3. Owens Corning (NYSE:OC)
Number of Hedge Fund Holders: 32
Owens Corning (NYSE:OC) was incorporated in 1938 and is headquartered in Toledo, Ohio. The company manufactures and markets insulation, roofing, and fiberglass composite materials in the United States, Canada, Europe, the Asia Pacific, and internationally. On September 15, Owens Corning (NYSE:OC) declared a $0.35 per share quarterly dividend, in line with previous. The dividend is payable on November 3, to shareholders of record on October 17. Owens Corning (NYSE:OC) is one of the premier home building stocks to buy now.
On October 10, investment advisory Citi raised the price target on Owens Corning (NYSE:OC) to $91 from $90 and reiterated a Neutral rating on the shares. Analyst Anthony Pettinari issued the ratings update.
According to Insider Monkey’s data, 32 hedge funds were bullish on Owens Corning (NYSE:OC) at the end of Q2 2022, up from 26 funds in the prior quarter. Cliff Asness’ AQR Capital Management is the leading position holder in the company, with nearly 2 million shares worth $142.2 million.
Here is what ClearBridge Investments has to say about Owens Corning (NYSE:OC) in its Q1 2021 investor letter:
“Roofer and insulator Owens Corning, also a ClearBridge holding, is helping make the building sector more sustainable. The company operates across 33 countries and has positive environmental impact primarily through its insulation business. In the EU, for example, buildings are responsible for 40% of energy consumption and 36% of GHG emissions. New buildings consume only half of the energy of those built over 20 years ago, according to the company. But as 85% of the buildings in the EU are older than 20 years, and 85%–95% of them are expected to still be standing in 2050, there is need for a massive renovation. Roughly 35 million buildings in the EU will need to be renovated by 2030, according to the company.
Properly insulated homes lower energy intensity and thus the overall carbon footprint of a home. According to Owens Corning, insulation intensity of new homes is on the rise, driven in part by state and municipal rules requiring certain levels of insulation, but also by consumer preference for reducing energy consumption and being greener in the home. The company is helping meet this demand with insulation products that are lighter weight yet deliver stronger performance than higher-weight/higher-density products. The insight that greater density does not necessarily mean better performance has allowed the company to reduce shipping weight and fuel.
Owens Corning’s roofing business also features shingles that use a highly reflective granule technology to reflect the sun, keep roofs cooler and lower air conditioning energy demand. Its composites business also counts wind turbines as a major end use, another positive for sustainability goals.
As part of its 2030 Sustainability Goals, Owens Corning is also looking to grow a circular economy model in which virgin raw materials, waste, energy and emissions are minimized through intelligent design, renewable and recycled input and energy-efficient production.”
