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OC Valuation

Owens Corning
$
140.470
-3.8(-2.634%)1D
  • Overview
  • Forecast
  • Valuation
  • Earnings

OC Relative Valuation

OC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, OC is overvalued; if below, it's undervalued.

Historical Valuation

Owens Corning (OC) is now in the Fair zone, suggesting that its current forward PE ratio of 10.51 is considered Fairly compared with the five-year average of 10.03. The fair price of Owens Corning (OC) is between 135.65 to 176.81 according to relative valuation methord.
Relative Value
Fair Zone
135.65-176.81
Current Price:140.47
Fair
10.51
PE
1Y
3Y
5Y
Trailing
Forward
7.37
EV/EBITDA
Owens Corning. (OC) has a current EV/EBITDA of 7.37. The 5-year average EV/EBITDA is 6.32. The thresholds are as follows: Strongly Undervalued below 4.31, Undervalued between 4.31 and 5.31, Fairly Valued between 7.32 and 5.31, Overvalued between 7.32 and 8.32, and Strongly Overvalued above 8.32. The current Forward EV/EBITDA of 7.37 falls within the Overvalued range.
10.07
EV/EBIT
Owens Corning. (OC) has a current EV/EBIT of 10.07. The 5-year average EV/EBIT is 8.63. The thresholds are as follows: Strongly Undervalued below 5.35, Undervalued between 5.35 and 6.99, Fairly Valued between 10.27 and 6.99, Overvalued between 10.27 and 11.91, and Strongly Overvalued above 11.91. The current Forward EV/EBIT of 10.07 falls within the Historic Trend Line -Fairly Valued range.
1.17
PS
Owens Corning. (OC) has a current PS of 1.17. The 5-year average PS is 1.11. The thresholds are as follows: Strongly Undervalued below 0.78, Undervalued between 0.78 and 0.94, Fairly Valued between 1.27 and 0.94, Overvalued between 1.27 and 1.43, and Strongly Overvalued above 1.43. The current Forward PS of 1.17 falls within the Historic Trend Line -Fairly Valued range.
7.21
P/OCF
Owens Corning. (OC) has a current P/OCF of 7.21. The 5-year average P/OCF is 6.39. The thresholds are as follows: Strongly Undervalued below 4.31, Undervalued between 4.31 and 5.35, Fairly Valued between 7.43 and 5.35, Overvalued between 7.43 and 8.47, and Strongly Overvalued above 8.47. The current Forward P/OCF of 7.21 falls within the Historic Trend Line -Fairly Valued range.
13.51
P/FCF
Owens Corning. (OC) has a current P/FCF of 13.51. The 5-year average P/FCF is 9.63. The thresholds are as follows: Strongly Undervalued below 5.56, Undervalued between 5.56 and 7.60, Fairly Valued between 11.67 and 7.60, Overvalued between 11.67 and 13.70, and Strongly Overvalued above 13.70. The current Forward P/FCF of 13.51 falls within the Overvalued range.
Owens Corning (OC) has a current Price-to-Book (P/B) ratio of 2.50. Compared to its 3-year average P/B ratio of 2.38 , the current P/B ratio is approximately 4.75% higher. Relative to its 5-year average P/B ratio of 2.31, the current P/B ratio is about 8.22% higher. Owens Corning (OC) has a Forward Free Cash Flow (FCF) yield of approximately 9.14%. Compared to its 3-year average FCF yield of 9.96%, the current FCF yield is approximately -8.25% lower. Relative to its 5-year average FCF yield of 10.49% , the current FCF yield is about -12.91% lower.
2.50
P/B
Median3y
2.38
Median5y
2.31
9.14
FCF Yield
Median3y
9.96
Median5y
10.49

Competitors Valuation Multiple

The average P/S ratio for OC's competitors is 1.50, providing a benchmark for relative valuation. Owens Corning Corp (OC) exhibits a P/S ratio of 1.17, which is -21.60% above the industry average. Given its robust revenue growth of 25.43%, this premium appears sustainable.

Performance Decomposition

1Y
3Y
5Y
Market capitalization of OC decreased by 24.39% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 2.02B to 2.53B.
The secondary factor is the P/E Change, contributed -23.24%to the performance.
Overall, the performance of OC in the past 1 year is driven by Revenue Growth. Which is more sustainable.
25.43%
2.02B → 2.53B
Revenue Growth
+
-26.58%
13.73 → 10.08
Margin Expansion
+
-23.24%
26.18 → 20.10
P/E Change
=
-24.39%
185.78 → 140.47
Mkt Cap Growth

FAQ

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Is Owens Corning (OC) currently overvalued or undervalued?

Owens Corning (OC) is now in the Fair zone, suggesting that its current forward PE ratio of 10.51 is considered Fairly compared with the five-year average of 10.03. The fair price of Owens Corning (OC) is between 135.65 to 176.81 according to relative valuation methord.
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What is Owens Corning (OC) fair value?

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How does OC's valuation metrics compare to the industry average?

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What is the current P/B ratio for Owens Corning (OC) as of Jul 31 2025?

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What is the current FCF Yield for Owens Corning (OC) as of Jul 31 2025?

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What is the current Forward P/E ratio for Owens Corning (OC) as of Jul 31 2025?

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What is the current Forward P/S ratio for Owens Corning (OC) as of Jul 31 2025?