There are no safe havens in the stock market. Every stock carries risk. But some less than others. This column features stocks that have shown one or more of the following characteristics: less volatility, better earnings, larger market caps, safe and increasing dividends. In these times of turmoil, our goal is to show readers better opportunities for investing with fewer risks.

February 14, 2011 - PPG Industries, Inc. (PPG-NYSE) manufactures and supplies protective and decorative coatings. The company offers coatings products for automotive and commercial transport/fleet repair and refurbishing, specialty coatings for signs, and light industrial coatings; and sealants, coatings, and technical cleaners/transparencies for commercial, military, regional jet, and general aviation aircraft and transparent armor for military land vehicles.

Further, it supplies lenses, sun lenses, and optical lens materials; amorphous precipitated silicas for tire and battery separator markets; and synthetic printing sheet used in waterproof labels, e-passports, drivers' licenses, and identification cards.

Additionally, PPG offers chlor-alkali and derivative products, such as chlorine, caustic soda, vinyl chloride monomer, chlorinated solvents, calcium hypochlorite, ethylene dichloride, hydrochloric acid, and phosgene derivatives to chemical processing, rubber and plastics, paper, minerals, metals, and water treatment industries. It also produces flat glass and continuous-strand fiber glass for commercial and residential construction, wind energy, energy infrastructure, transportation, and electronics companies.

PPG sells through company-owned stores, home centers, paint dealers, and independent distributors, as well as directly to customers worldwide. The company was founded in 1883 and is headquartered in Pittsburgh, Pennsylvania.

Earnings were up 46% for the fourth quarter of 2010, finishing at $1.25 a share. That was also 10.6% above analysts' estimates. In the previous 3 quarters, the company beat estimates by 11.10%, 14.70% and 8.90% respectively. Consensus for the first quarter of this year from 11 analysts is $1.10, more than 50% ahead of last year's first quarter at 70 cents. For the full year, 2010 finished with $5.18. Consensus from 14 analysts for 2011 is $5.92, then $6.56 in 2012.

Revenues increased in the last period by 8.4% to $3.38 billion due to higher selling prices and a jump in sales of 15% in the Asia/Pacific region. Sales took a drop in 2009, going from $15.849 billion to $12.239 billion. But last year, they rose again to $13.423 billion. This year consensus estimates from 10 analysts is for $14.27 billion, then going to $14.88 billion in 2012.

Sectors that should grow this year: aircraft fleet replacement and auto manufacturing. Look for the Performance Coatings division to benefit. Industrial Coatings should also show improvement as the company cuts costs here and raises prices. One other contributor to earnings: hedges on natural gas will keep the company's costs down if prices rise for that commodity.

PPG likes to raise the dividend. It's gone higher every year for decades. In 1994, it was $1.12. Now it's $2.20. That's a yield of 2.60%. It takes 47% of earnings to pay it. With a cash hoard of $930 million, paying the dividend is no problem. That cash can also help with acquisitions and stock buy backs, should management decide to go in those directions.

Essential numbers: Trailing P/E is 19.11. Forward P/E is 13.49. Price to sales ratio is 1.07. Price to book is 3.72. Profit margin is 5.73% and Operating margin is 10.18%. Return on equity was 21.93% for the last 12 months. Total cash per share is $5.71. Total debt is $3.14 billion. Debt to equity is .76. Book value per share is $23.76. There are 163.02 million shares outstanding. Float is 162.14 million. Insiders own .21%. Institutions own 70.50% of the Float.

Conservative investors will find comfort here. The company's Financial Strength is A+. The dividend is solid and will most likely go higher next year and the next and the next. The one concern at the moment is the cost of raw materials. If they rise too quickly, it will be hard for management to raise prices fast enough to cover them.