TGM's two-stage DCF values PPG Industries, Inc. (PPG) between $26.95 and $57.69 depending on assumptions, with a base case of $37.79. Growth is taken from the company's own record (5-year revenue CAGR (FCF growth too volatile to use) (floored at 2%)), fading to 2.5% long-run; the discount rate (9.4%) reflects its beta.
What would today's price require?
$105.45 is justified only if free cash flow grows about +20.6% a year (fading to 2.5% long-run) at a 9.4% required return — faster than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 0.5%/yr | 10.4% | $26.95 |
| Base case | 2.0%/yr | 9.4% | $37.79 |
| Optimistic | 5.0%/yr | 8.4% | $57.69 |
| Third-party model estimate (FMP) | independent reference · retrieved Sep 13, 2026 · assumptions not provided | $130.47 | |
The FMP figure is a third-party point estimate. Its cash-flow forecast, discount rate, terminal growth, and valuation date are not included in the stored response, so TGMCharts presents it only as a reference—not as an intrinsic-value conclusion or price target.
Current Price
$105.45
Market-Implied Growth
+20.6%/yr
vs -7.1% 5Y actual
Model Scenario Range
$26.95 – $57.69
model output — not a price target
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for PPG (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $931.0M · 0.22B shares · net debt $5.1B
Estimated Fair Value
$37.79
-64.2% vs $105.45
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 2.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $105.45; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 7.4% | $50.46 | $55.96 | $62.58 | $70.70 | $80.89 |
| 8.4% | $39.76 | $43.60 | $48.09 | $53.40 | $59.78 |
| 9.4% | $31.77 | $34.58 | $37.79 | $41.50 | $45.83 |
| 10.4% | $25.58 | $27.71 | $30.10 | $32.81 | $35.91 |
| 11.4% | $20.64 | $22.30 | $24.14 | $26.19 | $28.50 |
