SHW - PPG hit with Sell equivalent at Credit Suisse as vulnerable to rising rates

PPG Industries (NYSE:PPG) -2.7% in Tuesday's trading as Credit Suisse initiates coverage with an Underperform rating and $115 price target, citing a rising interest rate environment that could hurt residential and commercial paint demand through higher mortgage rates, and impact automotive paint demand through higher car loan rates, which could dampen investor sentiment on the company. Credit Suisse's John Roberts also notes an apparent slowdown in China, where PPG is the largest supplier of auto paint and a major supplier of industrial coatings. Roberts also rates Sherwin Williams (SHW) with the same Sell-equivalent rating, noting that demand for paint and related products trend negatively in rising interest rate environments. But Roberts starts Linde (NYSE:LIN) and Eastman Chemical (NYSE:EMN) at Outperform with respective $380 and $130 price targets; Linde continues to show strong growth with new wins in electronics and refining which should support double-digit EPS growth, while Eastman has "the leading

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PPG hit with Sell equivalent at Credit Suisse as vulnerable to rising rates