Lehman raises PPG to "buy"

"Recently some positive leading indicators suggest that the recovery in the U.S. industrial cycle could start in February-March," analyst Sergey Vasnetsov said in a research note. "PPG is our preferred name to play the industrial upcycle: high leverage to industrial sector, well-managed company and inexpensive stock."

"PPG generates 65 percent of sales to the U.S. industrial sector and should benefit from higher sales volume," Vasnetsov said. An expected slowdown in auto and housing sectors is Jincluded in assumptions.

PPG shares closed at $46.85 on Feb. 8. The stock has a 52-week range of $38.99 to $59.75.