Owens Corning (OC) Rises Higher Than Market: Key Facts

Owens Corning (OC) closed the most recent trading day at $114.95, moving +1.81% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.62%. Elsewhere, the Dow gained 0.58%, while the tech-heavy Nasdaq added 0.83%.

Shares of the construction materials company have appreciated by 5.2% over the course of the past month, outperforming the Construction sector's gain of 0.89%, and the S&P 500's gain of 0.8%.

Investors will be eagerly watching for the performance of Owens Corning in its upcoming earnings disclosure. The company is expected to report EPS of $1.21, down 59.26% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $2.13 billion, indicating a 15.64% downward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $10.01 per share and a revenue of $9.74 billion, representing changes of -16.93% and -3.58%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Owens Corning. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Owens Corning is holding a Zacks Rank of #5 (Strong Sell) right now.

In terms of valuation, Owens Corning is currently trading at a Forward P/E ratio of 11.28. This denotes a discount relative to the industry average Forward P/E of 17.91.

Investors should also note that OC has a PEG ratio of 1.83 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Building Products - Miscellaneous stocks are, on average, holding a PEG ratio of 1.34 based on yesterday's closing prices.

The Building Products - Miscellaneous industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 183, finds itself in the bottom 25% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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