Owens Corning
Market Cap
US$9.0b
Last Updated
2021/01/15 23:13 UTC
Data Sources
Company Financials +
Executive Summary
Owens Corning, together with its subsidiaries, produces and sells glass fiber reinforcements and other materials for composites; and residential, commercial, and industrial building materials worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Fair value with moderate growth potential.
Similar Companies
Share Price & News
How has Owens Corning's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: OC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: OC's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
3.8%
OC
0.5%
US Building
-0.9%
US Market
1 Year Return
26.4%
OC
22.0%
US Building
19.6%
US Market
Return vs Industry: OC exceeded the US Building industry which returned 23.3% over the past year.
Return vs Market: OC exceeded the US Market which returned 21% over the past year.
Shareholder returns
| OC | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.8% | 0.5% | -0.9% |
| 30 Day | 11.3% | 8.6% | 3.0% |
| 90 Day | 9.6% | 13.9% | 11.5% |
| 1 Year | 28.3%26.4% | 30.0%22.0% | 22.3%19.6% |
| 3 Year | -9.6%-13.6% | 45.9%34.2% | 45.3%35.7% |
| 5 Year | 98.4%84.7% | 145.3%110.8% | 124.8%99.9% |
Long-Term Price Volatility Vs. Market
How volatile is Owens Corning's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
We Wouldn't Be Too Quick To Buy Owens Corning (NYSE:OC) Before It Goes Ex-Dividend2 weeks ago | Simply Wall St
Investors In Owens Corning (NYSE:OC) Should Consider This, First1 month ago | Simply Wall St
Is Owens Corning (NYSE:OC) Trading At A 24% Discount?Valuation
Is Owens Corning undervalued compared to its fair value and its price relative to the market?
29.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OC ($82.97) is trading below our estimate of fair value ($118.12)
Significantly Below Fair Value: OC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: OC is unprofitable, so we can't compare its PE Ratio to the US Building industry average.
PE vs Market: OC is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate OC's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: OC is good value based on its PB Ratio (2.3x) compared to the US Building industry average (3.2x).
Next Steps
Future Growth
How is Owens Corning forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
76.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: OC is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: OC's is expected to become profitable in the next 3 years.
Revenue vs Market: OC's revenue (4.4% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: OC's revenue (4.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: OC's Return on Equity is forecast to be low in 3 years time (14.8%).
Next Steps
Past Performance
How has Owens Corning performed over the past 5 years?
-27.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OC is currently unprofitable.
Growing Profit Margin: OC is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: OC is unprofitable, and losses have increased over the past 5 years at a rate of 27.3% per year.
Accelerating Growth: Unable to compare OC's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: OC is unprofitable, making it difficult to compare its past year earnings growth to the Building industry (17.1%).
Return on Equity
High ROE: OC has a negative Return on Equity (-13.95%), as it is currently unprofitable.
Next Steps
Financial Health
How is Owens Corning's financial position?
Financial Position Analysis
Short Term Liabilities: OC's short term assets ($2.6B) exceed its short term liabilities ($1.4B).
Long Term Liabilities: OC's short term assets ($2.6B) do not cover its long term liabilities ($4.2B).
Debt to Equity History and Analysis
Debt Level: OC's debt to equity ratio (76.9%) is considered high.
Reducing Debt: OC's debt to equity ratio has increased from 51.7% to 76.9% over the past 5 years.
Debt Coverage: OC's debt is well covered by operating cash flow (38.7%).
Interest Coverage: OC is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Next Steps
Dividend
What is Owens Corning current dividend yield, its reliability and sustainability?
1.25%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: OC's dividend (1.25%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.38%).
High Dividend: OC's dividend (1.25%) is low compared to the top 25% of dividend payers in the US market (3.84%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, OC has been paying a dividend for less than 10 years.
Growing Dividend: OC's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: OC is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: OC's dividends in 3 years are forecast to be well covered by earnings (21.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Brian Chambers (53 yo)
1.75yrs
Tenure
US$6,086,329
Compensation
Mr. Brian D. Chambers has been Chief Executive Officer and Director of Owens Corning since April 18, 2019 and served as its President since August 1, 2018. He serves as Chairman of the Board at Owens Corni...
CEO Compensation Analysis
Compensation vs Market: Brian's total compensation ($USD6.09M) is about average for companies of similar size in the US market ($USD6.20M).
Compensation vs Earnings: Brian's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Chairman | 1.75yrs | US$6.09m | 0.072% $ 6.5m | |
| Senior VP | 5.67yrs | US$1.80m | 0.035% $ 3.2m | |
| VP of Corporate Strategy | 0.33yr | US$1.06m | 0.047% $ 4.2m | |
| Senior VP & Chief Growth Officer | 1.08yrs | US$2.10m | 0.056% $ 5.0m | |
| President of Composites | 2.67yrs | US$1.80m | 0.040% $ 3.6m | |
| Senior VP & CFO | 0.33yr | no data | no data | |
| Director of Investor Relations | no data | no data | no data | |
| Senior VP & Chief Human Resources Officer | 1.75yrs | no data | 0.015% $ 1.3m | |
| Vice President of CSB Europe and Managing Director of CSB Europe | 16.83yrs | no data | no data | |
| Chief Sustainability Officer & VP | 20yrs | no data | no data | |
| Vice President and President of Owens Corning Construction Services | 14.33yrs | no data | no data | |
| Vice President and Managing Director of Asia-Pacific Building Materials Group | 11.83yrs | no data | no data |
2.7yrs
Average Tenure
55.5yo
Average Age
Experienced Management: OC's management team is considered experienced (2.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Chairman | 1.75yrs | US$6.09m | 0.072% $ 6.5m | |
| Director | 0.33yr | no data | 0.0010% $ 93.0k | |
| Independent Director | 14.33yrs | US$235.04k | 0.052% $ 4.7m | |
| Independent Director | 1.33yrs | US$65.30k | 0.0051% $ 463.1k | |
| Independent Director | 10yrs | US$244.97k | 0.066% $ 5.9m | |
| Lead Independent Director | 5.75yrs | US$275.02k | 0.038% $ 3.4m | |
| Independent Director | 8.33yrs | US$249.98k | 0.024% $ 2.1m | |
| Independent Director | 7.33yrs | US$250.02k | 0.033% $ 3.0m | |
| Independent Director | 14yrs | US$235.04k | 0.035% $ 3.2m | |
| Independent Director | 6.42yrs | US$245.01k | 0.016% $ 1.4m | |
| Independent Director | 2.92yrs | US$235.04k | 0.0078% $ 703.3k |
6.4yrs
Average Tenure
60yo
Average Age
Experienced Board: OC's board of directors are considered experienced (6.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: OC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Owens Corning's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Owens Corning
- Ticker: OC
- Exchange: NYSE
- Founded: 1938
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: US$9.028b
- Shares outstanding: 108.23m
- Website: https://www.owenscorning.com
Number of Employees
Location
- Owens Corning
- One Owens Corning Parkway
- Toledo
- Ohio
- 43659
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| OC | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Oct 2006 |
| O5Q | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 2006 |
Biography
Owens Corning, together with its subsidiaries, produces and sells glass fiber reinforcements and other materials for composites; and residential, commercial, and industrial building materials worldwide. It...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/15 23:13 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.