Bellway (OTCMKTS:BLWYY) and Owens Corning (NYSE:OC) Head to Head Survey

Owens Corning (NYSE:OC) and Bellway (OTCMKTS:BLWYY) are both construction companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Dividends

Owens Corning pays an annual dividend of $3.16 per share and has a dividend yield of 2.5%. Bellway pays an annual dividend of $1.14 per share and has a dividend yield of 3.7%. Owens Corning pays out -49.4% of its earnings in the form of a dividend. Owens Corning has increased its dividend for 10 consecutive years.

Analyst Ratings

This is a summary of current ratings and target prices for Owens Corning and Bellway, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Owens Corning	2	4	9	1	2.56
Bellway	0	3	0	0	2.00

Owens Corning presently has a consensus price target of $145.09, indicating a potential upside of 15.37%. Given Owens Corning’s stronger consensus rating and higher probable upside, analysts clearly believe Owens Corning is more favorable than Bellway.

Volatility & Risk

Owens Corning has a beta of 1.35, indicating that its share price is 35% more volatile than the S&P 500. Comparatively, Bellway has a beta of 0.14, indicating that its share price is 86% less volatile than the S&P 500.

Earnings and Valuation

This table compares Owens Corning and Bellway”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Owens Corning	$10.10 billion	1.00	-$522.00 million	($6.40)	-19.65
Bellway	$3.62 billion	1.00	$204.69 million	N/A	N/A

Bellway has lower revenue, but higher earnings than Owens Corning.

Profitability

This table compares Owens Corning and Bellway’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Owens Corning	-5.17%	21.93%	7.33%
Bellway	N/A	N/A	N/A

Insider and Institutional Ownership

88.4% of Owens Corning shares are held by institutional investors. 0.9% of Owens Corning shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Owens Corning beats Bellway on 13 of the 16 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 Bellway

Bellway p.l.c., together with its subsidiaries, engages in the home building business in the United Kingdom. The company builds and sells homes ranging from one-bedroom apartments to six-bedroom family homes, as well as provides homes to housing associations for social housing. It offers homes under Bellway and Ashberry brands. Bellway p.l.c. was incorporated in 1978 and is headquartered in Newcastle upon Tyne, the United Kingdom.