In the latest trading session, Owens Corning (OC) closed at $144.08, marking a +0.88% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.38%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq gained 0.87%.
The construction materials company's shares have seen a decrease of 3.82% over the last month, surpassing the Construction sector's loss of 4.81% and the S&P 500's loss of 5.59%.
The investment community will be closely monitoring the performance of Owens Corning in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $2.94, reflecting a 18.11% decrease from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $2.52 billion, indicating a 9.55% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $14.59 per share and a revenue of $10.62 billion, demonstrating changes of -8.3% and -3.26%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for Owens Corning. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.94% decrease. Right now, Owens Corning possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Owens Corning is currently trading at a Forward P/E ratio of 9.79. This valuation marks a discount compared to its industry's average Forward P/E of 15.24.
Meanwhile, OC's PEG ratio is currently 2.3. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Building Products - Miscellaneous stocks are, on average, holding a PEG ratio of 1.77 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 169, finds itself in the bottom 33% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Owens Corning Inc (OC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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