UPDATE: J.P. Morgan Color On OC Target Update

J.P. Morgan, which raised its PT on shares of Owens Corning Inc. OC, is providing some color on the stock. “We slightly lower our 2011E to $2.30 from $2.34, introduce our 2012E of $3.00, reiterate our Overweight rating, and raise our Dec. 2011 Price Target to $44.00 from $37.50,” J.P. Morgan writes. “We continue to highlight OC as our favorite name among the Building Products sector, based on our 2011E and 2012E being above the Street's $2.18 and $2.86, as well as the company's current attractive valuation, trading at 7.3x 2011E EV/EBITDA, solidly below its peers' 8.0x. Finally, we raise our Dec. 2011 to $44.00 based on a 7.0x EV/EBITDA multiple to our 2012E EBITDA of $918 million. Our previous Dec. 2011 Price Target of $37.50 was based on 6.8x our prior 2011E EBITDA estimate of $818 million.” Owens Corning Inc. closed Friday at $37.48.