Owens Corning (OC) Lifted to Hold at Zacks Investment Research
Zacks Investment Research upgraded shares of Owens Corning (NYSE:OC) from a sell rating to a hold rating in a research note released on Monday.
According to Zacks, “Shares of Owens Corning has declined over the past year. Earnings estimates for 2019 have also declined over the past 30 days, raising concern over the stock's earnings growth potential. Increased raw material and transportation costs have been denting its profitability. Also, adverse geographic mix, negative impact of foreign currencies translation and lower shingle volumes have been hurting the company’s performance over the past year. Yet, the company's effort on strategic acquisitions is likely to boost growth. It remains focused to achieve its $120-million pricing forecast for 2018. In fact, it has achieved strong price realization and expects double-digit operating margins for all the three businesses in 2018. In the first nine months of 2018, pricing actions resulted in price improvement of $170 million. Although It expects the benefits from higher price realization to continue further, we wait for better visibility.”
Other equities analysts also recently issued research reports about the stock. Bank of America downgraded shares of Owens Corning from a neutral rating to an underperform rating in a report on Tuesday, October 23rd. Credit Suisse Group cut their price target on shares of Owens Corning from $57.00 to $47.00 and set a neutral rating on the stock in a report on Thursday, October 25th. Barclays upgraded shares of Owens Corning from an equal weight rating to an overweight rating and cut their price target for the stock from $62.00 to $58.00 in a report on Thursday, October 25th. TheStreet downgraded shares of Owens Corning from a b- rating to a c+ rating in a report on Tuesday, October 30th. Finally, Buckingham Research initiated coverage on Owens Corning in a research report on Friday, February 1st. They issued a neutral rating and a $54.00 price objective on the stock. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating and nine have assigned a buy rating to the stock. The company has a consensus rating of Hold and an average target price of $71.29.
The company also recently declared a quarterly dividend, which was paid on Friday, January 18th. Shareholders of record on Thursday, January 3rd were given a dividend of $0.22 per share. This is a positive change from Owens Corning’s previous quarterly dividend of $0.21. The ex-dividend date was Wednesday, January 2nd. This represents a $0.88 annualized dividend and a yield of 1.67%. Owens Corning’s payout ratio is 20.00%.
Several large investors have recently added to or reduced their stakes in OC. Trust Co. of Vermont acquired a new position in shares of Owens Corning in the fourth quarter valued at approximately $40,000. Reilly Financial Advisors LLC acquired a new position in Owens Corning during the fourth quarter worth $48,000. Oregon Public Employees Retirement Fund grew its holdings in Owens Corning by 5,667.2% during the fourth quarter. Oregon Public Employees Retirement Fund now owns 2,135,185 shares of the construction company’s stock worth $49,000 after acquiring an additional 2,098,162 shares during the period. IFP Advisors Inc grew its holdings in Owens Corning by 32.7% during the fourth quarter. IFP Advisors Inc now owns 1,262 shares of the construction company’s stock worth $55,000 after acquiring an additional 311 shares during the period. Finally, Gradient Investments LLC acquired a new position in Owens Corning during the third quarter worth $138,000. 92.66% of the stock is currently owned by institutional investors and hedge funds.
About Owens Corning
Owens Corning, together with its subsidiaries, produces and sells glass fiber reinforcements and other materials for composites; and residential and commercial building materials worldwide. It operates in three segments: Composites, Insulation, and Roofing. The Composites segment manufactures, fabricates, and sells glass reinforcements in the form of fiber; and manufactures and sells glass fiber products in the form of fabrics, non-wovens, and other specialized products.
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