We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
If You Invested $1000 in Owens Corning a Decade Ago, This is How Much It'd Be Worth Now
Read MoreHide Full Article
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Owens Corning (OC - Free Report) ten years ago? It may not have been easy to hold on to OC for all that time, but if you did, how much would your investment be worth today?
Owens Corning's Business In-Depth
With that in mind, let's take a look at Owens Corning's main business drivers.
Owens Corning is a world leader in building materials systems and composite solutions. Since its inception in 1938, the company has evolved as a market-leading innovator of glass fiber technology. Its products include glass fiber that is used to support composite materials for transportation, electronics, marine, infrastructure, wind energy and other high-performance markets for insulation as well as roofing for residential, commercial and industrial applications.
The company has three reportable segments — Composites, Insulation and Roofing.
Composites segment (accounting for 27.3% of total 2022 sales) includes vertically integrated downstream activities and specializes in the production of glass fiber reinforcement materials. Demand for composites is driven by general global economic activity and by the increasing replacement of traditional materials such as aluminum, wood and steel with composites that offer lighter weight, improved strength, lack of conductivity and corrosion resistance.
Insulation segment (38%) products include thermal and acoustical batts, loose-fill insulation, foam sheathing and accessories, glass fiber pipe insulation, energy efficient flexible duct media, bonded and granulated mineral wool insulation, cellular glass insulation as well as foam insulation. Demand for Owens Corning’s insulating products is driven by new residential construction, remodeling and repair activity, commercial and industrial construction activity, increasingly stringent building codes and the growing need for energy efficiency.
Roofing segment (37.5%) products include laminate and strip asphalt roofing shingles, roofing components, synthetic packaging materials and oxidized asphalt. Demand for products in the Roofing segment is generally driven by residential repair and remodeling activity and by new residential construction. Roofing damage from major storms can significantly increase demand in the segment.
[Note: For 2022, corporate eliminations constituted 2.8% of net sales]
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Owens Corning a decade ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in August 2013 would be worth $3,689.98, or a gain of 269%, as of August 11, 2023, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 164.21% and the price of gold went up 40% over the same time frame.
Analysts are forecasting more upside for OC too.
Owens Corning reported impressive results for second-quarter 2023, with earnings and net sales surpassing the Zacks Consensus Estimate by 27.9% and 1.8%, respectively. On a year-over-year basis, earnings increased, but revenues declined. The upside was backed by solid Roofing segment performance. On a year-over-year basis, the segment’s sales increased 10% to $1.1 billion. The upside was driven by higher volumes related to storm activity and positive price realization. Also, its focus on pricing initiatives and product innovation bodes well. For the third quarter of 2023, the company expects EBIT margins in the high teens compared with 19% reported in the prior-year quarter. Shares of OC have outperformed its industry in the past year. Earnings estimates for 2023 have increased in the past 30 days.
The stock is up 5.95% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 6 higher, for fiscal 2023. The consensus estimate has moved up as well.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
If You Invested $1000 in Owens Corning a Decade Ago, This is How Much It'd Be Worth Now
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Owens Corning (OC - Free Report) ten years ago? It may not have been easy to hold on to OC for all that time, but if you did, how much would your investment be worth today?
Owens Corning's Business In-Depth
With that in mind, let's take a look at Owens Corning's main business drivers.
Owens Corning is a world leader in building materials systems and composite solutions. Since its inception in 1938, the company has evolved as a market-leading innovator of glass fiber technology. Its products include glass fiber that is used to support composite materials for transportation, electronics, marine, infrastructure, wind energy and other high-performance markets for insulation as well as roofing for residential, commercial and industrial applications.
The company has three reportable segments — Composites, Insulation and Roofing.
Composites segment (accounting for 27.3% of total 2022 sales) includes vertically integrated downstream activities and specializes in the production of glass fiber reinforcement materials. Demand for composites is driven by general global economic activity and by the increasing replacement of traditional materials such as aluminum, wood and steel with composites that offer lighter weight, improved strength, lack of conductivity and corrosion resistance.
Insulation segment (38%) products include thermal and acoustical batts, loose-fill insulation, foam sheathing and accessories, glass fiber pipe insulation, energy efficient flexible duct media, bonded and granulated mineral wool insulation, cellular glass insulation as well as foam insulation. Demand for Owens Corning’s insulating products is driven by new residential construction, remodeling and repair activity, commercial and industrial construction activity, increasingly stringent building codes and the growing need for energy efficiency.
Roofing segment (37.5%) products include laminate and strip asphalt roofing shingles, roofing components, synthetic packaging materials and oxidized asphalt. Demand for products in the Roofing segment is generally driven by residential repair and remodeling activity and by new residential construction. Roofing damage from major storms can significantly increase demand in the segment.
[Note: For 2022, corporate eliminations constituted 2.8% of net sales]
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Owens Corning a decade ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in August 2013 would be worth $3,689.98, or a gain of 269%, as of August 11, 2023, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 164.21% and the price of gold went up 40% over the same time frame.
Analysts are forecasting more upside for OC too.
Owens Corning reported impressive results for second-quarter 2023, with earnings and net sales surpassing the Zacks Consensus Estimate by 27.9% and 1.8%, respectively. On a year-over-year basis, earnings increased, but revenues declined. The upside was backed by solid Roofing segment performance. On a year-over-year basis, the segment’s sales increased 10% to $1.1 billion. The upside was driven by higher volumes related to storm activity and positive price realization. Also, its focus on pricing initiatives and product innovation bodes well. For the third quarter of 2023, the company expects EBIT margins in the high teens compared with 19% reported in the prior-year quarter. Shares of OC have outperformed its industry in the past year. Earnings estimates for 2023 have increased in the past 30 days.
The stock is up 5.95% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 6 higher, for fiscal 2023. The consensus estimate has moved up as well.