Owens Corning Earnings: What To Look For From OC
Building and construction materials manufacturer Owens Corning (NYSE:OC) will be reporting earnings this Wednesday morning. Here’s what you need to know.
Owens Corning missed analysts’ revenue expectations last quarter, reporting revenues of $2.68 billion, down 2.9% year on year. It was a softer quarter for the company, with revenue guidance for next quarter missing analysts’ expectations significantly and a significant miss of analysts’ adjusted operating income estimates.
This quarter, the market is expecting Owens Corning’s revenue to decline 23.4% year on year, a reversal from the 23.3% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Owens Corning has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Owens Corning’s peers in the home construction materials segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Builders FirstSource’s revenues decreased 12.1% year on year, missing analysts’ expectations by 2.8%, and Simpson reported revenues up 4.2%, topping estimates by 1.6%. Builders FirstSource’s stock price was unchanged after the resultswhile Simpson was up 5%.
There has been positive sentiment among investors in the home construction materials segment, with share prices up 4.3% on average over the last month. Owens Corning is up 5.4% during the same time and is heading into earnings with an average analyst price target of $137.69 (compared to the current share price of $128.98).
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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