Owens Corning upgraded to Overweight from Equal Weight at Wells Fargo

Wells Fargo upgraded Owens Corning (OC) to Overweight from Equal Weight with a price target of $225, up from $195. The firm says Street estimates embed reasonable positive low single-digit growth for FY25, excluding Masonite. While Wells acknowledges that it’s still too early to assess the effect of hurricanes on roofing volumes, the firm notes that its post-Q3 conversation with Owens suggests the company is confident that price realization could potentially be stronger in the wake of hurricane activity given the capacity restraints on the category. Further, Wells believes risk of excess insulation capacity for 2025 is low, and argues that limited tariff exposure is an anecdote to key source of headline risk.