Is it Still Good to Keep Your PPG Industries (PPG) Shares?

·2 min read

Saturna Capital, an investment management firm, published its "Amana Funds" third-quarter 2021 investor letter – a copy of which can be downloaded here. For the third quarter of 2021, the Amana Income Fund Investor Shares returned -2.54% and the Institutional Shares returned -2.50%. The Amana Growth Fund Investor Shares returned 0.95%, ahead of the 0.58% return of the S&P 500 Index, as well as the NASDAQ Composite return of -0.22% for the same period. You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.

Saturna Capital Amana Funds, in its Q3 2021 investor letter, mentioned PPG Industries, Inc. (NYSE: PPG) and discussed its stance on the firm. PPG Industries, Inc. is a Pittsburgh, Pennsylvania-based paints, coatings, and specialty materials supplier with a $39.7 billion market capitalization. PPG delivered a 16.15% return since the beginning of the year, while its 12-month returns are up by 15.62%. The stock closed at $164.43 per share on December 06, 2021.

Here is what Saturna Capital Amana Funds has to say about PPG Industries, Inc. in its Q3 2021 investor letter:

"The industrial coatings manufacturer PPG was the Fund’s worst performer in the quarter, as the supply chain backups impacted its earnings outlook. The supply chain issues impacting the global economy raised questions about the fragility of the trade and logistics management practices that have been embraced by operations teams for decades. The amount of time it could take to untie these knots is unknown, and if companies choose to rethink their approach to inventory and supply management, the transition could mean several years of pressure on margins and lower returns on capital."

Spray, Paint
Spray, Paint

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Based on our calculations, PPG Industries, Inc. (NYSE: PPG) was not able to clinch a spot in our list of the 30 Most Popular Stocks Among Hedge Funds. PPG was in 30 hedge fund portfolios at the end of the third quarter of 2021, compared to 26 funds in the previous quarter. PPG Industries, Inc. (NYSE: PPG) delivered an 11.38% return in the past 3 months.

Disclosure: None. This article is originally published at Insider Monkey.

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