2 Stocks Moving in Different Directions Following Earnings Releases

PPG Industries Inc. (NYSE:PPG) reported net income above Wall Street’s expectations for the fourth quarter. Net income for PPG Industries Inc. rose to $216 million ($1.39 per share) vs. $205 million ($1.24 per share) in the same quarter a year earlier. This marks a rise of 5.4% from the year earlier quarter. Revenue rose 4.1% to $3.52 billion from the year earlier quarter. PPG beat the mean analyst estimate of $1.28 per share. Analysts were expecting revenue of $3.5 billion.

“PPG achieved record earnings per share each quarter this year by focusing on strong execution in its global businesses, aggressive cost management and amplified cash deployment,” said Charles E. Bunch, PPG chairman and CEO. “In so doing, we delivered the best full year earnings per share in PPG’s history.”
Competitors to Watch: The Valspar Corporation (NYSE:VAL), RPM International Inc. (NYSE:RPM), Sherwin-Williams Company (NYSE:SHW), E.I. du Pont de Nemours & Co. (NYSE:DD), Akzo Nobel N.V. (AKZOY), Southwall Technologies (SWTXD), Olin Corporation (NYSE:OLN), Corning Incorporated (NYSE:GLW), and FMC Corporation (NYSE:FMC).

Freeport-McMoran Copper & Gold Inc. (NYSE:FCX) posted a decrease in profit as revenue declined. Net income for the copper company fell to $640 million (67 cents per share) vs. $1.55 billion ($1.63 per share) a year earlier. This is a decline of 58.7% from the year earlier quarter. Revenue fell 25.7% to $4.16 billion from the year earlier quarter. FCX beat the mean analyst estimate of 64 cents per share. It beat the average revenue estimate of $3.78 billion.

James R. Moffett, Chairman of the Board, and Richard C. Adkerson, President and Chief Executive Officer, said, “FCX’s fourth-quarter results reflect strong operating performance in the Americas and in Africa, and were unfavorably impacted by disruptions at our Grasberg operations in Indonesia. Despite the fourth-quarter disruptions, we achieved record financial results in 2011. We are pleased to have reached agreement with the union at the Grasberg mine and with the accomplishments of our team in completing pipeline repairs. We are taking steps to restore full operations. We are continuing to advance our growth projects which are expected to result in meaningful increases to copper and molybdenum production in future periods. Our exploration programs continue to identify opportunities to grow our reserve base. We ended the year with significantly more cash than debt and have a positive outlook for the future prospects of our business.”

Competitors to Watch: Southern Copper Corp. (NYSE:SCCO), Rio Tinto plc (NYSE:RIO), Newmont Mining Corporation (NYSE:NEM), Taseko Mines Limited (AMEX:TGB), HudBay Minerals Inc. (NYSE:HBM), Alcoa Inc. (NYSE:AA), Western Copper Corporation (WRN), Royal Gold, Inc. (NASDAQ:RGLD), Augusta Resource Corp. (AMEX:AZC), and Vista Gold Corp. (AMEX:VGZ).

To contact the reporter on this story: Damien Hoffman at staff.writers@wallstcheatsheet.com

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