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 -41.38%, its profits have fallen by -10%
3
Below par performance in long term as well as near term
- Along with generating -41.38% 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
-15.01%
-0.91
37.47%
S&P 500
15.76%
0.70
20.15%
Quality key factors
Factor
Value
Sales Growth (5y)
7.45%
EBIT Growth (5y)
13.94%
EBIT to Interest (avg)
14.25
Debt to EBITDA (avg)
1.30
Net Debt to Equity (avg)
1.08
Sales to Capital Employed (avg)
1.07
Tax Ratio
31.50%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
22.16%
ROE (avg)
24.24%
Valuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
3.10
EV to EBIT
9.64
EV to EBITDA
7.11
EV to Capital Employed
1.95
EV to Sales
1.64
PEG Ratio
NA
Dividend Yield
2.07%
ROCE (Latest)
20.27%
ROE (Latest)
27.16%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Movement
4What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 6.25
DIVIDEND PAYOUT RATIO(Y)
Highest at 28.17%
NET SALES(Q)
Highest at USD 2,756 MM
-11What is not working for the Company
NET PROFIT(HY)
At USD 410.1 MM has Grown at -32.27%
ROCE(HY)
Lowest at -9.6%
RAW MATERIAL COST(Y)
Grown by 8.17% (YoY
CASH AND EQV(HY)
Lowest at USD 559 MM
DEBT-EQUITY RATIO
(HY)
Highest at 144.49 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.25 times
Here's what is working for Owens Corning
Dividend per share
Highest at USD 6.25 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 2,756 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Dividend Payout Ratio
Highest at 28.17%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Owens Corning
Net Profit
At USD 410.1 MM has Grown at -32.27%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (USD MM)
Cash and Eqv
Lowest at USD 559 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 144.49 %
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
Debtors Turnover Ratio
Lowest at 6.25 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 8.17% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
Footer loading






