Griffon Corporation (GFF) vs Owens Corning Inc (OC)

Griffon Corporation and Owens Corning Inc are both Building Products & Equipment companies. Owens Corning Inc is the larger, with a market value of $9.8B against $4.6B — 2.1× the size. Owens Corning Inc has negative trailing earnings, so its P/E is not meaningful; Griffon Corporation trades at 25.6×. Owens Corning Inc grew revenue faster over the last twelve months: −8.38% against −12.0%. Griffon Corporation has the higher net margin (8.08% vs −4.42%) and the higher return on invested capital (22.1% vs 1.80%). Both pay a dividend; Owens Corning Inc yields more (2.56% vs 0.86%). Across the 22 metrics below, Owens Corning Inc leads on 12 and Griffon Corporation on 10.

Valuation

Metric GFF OC Building Products & Equipment median
P/E 25.63 n/m 23.33
P/S 2.04 1.01 2.09
P/B 34.98 3.04 2.85
Price to free cash flow 14.33 11.47 18.42
EV/EBITDA 10.90 7.40 13.29
EV/Sales 2.56 1.49 2.28
Earnings yield 3.90% (4.30%) 3.04%
Free cash flow yield 6.98% 8.72% 4.26%

Profitability

Metric GFF OC Building Products & Equipment median
Gross margin 47.93% 25.03% 31.88%
Operating margin 20.39% 2.33% 7.18%
Net margin 8.08% (4.42%) 4.11%
Free cash flow margin 14.23% 8.79% 6.41%
Return on equity 185.41% (11.18%) 5.95%
Return on assets 9.12% (3.37%) 3.90%
Return on invested capital 22.08% 1.80% 5.54%

Growth

Metric GFF OC Building Products & Equipment median
Revenue growth (TTM) (12.03%) (8.38%) 6.27%
EPS growth (last fiscal year) (74.23%) (184.40%) (28.29%)
Revenue growth, 5-year CAGR 4.05% 7.45% 4.81%
Net income growth, 5-year CAGR (0.88%) 0.00% 0.00%

Health

Metric GFF OC Building Products & Equipment median
Debt to equity 9.75 1.50 0.55
Current ratio 2.41 1.13 1.83
Net debt to EBITDA 2.52 2.14 1.45

Dividend

Metric GFF OC Building Products & Equipment median
Dividend yield 0.86% 2.56% 1.37%
Payout ratio 0.22 — 0.28

Size

Metric GFF OC Building Products & Equipment median
Market cap 4.64b 9.82b 3.22b

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