Discounted Cash Flow

PPG Industries Inc.

PPG · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $14.8b $877.0m $923.0m 5.9% $3.30
2017 $14.7b (-0.0%) $1.6b (81.8%) $1.2b (30.9%) 10.8% (81.8%) $6.22 (88.5%)
2018 $15.4b (4.2%) $1.3b (-15.9%) $1.1b (-12.6%) 8.7% (-19.3%) $5.50 (-11.6%)
2019 $15.1b (-1.5%) $1.2b (-7.3%) $1.7b (57.9%) 8.2% (-5.9%) $5.25 (-4.5%)
2020 $13.8b (-8.7%) $1.1b (-14.8%) $1.8b (9.5%) 7.7% (-6.7%) $4.47 (-14.9%)
2021 $16.8b (21.5%) $1.4b (35.9%) $1.2b (-34.8%) 8.6% (11.9%) $6.06 (35.6%)
2022 $17.7b (5.1%) $1.0b (-28.7%) $445.0m (-62.6%) 5.8% (-32.1%) $4.34 (-28.4%)
2023 $18.2b (3.4%) $1.3b (23.8%) $1.9b (318.4%) 7.0% (19.8%) $5.38 (24.0%)
2024 $15.8b (-13.2%) $1.1b (-12.1%) $699.0m (-62.5%) 7.0% (1.2%) $4.77 (-11.3%)
2025 $15.9b (0.2%) $1.6b (41.2%) $1.2b (66.4%) 9.9% (41.0%) $6.96 (45.9%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model