Owens Corning (NYSE:OC) Releases Earnings Results, Beats Estimates By $0.21 EPS

Owens Corning (NYSE:OC) issued its quarterly earnings results on Wednesday. The construction company reported $1.22 EPS for the quarter, topping analysts’ consensus estimates of $1.01 by $0.21, Zacks reports. Owens Corning had a positive return on equity of 21.93% and a negative net margin of 5.17%.During the same period in the previous year, the company earned $2.97 EPS. The firm’s revenue for the quarter was down 10.5% compared to the same quarter last year.

Here are the key takeaways from Owens Corning’s conference call:

• Owens Corning delivered resilient profitability with $369 million of adjusted EBITDA in Q1 (16% margin); management is guiding to an enterprise EBITDA margin of roughly 20%–22% in Q2 and expects Roofing margins in the low-30% range.
• The company is capturing meaningful cost savings and portfolio cash — on track for ~$135 million run-rate enterprise synergies (exceeding its $125M target), pursuing an additional $75 million of structural COGS improvements, and completed the sale of Glass Reinforcements for ~$280 million plus $50–70M in excess alloy proceeds.
• Cash flow was pressured in Q1 with a net free cash flow outflow of $387 million due to seasonal working capital and elevated capex (Q1 capex $210 million; FY capex expected ~$800 million), although leverage remains mid-target at 2.5x and liquidity was $1.8 billion.
• Near-term margin risk from inflation and supply-costs — management estimates ~$60 million of incremental cost impact in Q2 (roughly half to Roofing), and says recent price increases will be realized with a lag while a potential ~$50 million tariff refund remains timing-uncertain and is excluded from guidance.

Owens Corning Price Performance

Owens Corning stock traded up $0.02 during midday trading on Wednesday, reaching $122.92. The company’s stock had a trading volume of 2,342,838 shares, compared to its average volume of 1,398,041. Owens Corning has a 52 week low of $97.53 and a 52 week high of $159.42. The company has a current ratio of 1.26, a quick ratio of 0.70 and a debt-to-equity ratio of 1.20. The business has a 50-day moving average price of $114.05 and a 200-day moving average price of $117.06. The stock has a market cap of $9.88 billion, a PE ratio of -19.21, a price-to-earnings-growth ratio of 1.98 and a beta of 1.35.

Owens Corning Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, April 9th. Shareholders of record on Monday, March 9th were given a $0.79 dividend. This represents a $3.16 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date was Monday, March 9th. Owens Corning’s payout ratio is currently -49.38%.

Key Stories Impacting Owens Corning

Here are the key news stories impacting Owens Corning this week:

• Positive Sentiment: Q1 EPS beat — OC reported $1.22 GAAP/adjusted EPS versus a $1.01 consensus, showing better-than-expected profitability on a per-share basis and helping sentiment. Article Title
• Positive Sentiment: Q2 revenue guidance appears set above consensus (roughly $2.6B–$2.7B vs. ~$2.5B consensus), which supports upside expectations for near-term revenue recovery. (Company guidance and slide deck published with the results.) Slide Deck / Guidance
• Positive Sentiment: Strategic update — Owens Corning says it completed a portfolio shift toward branded building products, positioning the business for higher-margin branded growth over time. That repositioning is being framed as a positive long-term structural move. Press Release
• Neutral Sentiment: Full materials and call transcript available — management’s prepared remarks and the analyst Q&A (useful for modeling) are posted, so investors can drill into segment details and margin drivers. Earnings Call Transcript
• Neutral Sentiment: Analyst consensus price target sits around $145.09, implying upside from current levels if guidance and margin progression hold. Analyst PT Summary
• Negative Sentiment: Revenue and EPS compression — net sales from continuing operations declined ~10% YoY to ~$2.3B and GAAP EPS from continuing operations fell materially versus prior-year $2.97, highlighting demand softness/cost mix pressures in the quarter. Earnings Release
• Negative Sentiment: Mixed margins and accounting effects — reported net margin metrics are weak (low singled-digit net margin / some negative net-margin framing in certain reports), and GAAP diluted EPS from continuing ops ($0.47) trails adjusted figures, which can complicate near-term investor interpretation. MarketBeat Summary

Analyst Upgrades and Downgrades

A number of brokerages recently commented on OC. Zacks Research upgraded Owens Corning from a “strong sell” rating to a “hold” rating in a research report on Monday, April 27th. Weiss Ratings restated a “sell (d+)” rating on shares of Owens Corning in a research report on Friday, March 27th. Argus upgraded Owens Corning to a “strong-buy” rating in a research report on Wednesday, January 14th. Citigroup decreased their price target on Owens Corning from $137.00 to $135.00 and set a “buy” rating on the stock in a research report on Thursday, January 8th. Finally, Barclays decreased their price target on Owens Corning from $138.00 to $135.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 8th. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $145.09.

Institutional Trading of Owens Corning

A number of hedge funds have recently made changes to their positions in the company. Virtu Financial LLC boosted its stake in shares of Owens Corning by 18.4% during the fourth quarter. Virtu Financial LLC now owns 3,286 shares of the construction company’s stock valued at $368,000 after purchasing an additional 511 shares in the last quarter. Corient Private Wealth LLC boosted its stake in shares of Owens Corning by 46.4% during the fourth quarter. Corient Private Wealth LLC now owns 47,940 shares of the construction company’s stock valued at $5,365,000 after purchasing an additional 15,197 shares in the last quarter. Alberta Investment Management Corp acquired a new stake in shares of Owens Corning during the fourth quarter valued at about $3,782,000. Mercer Global Advisors Inc. ADV boosted its stake in shares of Owens Corning by 10.1% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 29,485 shares of the construction company’s stock valued at $3,300,000 after purchasing an additional 2,702 shares in the last quarter. Finally, Vident Advisory LLC boosted its stake in shares of Owens Corning by 13.5% during the fourth quarter. Vident Advisory LLC now owns 12,950 shares of the construction company’s stock valued at $1,449,000 after purchasing an additional 1,536 shares in the last quarter. 88.40% of the stock is owned by institutional investors and hedge funds.

Owens Corning Company Profile

Owens Corning is a global leader in composite materials and building products, with a primary focus on insulation, roofing, and fiberglass composites. The company serves professional contractors, builders and industrial manufacturers by providing solutions designed to improve energy efficiency, structural performance and durability. Its products are used in residential, commercial, and industrial applications worldwide.

The company’s core product lines include fiberglass insulation for thermal and acoustic comfort, roofing shingles and underlayment systems engineered for weather protection, and advanced composite materials for markets such as wind energy, automotive, marine and infrastructure.