Is Owens Corning overvalued or undervalued?

As of 17 October 2025, the valuation grade for Owens Corning has moved from expensive to fair. Based on the current metrics, the company appears to be fairly valued. The P/E ratio stands at 13, which is lower than the peer average of approximately 15.01, while the EV to EBITDA ratio is 7.82 compared to the peer average of 8.72, indicating a competitive valuation. Additionally, the Price to Book Value is 3.30, reflecting a reasonable market valuation relative to its book value.
In comparison to its peers, Owens Corning's valuation ratios are more attractive than those of Ball Corp. (P/E of 38.35) and Avery Dennison Corp. (P/E of 28.96), suggesting that it is positioned well within the industry. However, its recent stock performance has lagged behind the S&P 500, with a year-to-date return of -25.46% compared to the S&P 500's 13.30%. This underperformance, particularly over the past year with a return of -32.26% against the S&P 500's 14.08%, may indicate market skepticism despite its fair valuation.