EL7.AI
StocksMedium•28 October 2026•
4 min read

PPG Raises EPS Forecast to $8.10; Valmont Increases Earnings 25.3%

Key Facts

1PPG sales reached $4.353 billion, up 7%, and adjusted EPS was $2.25 versus $2.13 a year earlier.
2PPG raised its 2026 adjusted EPS forecast range to $7.90–$8.10.
3Valmont sales rose 5.5% to $1.10 billion, and diluted EPS increased 25.3% to $6.24.
4Valmont infrastructure sales rose 9.1% to $882.1 million, while agriculture sales fell 6.4% to $226.0 million.
5Valmont raised its 2026 adjusted EPS forecast range to $22.75–$23.75.

PPG reported on October 27 that net sales reached $4.353 billion in the third quarter of 2026, up 7% from the same period a year earlier, while adjusted earnings per share rose to $2.25 from $2.13 a year earlier. The company beat analysts’ estimates for revenue and earnings, according to an investor relations statement. The results came as the company raised the midpoint of its full-year adjusted EPS forecast, signaling a more favorable view of performance for the rest of the year. The CEO said PPG outperformed the industry by 300 basis points and that the quarter marked the seventh consecutive period of organic sales growth. The results show different sources of growth across its coatings businesses, as well as divergent margin performance between its two main segments.

PPG’s organic sales grew 5% year over year in the quarter, led by aerospace and architectural coatings in Latin America, while organic sales in the Performance Coatings segment rose 8%. Aerospace delivered double-digit growth, according to the company, alongside higher prices and volumes. In Performance Coatings, adjusted EBITDA margin increased 220 basis points to 23.9%, as an improved mix offset inflation in the cost of goods sold. These figures point to growth supported by demand and pricing, with improved profitability in the segment that posted stronger organic growth. Industrial Coatings, by contrast, combined higher sales with lower segment income, underscoring that revenue growth did not translate into stronger margins across all businesses.

PPG’s Industrial Coatings segment sales rose 5% year over year in the third quarter, but segment income fell 14%, and EBITDA margin dropped 260 basis points to 14.4%. The segment’s performance diverged from Performance Coatings, where margin improved to 23.9%, according to company data. PPG raised its 2026 adjusted EPS forecast range to $7.90–$8.10. It also expects low-single-digit organic sales growth in the fourth quarter. The company scheduled its results review call for October 28, 2026, at 8:00 a.m. Eastern Time to discuss quarterly results and its outlook.

Valmont reported results on October 20, a week before PPG’s report. Its third-quarter sales were $1.10 billion, up 5.5% from $1.05 billion a year earlier, while diluted EPS rose 25.3% to $6.24 from $4.98. Earnings per share beat analysts’ estimates, but sales fell short of revenue estimates, according to a correction to the previous report. That means the earnings surprise was not accompanied by a sales beat, unlike PPG, which topped estimates for both revenue and earnings. By business, Valmont’s infrastructure sales rose while agriculture sales fell, as the company’s overall sales increased.

Valmont’s infrastructure sales increased 9.1% to $882.1 million, driven by a 23.0% rise in North American utility sales. The company attributed utility growth to higher prices and volumes, supported by strong market demand. Agriculture sales, by contrast, fell 6.4% to $226.0 million. Valmont said the decline in international agriculture sales resulted mainly from lower volumes in the Middle East and Brazil. The divergence reflects infrastructure growth driven by demand in North American utilities, against weaker agricultural sales volumes in specific international markets.

Valmont raised its 2026 adjusted diluted EPS forecast range to $22.75–$23.75 and left its annual net sales forecast unchanged at $4.3 billion to $4.45 billion. The CEO said the company is focused on increasing capacity and improving productivity to meet infrastructure demand. It added that it is taking pricing actions and applying contractual pass-through provisions to recover higher steel and zinc costs. The company linked the pace of margin expansion in part to stable input costs, making those costs a factor in its profitability improvement trajectory. The updated forecast pairs higher earnings per share with an unchanged annual sales range, as Valmont continues to expand capacity and recover material costs through pricing and contracts.