In a report released yesterday, Sam Reid from Wells Fargo maintained a Buy rating on Owens Corning (OC – Research Report), with a price target of $160.00.
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Sam Reid has given his Buy rating due to a combination of factors that highlight Owens Corning’s promising financial outlook and strategic initiatives. The company’s commitment to returning 100% of free cash flow to shareholders over the next two years signals a strong confidence in its stock as a valuable investment. Additionally, Owens Corning’s management has set ambitious revenue targets for 2028, driven primarily by volume growth, with potential for price increases, particularly in the Roofing segment.
Furthermore, the company has outlined robust EBITDA margin targets for both its Roofing and Insulation segments, indicating a sustainable level of profitability. Owens Corning’s focus on key growth drivers, such as housing demand and contractor initiatives, along with its strategic investments in insulation capacity, further supports the positive outlook. Despite some investor concerns about merger and acquisition plans post-2027, the company’s current valuation and financial targets provide a compelling case for long-term growth, justifying the Buy rating.
According to TipRanks, Reid is a 3-star analyst with an average return of 1.5% and a 43.30% success rate. Reid covers the Consumer Cyclical sector, focusing on stocks such as Lennar, KB Home, and PulteGroup.
In another report released on May 9, Jefferies also maintained a Buy rating on the stock with a $172.00 price target.