OC Valuation

Owens Corning

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102.590

-0.11(-0.107%)1D

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 9.98 is considered Fairly compared with the five-year average of 9.83. The fair price of Owens Corning (OC) is between 96.51 to 123.99 according to relative valuation methord.

Relative Value

Fair Zone

96.51-123.99

Current Price：102.70

Fair

9.98

Trailing

Forward

6.74

EV/EBITDA

Owens Corning. (OC) has a current EV/EBITDA of 6.74. The 5-year average EV/EBITDA is 6.28. The thresholds are as follows: Strongly Undervalued below 4.34, Undervalued between 4.34 and 5.31, Fairly Valued between 7.24 and 5.31, Overvalued between 7.24 and 8.21, and Strongly Overvalued above 8.21. The current Forward EV/EBITDA of 6.74 falls within the Historic Trend Line -Fairly Valued range.

10.05

EV/EBIT

Owens Corning. (OC) has a current EV/EBIT of 10.05. The 5-year average EV/EBIT is 8.48. The thresholds are as follows: Strongly Undervalued below 5.64, Undervalued between 5.64 and 7.06, Fairly Valued between 9.91 and 7.06, Overvalued between 9.91 and 11.33, and Strongly Overvalued above 11.33. The current Forward EV/EBIT of 10.05 falls within the Overvalued range.

102.70

Owens Corning. (OC) has a current PS of 102.70. The 5-year average PS is 2.31. The thresholds are as follows: Strongly Undervalued below -20.91, Undervalued between -20.91 and -9.30, Fairly Valued between 13.91 and -9.30, Overvalued between 13.91 and 25.52, and Strongly Overvalued above 25.52. The current Forward PS of 102.70 falls within the Strongly Overvalued range.

4.80

P/OCF

Owens Corning. (OC) has a current P/OCF of 4.80. The 5-year average P/OCF is 6.37. The thresholds are as follows: Strongly Undervalued below 4.28, Undervalued between 4.28 and 5.32, Fairly Valued between 7.41 and 5.32, Overvalued between 7.41 and 8.46, and Strongly Overvalued above 8.46. The current Forward P/OCF of 4.80 falls within the Undervalued range.

14.41

P/FCF

Owens Corning. (OC) has a current P/FCF of 14.41. The 5-year average P/FCF is 9.64. The thresholds are as follows: Strongly Undervalued below 5.48, Undervalued between 5.48 and 7.56, Fairly Valued between 11.72 and 7.56, Overvalued between 11.72 and 13.80, and Strongly Overvalued above 13.80. The current Forward P/FCF of 14.41 falls within the Strongly Overvalued range.

Owens Corning (OC) has a current Price-to-Book (P/B) ratio of 1.92. Compared to its 3-year average P/B ratio of 2.44 , the current P/B ratio is approximately -21.26% higher. Relative to its 5-year average P/B ratio of 2.33, the current P/B ratio is about -17.56% higher. Owens Corning (OC) has a Forward Free Cash Flow (FCF) yield of approximately 0.13%. Compared to its 3-year average FCF yield of 9.60%, the current FCF yield is approximately -98.63% lower. Relative to its 5-year average FCF yield of 10.42% , the current FCF yield is about -98.74% lower.

1.92

P/B

Median3y

2.44

Median5y

2.33

0.13

FCF Yield

Median3y

9.60

Median5y

10.42

Competitors Valuation Multiple

The average P/S ratio for OC's competitors is 69.07, providing a benchmark for relative valuation. Owens Corning Corp (OC) exhibits a P/S ratio of 102.70, which is 48.69% above the industry average. Given its robust revenue growth of -2.86%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Graphic Packaging Holding Co

Performance Decomposition

Market capitalization of OC decreased by 50.05% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -33.25 to -108.98.

The secondary factor is the Revenue Growth, contributed -2.86%to the performance.

Overall, the performance of OC in the past 1 year is driven by P/E Change. Which is more unsustainable.

-2.86%

2.76B → 2.68B

Revenue Growth

-274.95%

10.54 → -18.44

Margin Expansion

227.76%

-33.25 → -108.98

P/E Change

-50.05%