Citi Turns More Positive on PPG as Housing Tailwinds Emerge

PPG Industries, Inc. (NYSE:PPG) is included among the 13 Best February Dividend Stocks to Buy.

Citi Turns More Positive on PPG as Housing Tailwinds Emerge

On January 19, Citi raised its price target on PPG Industries, Inc. (NYSE:PPG) to $127 from $120 and maintained a Buy rating on the stock. The firm said the stock is starting to price in a more supportive housing environment expected to develop in 2027, with room for earnings estimates to move higher in the back half of 2026.

PPG released its fourth-quarter 2025 results on January 27. Net sales totaled $3.9 billion, while organic sales grew 3% from a year earlier. The increase came from a mix of higher pricing and better volumes, with every region contributing. Reported earnings per share were $1.34, and adjusted EPS came in at $1.51. The company also repurchased about $100 million of its shares during the quarter.

Growth picked up toward the end of the year, making the fourth quarter PPG’s strongest period for organic sales in 2025. Both pricing actions and volume gains helped drive the improvement, and momentum was broad-based across regions.

Results in the Global Architectural Coatings business improved quarter by quarter during the year. In the fourth quarter, organic sales in the segment rose 2%, helped by a sequential recovery in project-related demand in Mexico and solid retail sales. Conditions in Europe remained mixed.

PPG Industries, Inc. (NYSE:PPG) produces and sells a wide range of paints, coatings, and specialty products. Its operations are split across Global Architectural Coatings, Performance Coatings, and Industrial Coatings.

While we acknowledge the potential of PPG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PPG and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 12 Best Dow Jones Dividend Stocks to Buy According to Hedge Funds and Retirement Stock Portfolio: 12 Low Risk Investments

Disclosure: None.