bullish, 6 bearish.
Price Growth
PPG (@Chemicals: Specialty) experienced а +0.72% price change this week, while SHW (@Chemicals: Specialty) price change was -2.56% for the same time period.
The average weekly price growth across all stocks in the @Chemicals: Specialty industry was +1.23%. For the same industry, the average monthly price growth was -3.72%, and the average quarterly price growth was -0.12%.
Reported Earning Dates
PPG is expected to report earnings on Oct 27, 2026.
SHW is expected to report earnings on Oct 27, 2026.
Industries' Descriptions
@Chemicals: Specialty (+1.23% weekly)The specialty chemicals sector includes companies that produce chemicals and industrial gases, which are of relatively high-value, often made to customer specifications. Examples of specialty chemicals are electronic chemicals, industrial gases, coatings, adhesives and sealants, industrial and institutional cleaning chemicals. The products are often valued on the basis of their purposes/performances rather than for their composition. Linde Plc, Ecolab Inc., Air Products and Chemicals, Inc., and Dow, Inc. are some of the largest companies making specialty chemicals.
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