Owens Corning Q4 Earnings Miss Expectations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy OC?
Source: seekingalpha
- Disappointing Earnings: Owens Corning reported a Q4 non-GAAP EPS of $1.10, missing expectations by $0.26, indicating pressure on profitability amid challenging economic conditions, which may affect investor confidence.
- Significant Revenue Decline: The company's Q4 revenue of $2.14 billion represents a 16.7% year-over-year decline, falling short of expectations, reflecting weak demand in the building materials market that could pressure future performance.
- Cautious Financial Outlook: The 2026 financial outlook for continuing operations projects corporate EBITDA expenses between $245 million and $255 million, with interest expenses between $255 million and $265 million, highlighting challenges in cost management.
- Capital Expenditure Plans: Capital additions are expected to be approximately $800 million, with depreciation and amortization around $680 million, indicating that the company plans significant investments to maintain competitiveness despite current financial pressures.
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Analyst Views on OC
Wall Street analysts forecast OC stock price to rise
14 Analyst Rating
8 Buy
6 Hold
0 Sell
Moderate Buy
Current: 129.370
Low
113.00
Averages
135.42
High
163.00
Current: 129.370
Low
113.00
Averages
135.42
High
163.00
About OC
Owens Corning is a building products company. The Company's segments include Roofing, Insulation and Doors. The Company's Roofing segment manufactures and sells residential roofing shingles, oxidized asphalt materials, roofing components and composite lumber primarily used in residential construction. This segment also manufactures and sells glass mat and specialty veil materials used in building and construction applications. Its Insulation segment manufactures and sells thermal and acoustical batts, loose fill insulation, spray foam insulation, wet used chopped strand, foam sheathing and accessories. It also manufactures and sells glass fiber pipe insulation, energy efficient flexible duct media, bonded and granulated stone wool insulation, cellular glass insulation, and foam insulation used in above- and below-grade construction applications. The Company's Doors segment manufactures and sells interior and exterior doors and door systems primarily used in residential construction.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Owens Corning Set to Release Q4 Earnings on February 25
- Earnings Announcement Date: Owens Corning is set to announce its Q4 earnings on February 25 before the market opens, with a consensus EPS estimate of $1.36, reflecting a significant year-over-year decline of 57.8%, indicating pressure on profitability.
- Revenue Expectations Decline: The anticipated revenue for Q4 is $2.17 billion, down 23.6% year-over-year, which highlights weak market demand and industry challenges that could negatively impact the company's growth outlook.
- Historical Performance Review: Over the past two years, Owens Corning has beaten EPS estimates 75% of the time and revenue estimates 63% of the time, although recent revisions indicate a cautious market sentiment regarding its performance.
- Revision Dynamics: In the last three months, EPS estimates have seen 2 upward revisions and 9 downward revisions, while revenue estimates experienced 2 upward revisions and 6 downward revisions, reflecting increasing analyst divergence on the company's future performance.
See More
Owens Corning Q4 Earnings Miss Expectations
- Disappointing Earnings: Owens Corning reported a Q4 non-GAAP EPS of $1.10, missing expectations by $0.26, indicating pressure on profitability amid challenging economic conditions, which may affect investor confidence.
- Significant Revenue Decline: The company's Q4 revenue of $2.14 billion represents a 16.7% year-over-year decline, falling short of expectations, reflecting weak demand in the building materials market that could pressure future performance.
- Cautious Financial Outlook: The 2026 financial outlook for continuing operations projects corporate EBITDA expenses between $245 million and $255 million, with interest expenses between $255 million and $265 million, highlighting challenges in cost management.
- Capital Expenditure Plans: Capital additions are expected to be approximately $800 million, with depreciation and amortization around $680 million, indicating that the company plans significant investments to maintain competitiveness despite current financial pressures.
See More
Owens Corning: An Undervalued Leader in Building Materials
- Strong Cash Flow: Owens Corning continues to generate robust cash flow, despite being priced like a struggling cyclical stock, indicating the company's resilience and profitability in the industry.
- Solid Margins: The company maintains solid margins, demonstrating its competitive advantage in the building materials sector, allowing it to sustain profitability amid demand fluctuations.
- Low Payout Ratio: Owens Corning's low payout ratio provides investors with steady dividend returns while leaving ample room for future growth and reinvestment, enhancing its appeal.
- Analysts Project Upside: Analysts project significant upside for the company, and as housing demand stabilizes, patient investors could reap substantial rewards, further solidifying its market position.
See More
David Tepper's Appaloosa Divests Alibaba and Acquires Micron and Alphabet in Portfolio Reorganization
- Hedge Fund Activity: Appaloosa, led by billionaire David Tepper, made significant changes to its tech portfolio in Q4 2025.
- Increased Investments: The fund increased its investments in Micron and Alphabet.
- Reduced Holdings: Appaloosa reduced its stakes in AMD, Alibaba, and Uber.
- Market Strategy: These adjustments reflect the fund's strategic approach to navigating the tech sector.
See More
Owens Corning Declares Quarterly Cash Dividend
- Quarterly Cash Dividend: Owens Corning's Board of Directors has declared a cash dividend of $0.79 per share, payable on April 9, 2026, indicating the company's stable financial condition and ongoing profitability.
- Record Date for Shareholders: The dividend will be paid to shareholders of record as of March 9, 2026, ensuring returns for existing shareholders and enhancing investor confidence.
- Future Dividend Policy: Future dividends will be determined by the Board based on the company's earnings, financial condition, and cash requirements, reflecting the company's commitment to sustainable growth.
- Company Overview: Founded in 1938, Owens Corning reported sales of $11.0 billion in 2024 and is dedicated to sustainable development through material innovation, employing over 25,000 people across 31 countries.
See More
Chilly Weather Could Boost These Stocks.
- Impact of Winter Storm: A recent winter storm has led to increased demand for snow removal equipment and supplies among Americans.
- Consequences of Cold Weather: The subsequent cold temperatures have resulted in issues such as frozen pipes, damaged roofs, and power outages.
See More
Owens Corning Set to Release Q4 Earnings on February 25
- Earnings Announcement Date: Owens Corning is set to announce its Q4 earnings on February 25 before the market opens, with a consensus EPS estimate of $1.36, reflecting a significant year-over-year decline of 57.8%, indicating pressure on profitability.
- Revenue Expectations Decline: The anticipated revenue for Q4 is $2.17 billion, down 23.6% year-over-year, which highlights weak market demand and industry challenges that could negatively impact the company's growth outlook.
- Historical Performance Review: Over the past two years, Owens Corning has beaten EPS estimates 75% of the time and revenue estimates 63% of the time, although recent revisions indicate a cautious market sentiment regarding its performance.
- Revision Dynamics: In the last three months, EPS estimates have seen 2 upward revisions and 9 downward revisions, while revenue estimates experienced 2 upward revisions and 6 downward revisions, reflecting increasing analyst divergence on the company's future performance.
See More
Owens Corning Q4 Earnings Miss Expectations
- Disappointing Earnings: Owens Corning reported a Q4 non-GAAP EPS of $1.10, missing expectations by $0.26, indicating pressure on profitability amid challenging economic conditions, which may affect investor confidence.
- Significant Revenue Decline: The company's Q4 revenue of $2.14 billion represents a 16.7% year-over-year decline, falling short of expectations, reflecting weak demand in the building materials market that could pressure future performance.
- Cautious Financial Outlook: The 2026 financial outlook for continuing operations projects corporate EBITDA expenses between $245 million and $255 million, with interest expenses between $255 million and $265 million, highlighting challenges in cost management.
- Capital Expenditure Plans: Capital additions are expected to be approximately $800 million, with depreciation and amortization around $680 million, indicating that the company plans significant investments to maintain competitiveness despite current financial pressures.
See More
Owens Corning: An Undervalued Leader in Building Materials
- Strong Cash Flow: Owens Corning continues to generate robust cash flow, despite being priced like a struggling cyclical stock, indicating the company's resilience and profitability in the industry.
- Solid Margins: The company maintains solid margins, demonstrating its competitive advantage in the building materials sector, allowing it to sustain profitability amid demand fluctuations.
- Low Payout Ratio: Owens Corning's low payout ratio provides investors with steady dividend returns while leaving ample room for future growth and reinvestment, enhancing its appeal.
- Analysts Project Upside: Analysts project significant upside for the company, and as housing demand stabilizes, patient investors could reap substantial rewards, further solidifying its market position.
See More
David Tepper's Appaloosa Divests Alibaba and Acquires Micron and Alphabet in Portfolio Reorganization
- Hedge Fund Activity: Appaloosa, led by billionaire David Tepper, made significant changes to its tech portfolio in Q4 2025.
- Increased Investments: The fund increased its investments in Micron and Alphabet.
- Reduced Holdings: Appaloosa reduced its stakes in AMD, Alibaba, and Uber.
- Market Strategy: These adjustments reflect the fund's strategic approach to navigating the tech sector.
See More
Owens Corning Declares Quarterly Cash Dividend
- Quarterly Cash Dividend: Owens Corning's Board of Directors has declared a cash dividend of $0.79 per share, payable on April 9, 2026, indicating the company's stable financial condition and ongoing profitability.
- Record Date for Shareholders: The dividend will be paid to shareholders of record as of March 9, 2026, ensuring returns for existing shareholders and enhancing investor confidence.
- Future Dividend Policy: Future dividends will be determined by the Board based on the company's earnings, financial condition, and cash requirements, reflecting the company's commitment to sustainable growth.
- Company Overview: Founded in 1938, Owens Corning reported sales of $11.0 billion in 2024 and is dedicated to sustainable development through material innovation, employing over 25,000 people across 31 countries.
See More
Chilly Weather Could Boost These Stocks.
- Impact of Winter Storm: A recent winter storm has led to increased demand for snow removal equipment and supplies among Americans.
- Consequences of Cold Weather: The subsequent cold temperatures have resulted in issues such as frozen pipes, damaged roofs, and power outages.
See More
