Shares of Owens Corning (NYSE:OC) recorded -2.55% loss during trading session on November 8th, 2018. The script traded as low as $47.53 and last traded at $48.15. 1.85 million shares changed exchanged hands during trading, a drop of -9.31% from the 30-day average session volume of 1.69M shares. The firm had previously closed at $49.41. The company has $111.07M outstanding shares, a price-to-earnings ratio of 11.89, price-to-earnings-growth ratio of 0.77 and a beta of 1.11. The company has a RSI of 42.37, ATR of 1.95 and a volatility of 3.31% this week. OC has a 52 week low price of $42.88 and a 52 week high price of $96.52.
Investors have identified the tech company Owens Corning as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 5.35B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Owens Corning (OC) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For OC, the company has in raw cash 136 million on their books with 1.39 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 0 total, with 569 million as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
OC were able to record 0 as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 81 million. In cash movements, the company had a total of 0 as operating cash flow.
Potential earnings growth for Owens Corning (OC)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Owens Corning recorded a total of 1.82 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.06% coming in sequential stages and their sales for the third quarter reducing by -0.00%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.37 billion trying to sell their products during the last quarter, with the result yielding a gross income of 448 million. This allows shareholders to hold on to 111.07M with the revenue now reading 1460 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (1.01 cents a share).
Is the stock of OC attractive?
Having a look at the company’s valuation, the company is expected to record 5.52 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on OC sounds very interesting.
In related news, Director MORRIS W HOWARD sold 1,514 shares of the company’s stock in a transaction that recorded on August 23rd, 2018. The sale was performed at an average price of 58.47, for a total value of 88,524. As the sale deal closes, the President, Composites MORRIS W HOWARD now sold 53,766 shares of the company’s stock, valued at 4,364,863. Also, President, Composites Genis Arnaud sold 5,775 shares of the company’s stock in a deal that was recorded on March 14th, 2018. The shares were sold at an average price of 82.65 per share, with a total market value of 82,641. Following this completion of acquisition, the Sr. VP & General Counsel now holds 1,100 shares of the company’s stock, valued at 92,400. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.30%.
4 out of 19 analysts covering the stock have rated it a Buy, while 9 have maintained a Hold recommendation on Owens Corning stock. 0 analysts has assigned a Sell rating on the OC stock. The 12-month mean consensus price target for the company’s shares has been set at $60.33.