OWENS CORNING (OC) Fundamental Analysis & Valuation
NYSE:OC • US6907421019
114.09 USD
-2.76 (-2.36%)
Last: Mar 5, 2026, 10:32 AM
This OC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall OC gets a fundamental rating of 4 out of 10. We evaluated OC against 42 industry peers in the Building Products industry. There are concerns on the financial health of OC while its profitability can be described as average. OC has a bad growth rate and is valued cheaply.
1. OC Profitability Analysis
1.1 Basic Checks
- OC had positive earnings in the past year.
- In the past year OC had a positive cash flow from operations.
- OC had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years OC had a positive operating cash flow.
1.2 Ratios
- OC has a Return On Assets of -4.02%. This is in the lower half of the industry: OC underperforms 73.81% of its industry peers.
- Looking at the Return On Equity, with a value of -13.55%, OC is doing worse than 71.43% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 12.24%, OC is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for OC is in line with the industry average of 11.86%.
- The 3 year average ROIC (12.20%) for OC is below the current ROIC(12.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.02% | ||
| ROE | -13.55% | ||
| ROIC | 12.24% |
ROA(3y)3.74%
ROA(5y)6.54%
ROE(3y)7.45%
ROE(5y)14.53%
ROIC(3y)12.2%
ROIC(5y)13.15%
1.3 Margins
- OC's Operating Margin of 15.91% is fine compared to the rest of the industry. OC outperforms 64.29% of its industry peers.
- In the last couple of years the Operating Margin of OC has grown nicely.
- OC has a Gross Margin of 28.52%. This is comparable to the rest of the industry: OC outperforms 45.24% of its industry peers.
- OC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.91% | ||
| PM (TTM) | N/A | ||
| GM | 28.52% |
OM growth 3Y-2.46%
OM growth 5Y4.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.55%
GM growth 5Y4.22%
2. OC Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), OC is creating some value.
- Compared to 1 year ago, OC has less shares outstanding
- OC has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, OC has a worse debt to assets ratio.
2.2 Solvency
- OC has an Altman-Z score of 2.35. This is not the best score and indicates that OC is in the grey zone with still only limited risk for bankruptcy at the moment.
- OC's Altman-Z score of 2.35 is on the low side compared to the rest of the industry. OC is outperformed by 71.43% of its industry peers.
- The Debt to FCF ratio of OC is 5.38, which is a neutral value as it means it would take OC, 5.38 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 5.38, OC perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
- A Debt/Equity ratio of 1.23 is on the high side and indicates that OC has dependencies on debt financing.
- The Debt to Equity ratio of OC (1.23) is worse than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.38 | ||
| Altman-Z | 2.35 |
ROIC/WACC1.41
WACC8.67%
2.3 Liquidity
- OC has a Current Ratio of 1.26. This is a normal value and indicates that OC is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.26, OC is doing worse than 80.95% of the companies in the same industry.
- OC has a Quick Ratio of 1.26. This is a bad value and indicates that OC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.70, OC is not doing good in the industry: 88.10% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.7 |
3. OC Growth Analysis
3.1 Past
- OC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.51%.
- The Earnings Per Share has been growing by 18.66% on average over the past years. This is quite good.
- OC shows a decrease in Revenue. In the last year, the revenue decreased by -7.95%.
- OC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.45% yearly.
EPS 1Y (TTM)-24.51%
EPS 3Y-2.09%
EPS 5Y18.66%
EPS Q2Q%-65.84%
Revenue 1Y (TTM)-7.95%
Revenue growth 3Y1.15%
Revenue growth 5Y7.45%
Sales Q2Q%-24.58%
3.2 Future
- Based on estimates for the next years, OC will show a small growth in Earnings Per Share. The EPS will grow by 6.43% on average per year.
- The Revenue is expected to grow by 1.17% on average over the next years.
EPS Next Y-15.76%
EPS Next 2Y1.29%
EPS Next 3Y6.43%
EPS Next 5YN/A
Revenue Next Year-4.31%
Revenue Next 2Y-0.37%
Revenue Next 3Y1.17%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. OC Valuation Analysis
4.1 Price/Earnings Ratio
- OC is valuated reasonably with a Price/Earnings ratio of 9.55.
- OC's Price/Earnings ratio is rather cheap when compared to the industry. OC is cheaper than 97.62% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.03, OC is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 11.33, the valuation of OC can be described as reasonable.
- 85.71% of the companies in the same industry are more expensive than OC, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.11, OC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.55 | ||
| Fwd PE | 11.33 |
4.2 Price Multiples
- OC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. OC is cheaper than 100.00% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, OC is valued cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.53 | ||
| EV/EBITDA | 6.16 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.51
EPS Next 2Y1.29%
EPS Next 3Y6.43%
5. OC Dividend Analysis
5.1 Amount
- OC has a Yearly Dividend Yield of 2.76%.
- OC's Dividend Yield is rather good when compared to the industry average which is at 0.66. OC pays more dividend than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, OC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
5.2 History
- On average, the dividend of OC grows each year by 24.04%, which is quite nice.
- OC has paid a dividend for at least 10 years, which is a reliable track record.
- OC has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)24.04%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- OC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
- OC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-44.44%
EPS Next 2Y1.29%
EPS Next 3Y6.43%
OC Fundamentals: All Metrics, Ratios and Statistics
NYSE:OC (3/5/2026, 10:32:08 AM)
114.09
-2.76 (-2.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)02-25 2026-02-25/bmo
Earnings (Next)05-05 2026-05-05
Inst Owners99.62%
Inst Owner Change1.58%
Ins Owners0.91%
Ins Owner Change3.54%
Market Cap9.17B
Revenue(TTM)10.10B
Net Income(TTM)-522.00M
Analysts78.57
Price Target139.63 (22.39%)
Short Float %3.48%
Short Ratio2.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
Yearly Dividend2.8
Dividend Growth(5Y)24.04%
DP-44.44%
Div Incr Years6
Div Non Decr Years6
Ex-Date03-09 2026-03-09 (0.79)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.56%
Min EPS beat(2)-21.2%
Max EPS beat(2)-3.93%
EPS beat(4)2
Avg EPS beat(4)-4.38%
Min EPS beat(4)-21.2%
Max EPS beat(4)7.07%
EPS beat(8)6
Avg EPS beat(8)1.54%
EPS beat(12)10
Avg EPS beat(12)6.25%
EPS beat(16)14
Avg EPS beat(16)6.92%
Revenue beat(2)0
Avg Revenue beat(2)-3.79%
Min Revenue beat(2)-4.2%
Max Revenue beat(2)-3.38%
Revenue beat(4)0
Avg Revenue beat(4)-2.81%
Min Revenue beat(4)-4.2%
Max Revenue beat(4)-1.36%
Revenue beat(8)0
Avg Revenue beat(8)-2.32%
Revenue beat(12)1
Avg Revenue beat(12)-1.99%
Revenue beat(16)2
Avg Revenue beat(16)-1.8%
PT rev (1m)0.74%
PT rev (3m)-3.13%
EPS NQ rev (1m)-2.97%
EPS NQ rev (3m)-6.31%
EPS NY rev (1m)-1.3%
EPS NY rev (3m)-24.55%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-0.39%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-6.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.55 | ||
| Fwd PE | 11.33 | ||
| P/S | 0.91 | ||
| P/FCF | 9.53 | ||
| P/OCF | 5.13 | ||
| P/B | 2.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.16 |
EPS(TTM)11.95
EY10.47%
EPS(NY)10.07
Fwd EY8.82%
FCF(TTM)11.97
FCFY10.49%
OCF(TTM)22.22
OCFY19.48%
SpS125.69
BVpS47.93
TBVpS-4.49
PEG (NY)N/A
PEG (5Y)0.51
Graham Number113.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.02% | ||
| ROE | -13.55% | ||
| ROCE | 15.57% | ||
| ROIC | 12.24% | ||
| ROICexc | 12.66% | ||
| ROICexgc | 21.85% | ||
| OM | 15.91% | ||
| PM (TTM) | N/A | ||
| GM | 28.52% | ||
| FCFM | 9.52% |
ROA(3y)3.74%
ROA(5y)6.54%
ROE(3y)7.45%
ROE(5y)14.53%
ROIC(3y)12.2%
ROIC(5y)13.15%
ROICexc(3y)13.41%
ROICexc(5y)14.68%
ROICexgc(3y)23.68%
ROICexgc(5y)24.85%
ROCE(3y)15.47%
ROCE(5y)16.66%
ROICexgc growth 3Y-8.96%
ROICexgc growth 5Y7.75%
ROICexc growth 3Y-10.23%
ROICexc growth 5Y5.72%
OM growth 3Y-2.46%
OM growth 5Y4.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.55%
GM growth 5Y4.22%
F-Score4
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.38 | ||
| Debt/EBITDA | 2.06 | ||
| Cap/Depr | 118.73% | ||
| Cap/Sales | 8.16% | ||
| Interest Coverage | 5.93 | ||
| Cash Conversion | 77.62% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 2.35 |
F-Score4
WACC8.67%
ROIC/WACC1.41
Cap/Depr(3y)100.22%
Cap/Depr(5y)93.51%
Cap/Sales(3y)7%
Cap/Sales(5y)6.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-24.51%
EPS 3Y-2.09%
EPS 5Y18.66%
EPS Q2Q%-65.84%
EPS Next Y-15.76%
EPS Next 2Y1.29%
EPS Next 3Y6.43%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.95%
Revenue growth 3Y1.15%
Revenue growth 5Y7.45%
Sales Q2Q%-24.58%
Revenue Next Year-4.31%
Revenue Next 2Y-0.37%
Revenue Next 3Y1.17%
Revenue Next 5YN/A
EBIT growth 1Y-16.26%
EBIT growth 3Y-1.33%
EBIT growth 5Y12.57%
EBIT Next Year20.62%
EBIT Next 3Y11.67%
EBIT Next 5YN/A
FCF growth 1Y-22.73%
FCF growth 3Y-9.87%
FCF growth 5Y3.05%
OCF growth 1Y-5.6%
OCF growth 3Y0.49%
OCF growth 5Y9.49%
OWENS CORNING / OC FAQ
What is the fundamental rating for OC stock?
ChartMill assigns a fundamental rating of 4 / 10 to OC.
Can you provide the valuation status for OWENS CORNING?
ChartMill assigns a valuation rating of 7 / 10 to OWENS CORNING (OC). This can be considered as Undervalued.
Can you provide the profitability details for OWENS CORNING?
OWENS CORNING (OC) has a profitability rating of 5 / 10.
How financially healthy is OWENS CORNING?
The financial health rating of OWENS CORNING (OC) is 3 / 10.
Is the dividend of OWENS CORNING sustainable?
The dividend rating of OWENS CORNING (OC) is 5 / 10 and the dividend payout ratio is -44.44%.