Reviewing Compagnie de Saint-Gobain (OTCMKTS:CODYY) and Owens Corning (NYSE:OC)

Compagnie de Saint-Gobain (OTCMKTS:CODYY) and Owens Corning (NYSE:OC) are both construction companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, profitability, risk, earnings, valuation and institutional ownership.

Institutional and Insider Ownership

88.4% of Owens Corning shares are owned by institutional investors. 0.8% of Owens Corning shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Compagnie de Saint-Gobain and Owens Corning”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Compagnie de Saint-Gobain	$50.40 billion	1.00	$3.08 billion	N/A	N/A
Owens Corning	$10.98 billion	0.85	$647.00 million	($5.72)	-19.87

Compagnie de Saint-Gobain has higher revenue and earnings than Owens Corning.

Dividends

Compagnie de Saint-Gobain pays an annual dividend of $0.31 per share and has a dividend yield of 1.5%. Owens Corning pays an annual dividend of $2.76 per share and has a dividend yield of 2.4%. Owens Corning pays out -48.3% of its earnings in the form of a dividend. Owens Corning has raised its dividend for 10 consecutive years. Owens Corning is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Compagnie de Saint-Gobain and Owens Corning, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Compagnie de Saint-Gobain	0	4	0	2	2.67
Owens Corning	2	5	10	0	2.47

Owens Corning has a consensus price target of $155.58, indicating a potential upside of 36.91%. Given Owens Corning’s higher probable upside, analysts plainly believe Owens Corning is more favorable than Compagnie de Saint-Gobain.

Profitability

This table compares Compagnie de Saint-Gobain and Owens Corning’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Compagnie de Saint-Gobain	N/A	N/A	N/A
Owens Corning	-4.46%	24.42%	8.53%

Summary

Owens Corning beats Compagnie de Saint-Gobain on 9 of the 15 factors compared between the two stocks.

About Compagnie de Saint-Gobain

Compagnie de Saint-Gobain S.A. designs, manufactures, and distributes materials and solutions for the construction and industrial markets worldwide. It operates through five segments: High Performance Solutions; Northern Europe; Southern Europe Middle East (ME) & Africa; Americas; and Asia-Pacific. The company offers glazing solutions for buildings and vehicles under the Saint-Gobain, GlassSolutions, Vetrotech, and SageGlass brands; plaster-based products for construction and renovation markets under the Placo, Rigips, and Gyproc brands; ceilings under the Ecophon, CertainTeed, Eurocoustic, Sonex, and Vinh Tuong brands; and insulation solutions for a range of applications, such as construction, engine compartments, vehicle interiors, household appliances, and photovoltaic panels under the Isover, CertainTeed, and Izocam brands. It also provides mortars and construction chemicals under the Weber, Chryso, and GCP brands; exterior products comprising asphalt and composite shingles, solar roofing solutions, roll roofing systems, and accessories under the CertainTeed and Brasilit brands; and pipes under the PAM brand, as well as abrasives, adhesives, sealants, tapes, composites, and films. In addition, the company provides interior and exterior systems for construction and housing sectors; ceramics under the SEFPRO brand; polymer shakes and shingle, and insulation cladding solutions; and barriers, terraces, and balustrades. Further, it distributes heavy building materials; plumbing, heating, ventilation, and sanitaryware products; timber and byproducts; bathrooms and kitchens; and site equipment, PPEs, and tools. The company was founded in 1665 and is headquartered in Courbevoie, France.

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.