Owens Corning Flags $40M Iran Conflict Cost Hit, Guides Q3 Below Consensus
OC sits 61% above its 52-week low of $97.53 on light trading volume (0.3× avg).
Summary
Owens Corning beat Q2 estimates with $3.93 EPS vs $3.08 consensus, but the real news is the $40 million cost warning from the Iran conflict hitting Q3. Management guided Q3 revenue to $2.6B-$2.7B, below the $2.68B consensus, with EBITDA margins of 20%-22% — a sharp drop from Q2's 24%. This follows the unsolicited takeover offers from Carlisle in late June and the recent CFO appointment. The Doors segment synergy beat ($135M vs $125M target) and additional $75M structural savings plan provide some offset, but the geopolitical cost spike and soft demand outlook dominate. Shares rose 3% premarket on the earnings beat, but the guidance miss and cost warning may reverse that.
At the time of this announcement, OC was trading at $157.46 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $12.7B. The 52-week trading range was $97.53 to $159.91. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Benzinga.