Why is Owens Corning ?
1
The company has declared Negative results for the last 4 consecutive quarters
- INTEREST(HY) At USD 127 MM has Grown at 56.79%
- ROCE(HY) Lowest at 12.26%
- CASH AND EQV(HY) Lowest at USD 646 MM
2
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -43.60%, its profits have fallen by -10%
3
Below par performance in long term as well as near term
- Along with generating -43.60% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Packaging)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Owens Corning for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Owens Corning
-44.89%
-0.95
37.28%
S&P 500
13.22%
0.64
20.20%
Quality key factors
Factor
Value
Sales Growth (5y)
10.42%
EBIT Growth (5y)
21.69%
EBIT to Interest (avg)
14.25
Debt to EBITDA (avg)
1.30
Net Debt to Equity (avg)
1.08
Sales to Capital Employed (avg)
1.10
Tax Ratio
31.50%
Dividend Payout Ratio
33.79%
Pledged Shares
0
Institutional Holding
95.96%
ROCE (avg)
22.16%
ROE (avg)
24.24%
Valuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
3.30
EV to EBIT
10.27
EV to EBITDA
7.82
EV to Capital Employed
2.11
EV to Sales
1.91
PEG Ratio
NA
Dividend Yield
143.97%
ROCE (Latest)
20.52%
ROE (Latest)
25.13%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
Bullish
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
3What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 6.72
EPS(Q)
Highest at USD 4.25
-10What is not working for the Company
INTEREST(HY)
At USD 127 MM has Grown at 56.79%
ROCE(HY)
Lowest at 12.26%
CASH AND EQV(HY)
Lowest at USD 646 MM
DEBT-EQUITY RATIO
(HY)
Highest at 111.16 %
Here's what is working for Owens Corning
Dividend per share
Highest at USD 6.72 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
EPS
Highest at USD 4.25
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Here's what is not working for Owens Corning
Interest
At USD 127 MM has Grown at 56.79%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Cash and Eqv
Lowest at USD 646 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 111.16 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






