Owens Corning (OC) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.Over the past month, shares of this construction materials company have returned +4.8%, compared to the Zacks S&P 500 composite's +2.7% change. During this period, the Zacks Building Products - Miscellaneous industry, which Owens Corning falls in, has gained 1%. The key question now is: What could b ...

In the latest trading session, Owens Corning (OC) closed at $186.20, marking a -1.79% move from the previous day. This change lagged the S&P 500's daily loss of 0.18%. Meanwhile, the Dow lost 0.8%, and the Nasdaq, a tech-heavy index, added 0.27%.Prior to today's trading, shares of the construction materials company had gained 8.84% over the past month. This has outpaced the Construction sector's loss of 3.59% and the S&P 500's gain of 4.46% in that time.The upcoming earnings release of Owens Corning will be ...

Core Insights - The individual is pursuing a Bachelor's degree in Economics and Management while working as a financial market analyst, indicating a strong academic and professional background in finance [1] - The focus is on mid- and large-cap growth companies, particularly in the financial, technology, healthcare sectors, and REITs, suggesting a diversified investment strategy [1] - The investment journey began during the Covid lockdowns, highlighting a trend where many individuals turned to investing during economic uncertainty [1] Industry Focus - The financial industry is a primary area of interest, which may indicate potential growth opportunities as the economy stabilizes post-pandemic [1] - Technology and healthcare sectors are also emphasized, reflecting ongoing trends in digital transformation and health innovation, which are likely to continue driving market growth [1] - The inclusion of REITs suggests an interest in real estate investments, which can provide diversification and income generation in a portfolio [1]

Core Viewpoint - Owens Corning's strategic growth initiatives and investments are expected to drive future growth, particularly in the Insulation and Roofing segments, despite facing inflationary pressures and labor challenges [1][2]. Factors Supporting Owens Corning's Growth - Strategic growth initiatives focus on expanding product offerings, optimizing networks, and automating processes, enhancing efficiency and cost-effectiveness, leading to stronger profits and growth [3]. - The Composites segment is expanding key product platforms like non-wovens and investing in new product lines, including structural composite lumber and decking [4]. - In the Roofing segment, the company is expanding its contractor network, innovating new products, and increasing shingle capacity, which has led to significant capital investments over the past two years [5]. - The acquisition of Masonite strengthens Owens Corning's position in residential and commercial markets, diversifying its portfolio and accelerating growth [6]. - Commitment to product innovation, including new weather-resistant barriers and product lines, ensures the company stays ahead of market trends, with 13 new or improved products launched in Q1 2024 [7]. - The roofing segment has shown steady growth, with a 2% year-over-year increase in top-line performance during the first half of 2024, driven by higher selling prices and a favorable product mix [8]. Financial Strength - Owens Corning maintains a solid liquidity position of $1.4 billion as of June 30, consisting of $254 million in cash and cash equivalents and $1.1 billion available on bank debt facilities, with a debt-to-EBITDA ratio of 2.2x [10][9]. Hurdles to Cross - The company anticipates flat or declining revenues in certain segments for Q3, particularly in roofing and doors, with industry shipments for U.S. shingle end-market demand expected to decline mid-to-high single digits [10][11]. - Inflationary pressures and rising costs of raw materials continue to challenge profitability, particularly in insulation and roofing segments [12]. - Currency risks from operations in Europe and Asia-Pacific have affected sales and profits, with global economic uncertainties potentially exacerbating these issues [13]. - The company's performance is closely tied to the housing market, with higher inflation impacting housing affordability and potentially dampening demand for building materials [14].

Core Viewpoint - Owens Corning (OC) has been a highly searched stock recently, indicating potential interest and volatility in its performance [1] Group 1: Stock Performance - Shares of Owens Corning have returned +8.8% over the past month, outperforming the Zacks S&P 500 composite's +5.4% and the Zacks Building Products - Miscellaneous industry's +9.1% [2] - The key question remains regarding the stock's direction in the near term, influenced by both media reports and fundamental factors [2] Group 2: Earnings Estimates - Owens Corning is expected to post earnings of $4.01 per share for the current quarter, reflecting a year-over-year decline of -3.4% [5] - The consensus earnings estimate for the current fiscal year is $15.39, indicating a year-over-year increase of +6.7% [5] - For the next fiscal year, the consensus estimate is $16.04, suggesting a growth of +4.3% compared to the previous year [6] Group 3: Revenue Growth - The consensus sales estimate for the current quarter is $3.04 billion, representing a year-over-year increase of +22.7% [9] - Estimated revenues for the current and next fiscal years are $10.97 billion and $11.89 billion, indicating changes of +13.4% and +8.4%, respectively [9] Group 4: Recent Results and Surprises - In the last reported quarter, Owens Corning achieved revenues of $2.79 billion, a year-over-year increase of +8.8%, with an EPS of $4.64 compared to $4.22 a year ago [10] - The reported revenues were -2.95% below the Zacks Consensus Estimate, while the EPS exceeded estimates by +6.18% [11] - The company has consistently beaten consensus EPS estimates over the last four quarters and has topped revenue estimates twice [11] Group 5: Valuation - Owens Corning is graded B in the Zacks Value Style Score, indicating it is trading at a discount compared to its peers [15] - Valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) are essential for assessing whether the stock is overvalued, fairly valued, or undervalued [13][14] Group 6: Overall Outlook - The Zacks Rank 3 (Hold) suggests that Owens Corning may perform in line with the broader market in the near term [7][16]

Owens Corning (OC) closed at $182.08 in the latest trading session, marking a +0.36% move from the prior day. The stock lagged the S&P 500's daily gain of 0.97%. At the same time, the Dow added 0.3%, and the techheavy Nasdaq gained 1.45%. Prior to today's trading, shares of the construction materials company had gained 15.89% over the past month. This has outpaced the Construction sector's gain of 8.21% and the S&P 500's gain of 5.41% in that time. Market participants will be closely following the financial ...

Owens Corning (OC) ended the recent trading session at $170.79, demonstrating a +1.8% swing from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.03%. Elsewhere, the Dow saw a downswing of 0.04%, while the tech-heavy Nasdaq appreciated by 0.2%. Prior to today's trading, shares of the construction materials company had gained 3.19% over the past month. This has lagged the Construction sector's gain of 5.35% and outpaced the S&P 500's gain of 1.54% in that time. Analysts and ...

Core Viewpoint - Owens Corning reported mixed results for Q2 2024, with earnings exceeding estimates while net sales fell short, driven by strong commercial execution and the acquisition of Masonite [2][3]. Financial Performance - Adjusted EPS was $4.64, surpassing the consensus estimate of $4.37 by 6.2% and increasing 9% from $4.25 a year ago [3]. - Net sales reached $2.79 billion, missing the consensus mark of $2.87 billion by 3% but reflecting a 9% year-over-year increase from $2.56 billion [3]. Segment Performance - Composites segment net sales decreased 12% year-over-year to $546 million due to lower volumes and price declines [4]. - Insulation segment net sales were $916 million, up 1% year-over-year, with strong North American demand but weaker European performance [6]. - Roofing segment net sales decreased 2% year-over-year to $1.11 billion, affected by lower volumes but offset by positive price realization [8]. - Doors segment reported net sales of $311 million, meeting expectations despite market pressures [9]. Margin Analysis - EBIT margin contracted to 11% from 14% year-over-year, while EBITDA margins decreased to 19% from 21% [5]. - Insulation segment EBIT margin rose 200 bps to 20%, with EBITDA margin increasing to 26% from 24% [7]. - Roofing segment EBIT and EBITDA margins expanded to 34% and 35%, respectively, due to strong commercial execution [9]. Cash Flow and Balance Sheet - Net cash provided by operating activities was $517 million, up from $330 million in the previous year [11]. - As of June 30, 2024, cash and cash equivalents totaled $254 million, down from $1.62 billion at the end of 2023, while long-term debt rose to $5.02 billion from $2.62 billion [10]. Q3 and 2024 Outlook - For Q3, the company expects net sales growth in the low-20% range and EBIT margin in the high teens [14]. - The 2024 outlook includes increased corporate expenses and interest expenses, with capital additions estimated at approximately $650 million [15]. Market Trends - The company anticipates ongoing demand for single-family new construction and solid non-discretionary repair and remodeling activity, despite soft discretionary activity [12][13].

In the latest trading session, Owens Corning (OC) closed at $159.98, marking a +0.23% move from the previous day. The stock's performance was ahead of the S&P 500's daily loss of 0.16%. At the same time, the Dow added 0.09%, and the tech-heavy Nasdaq lost 0.3%. Shares of the construction materials company have appreciated by 1.29% over the course of the past month, underperforming the Construction sector's gain of 1.53% and the S&P 500's gain of 3.64%. Analysts and investors alike will be keeping a close ey ...

Core Viewpoint - Owens Corning (OC) has experienced a 7.1% decline in stock value over the past three months, contrasting with a 9.5% growth in the Zacks Building Products - Miscellaneous industry, despite healthy demand in the North American building and construction market [1][2] Group 1: Volume and Revenue Expectations - For Q3, Owens Corning anticipates flat to slightly declining Roofing revenues year-over-year, with U.S. shingle end-market demand expected to decrease by mid-to-high single digits [4] - The company projects a decline in discretionary repair and remodeling activity, particularly affecting demand for Doors products, with expected top-line performance down by high-single digits [5] - In the Composites segment, overall revenues are expected to decrease by low to mid-single digits, with pricing anticipated to decline year-over-year [6] Group 2: Cost Pressures - Owens Corning is facing significant inflationary pressures, with total restructuring, acquisition, and divestiture-related costs amounting to $129 million in the first half of 2024, compared to gains of $124 million in the same period last year [7] - Input materials are expected to experience inflationary pressures across all business segments, impacting manufacturing investments in U.S. fiberglass insulation [8] Group 3: Currency and Economic Challenges - The company is exposed to risks from unfavorable foreign currency movements due to its operations in Europe and Asia-Pacific, alongside dependence on housing market demand [9]