For many buyers, how a lot a inventory’s worth modifications over time is necessary. This issue can influence your funding portfolio in addition to aid you examine funding outcomes throughout sectors and industries.
One other issue that may affect buyers is FOMO, or the worry of lacking out, particularly with tech giants and fashionable consumer-facing shares.
What for those who’d invested in Owens Corning (OC) ten years in the past? It could not have been simple to carry on to OC for all that point, however for those who did, how a lot would your funding be value in the present day?
Owens Corning’s Enterprise In-Depth
With that in thoughts, let’s check out Owens Corning’s foremost enterprise drivers.
Owens Corning is a world chief in constructing supplies methods and composite options. Since its inception in 1938, the corporate has advanced as a market-leading innovator of glass fiber expertise. Its merchandise embody glass fiber that’s used to help composite supplies for transportation, electronics, marine, infrastructure, wind vitality and different high-performance markets for insulation in addition to roofing for residential, business and industrial purposes.
The corporate has three reportable segments — Roofing, Insulation and Composites.
Roofing phase (accounting for 41.6% of whole 2023 gross sales) merchandise embody laminate and strip asphalt roofing shingles, roofing elements, artificial packaging supplies and oxidized asphalt. Demand for merchandise within the Roofing phase is usually pushed by residential restore and transforming exercise and by new residential building. Roofing injury from main storms can considerably improve demand within the phase.
Insulation phase (37.9%) merchandise embody thermal and acoustical batts, loose-fill insulation, foam sheathing and equipment, glass fiber pipe insulation, vitality environment friendly versatile duct media, bonded and granulated mineral wool insulation, mobile glass insulation in addition to foam insulation. Demand for Owens Corning’s insulating merchandise is pushed by new residential building, transforming and restore exercise, business and industrial building exercise, more and more stringent constructing codes and the rising want for vitality effectivity.
Composites phase (23.6%) consists of vertically built-in downstream actions and specializes within the manufacturing of glass fiber reinforcement supplies. Demand for composites is pushed by common world financial exercise and by the rising substitute of conventional supplies akin to aluminum, wooden and metal with composites that supply lighter weight, improved power, lack of conductivity and corrosion resistance.
[Note: For 2023, corporate eliminations constituted 3.1% of net sales]
Backside Line
Placing collectively a profitable funding portfolio takes a mixture of analysis, persistence, and slightly little bit of threat. For Owens Corning, for those who purchased shares a decade in the past, you are possible feeling actually good about your funding in the present day.
A $1000 funding made in February 2015 can be value $4,545.45, or a 354.55% acquire, as of February 10, 2025, in accordance with our calculations. Buyers ought to notice that this return excludes dividends however consists of worth will increase.
The S&P 500 rose 193.17% and the worth of gold elevated 122.76% over the identical timeframe as compared.
Trying forward, analysts expect extra upside for OC.
Shares of Owens Corning have outperformed the business previously six months. The corporate is benefiting from its strategic initiatives and structural enhancements. Its strategic deal with high-margin merchandise, bettering operational efficiencies, and divesting low-margin and capital-intensive companies, like these in China and Korea, will assist help robust monetary efficiency and foster development in 2025 as demand stabilizes. For fourth-quarter 2024, the corporate expects non-discretionary restore and transforming to remain robust in North America. Nevertheless, Owens Corning expects near-term demand to be affected by market challenges and seasonal developments with discretionary tasks and new single-family building weakening. Earnings estimates for 2025 have remained unchanged over the previous 60 days, limiting the upside potential of the inventory.
The inventory has jumped 8.01% over the previous 4 weeks. Moreover, no earnings estimate has gone decrease previously two months, in comparison with 2 increased, for fiscal 2024; the consensus estimate has moved up as nicely.
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Owens Corning Inc (OC) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.
