Do You Believe in the Growth Potential of PPG Industries (PPG)?

Core Insights - Pzena Investment Management's third-quarter 2025 commentary indicates a strong performance in US broad-based indexes driven by optimism about AI and a September rate cut, with the technology sector outperforming value stocks [1] - The Pzena Focused Value strategy returned 1.1% gross and 0.9% net, underperforming the Russell 1000 Value Index which returned 5.3% [1] Company Overview: PPG Industries, Inc. - PPG Industries, Inc. is involved in the manufacturing and distribution of paints, coatings, and specialty materials, with a market capitalization of $22.441 billion as of December 09, 2025 [2] - The stock of PPG Industries, Inc. experienced a one-month return of 1.99% but has lost 18.89% over the last 52 weeks, closing at $99.43 per share [2] Investment Positioning - Pzena Focused Value Strategy initiated a new position in PPG Industries, citing its strong market presence and historical returns on capital, despite current concerns about organic growth [3] - The company is viewed as undervalued due to market apprehensions, with expectations for growth to improve as key end markets recover [3] Hedge Fund Interest - PPG Industries, Inc. was held by 34 hedge fund portfolios at the end of the third quarter, a decrease from 39 in the previous quarter, indicating a decline in popularity among hedge funds [4] - While PPG is recognized for its potential, some analysts suggest that certain AI stocks may offer better upside potential with less downside risk [4]