MasterBrand (NYSE:MBC) versus Owens Corning (NYSE:OC) Head to Head Analysis
by Amy Steele · The Cerbat GemOwens Corning (NYSE:OC – Get Free Report) and MasterBrand (NYSE:MBC – Get Free Report) are both industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, institutional ownership, earnings and profitability.
Volatility and Risk
Owens Corning has a beta of 1.32, suggesting that its stock price is 32% more volatile than the S&P 500. Comparatively, MasterBrand has a beta of 1.43, suggesting that its stock price is 43% more volatile than the S&P 500.
Institutional and Insider Ownership
88.4% of Owens Corning shares are owned by institutional investors. Comparatively, 87.3% of MasterBrand shares are owned by institutional investors. 0.9% of Owens Corning shares are owned by company insiders. Comparatively, 2.8% of MasterBrand shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Owens Corning and MasterBrand”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Owens Corning | $10.10 billion | 1.03 | -$522.00 million | ($8.06) | -16.38 |
| MasterBrand | $2.73 billion | 0.55 | $26.70 million | ($0.69) | -10.79 |
MasterBrand has lower revenue, but higher earnings than Owens Corning. Owens Corning is trading at a lower price-to-earnings ratio than MasterBrand, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of current ratings and price targets for Owens Corning and MasterBrand, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Owens Corning | 1 | 6 | 9 | 2 | 2.67 |
| MasterBrand | 1 | 1 | 0 | 0 | 1.50 |
Owens Corning currently has a consensus price target of $164.15, indicating a potential upside of 24.35%. MasterBrand has a consensus price target of $10.00, indicating a potential upside of 34.32%. Given MasterBrand’s higher probable upside, analysts clearly believe MasterBrand is more favorable than Owens Corning.
Profitability
This table compares Owens Corning and MasterBrand’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Owens Corning | -6.81% | 20.52% | 6.21% |
| MasterBrand | -3.49% | 3.65% | 1.60% |
Summary
Owens Corning beats MasterBrand on 8 of the 15 factors compared between the two stocks.
About Owens Corning
Owens Corning manufactures and sells building and construction materials in the United States, Europe, the Asia Pacific, and internationally. It operates in three segments: Roofing, Insulation, and Composites. The Roofing segment manufactures and sells laminate and strip asphalt roofing shingles, oxidized asphalt materials, and roofing components used in residential and commercial construction, and specialty applications. This segment sells its products through distributors, home centers, and lumberyards, as well as to roofing contractors for built-up roofing asphalt systems; and manufacturers in automotive, chemical, rubber, and construction industries. The Insulation segment manufactures and sells thermal and acoustical batts, loosefill insulation, spray foam insulation, foam sheathing and accessories under the Owens Corning PINK, and FIBERGLAS brands; and glass fiber pipe insulation, energy efficient flexible duct media, bonded and granulated mineral wool insulation, cellular glass insulation, and foam insulation under the FOAMULAR, FOAMGLAS, and Paroc brand names used in construction applications. This segment sells its products primarily to the insulation installers, home centers, lumberyards, retailers, and distributors. The Composites segment manufactures, fabricates, and sells glass reinforcements in the form of fiber; and glass fiber products in the form of fabrics, non-wovens, and composite lumber. Its products are used in building structures, roofing shingles, tubs and showers, pools, decking, flooring, pipes and tanks, poles, electrical equipment, and wind-energy turbine blades. This segment sells its products directly to parts molders, fabricators, and shingle manufacturers. The company was incorporated in 1938 and is headquartered in Toledo, Ohio.
About MasterBrand
MasterBrand, Inc. engages in the manufacture and sale of residential cabinets in the United States and Canada. The company offers a range of residential cabinetry products for the kitchen, bathroom, and other parts of the home. It sells its products to remodeling and new construction markets through dealers, retailers, and builders. The company was formerly known as United Cabinet Incorporated. MasterBrand, Inc. was founded in 1954 and is headquartered in Beachwood, Ohio.