The 10-second takeaway
For the quarter ended March 31 (Q1), Owens Corning met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share grew significantly. GAAP earnings per share increased.
Margins grew across the board.
Owens Corning reported revenue of $1.35 billion. The 11 analysts polled by S&P Capital IQ expected a top line of $1.35 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.29. The 14 earnings estimates compiled by S&P Capital IQ anticipated $0.19 per share. Non-GAAP EPS of $0.29 for Q1 were 222% higher than the prior-year quarter's $0.09 per share. GAAP EPS were $0.18 for Q1 compared to -$0.38 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 15.8%, 40 basis points better than the prior-year quarter. Operating margin was 4.3%, 120 basis points better than the prior-year quarter. Net margin was 1.6%, 500 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.48 billion. On the bottom line, the average EPS estimate is $0.70.
Next year's average estimate for revenue is $5.44 billion. The average EPS estimate is $1.95.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 437 members out of 463 rating the stock outperform, and 26 members rating it underperform. Among 90 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 88 give Owens Corning a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Owens Corning is outperform, with an average price target of $45.90.
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