Bank of America Corp. Downgrades Owens Corning to Neutral (OC)
Owens Corning (NYSE:OC) was downgraded by research analysts at Bank of America Corp. from a “buy” rating to a “neutral” rating in a report released on Monday, Analyst Ratings Net reports. They currently have a $40.00 price target on the stock, down from their previous price target of $43.00. Bank of America Corp.’s price target indicates a potential upside of 6.92% from the stock’s previous close.
The analysts wrote, “We move to Neutral on OC. Our new PO is $40, which does not offer sufficient upside to keep our Buy rating. In turn, as we discuss below, our estimates are reduced once again which causes us to lower our normalized free cash flow (FCF) estimate (to $500mn from $600mn) and our targeted midcycle multiples by 1x. Ultimately, we believe OC should have leverage to a recovering housing sector.”
Several other analysts have also recently commented on the stock. Analysts at Zacks downgraded shares of Owens Corning from a “neutral” rating to an “underperform” rating in a research note to investors on Friday. They now have a $35.90 price target on the stock. Separately, analysts at RBC Capital cut their price target on shares of Owens Corning from $47.00 to $42.00 in a research note to investors on Thursday. They now have a “sector perform” rating on the stock. Finally, analysts at Jefferies Group cut their price target on shares of Owens Corning from $55.00 to $52.00 in a research note to investors on Thursday. They now have a “buy” rating on the stock. One research analyst has rated the stock with a sell rating, ten have issued a hold rating and ten have given a buy rating to the company. The stock has an average rating of “Hold” and an average target price of $40.05.
Owens Corning (NYSE:OC) traded down 1.03% on Monday, hitting $37.41. The stock had a trading volume of 2,401,839 shares. Owens Corning has a 52-week low of $29.48 and a 52-week high of $45.55. The stock has a 50-day moving average of $38.60 and a 200-day moving average of $40.34. The company has a market cap of $4.404 billion and a price-to-earnings ratio of 68.60.
Owens Corning (NYSE:OC) last issued its quarterly earnings data on Wednesday, October 23rd. The company reported $0.53 EPS for the quarter, missing the Thomson Reuters consensus estimate of $0.66 by $0.13. The company had revenue of $1.32 billion for the quarter, compared to the consensus estimate of $1.40 billion. During the same quarter in the prior year, the company posted $0.33 earnings per share. The company’s quarterly revenue was up 3.4% on a year-over-year basis. Analysts expect that Owens Corning will post $1.76 EPS for the current fiscal year.
Owens Corning is engaged in composite and building materials systems, delivering a range of products and services.
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