MASCO CORP (MAS) Stock Fundamental Analysis
USA - NYSE:MAS - US5745991068 - Common Stock
60.75 USD
-1.05 (-1.7%)
60.75 USD
0 (0%)
Overall MAS gets a fundamental rating of 5 out of 10. We evaluated MAS against 41 industry peers in the Building Products industry. Both the profitability and the financial health of MAS get a neutral evaluation. Nothing too spectacular is happening here. MAS has a correct valuation and a medium growth rate. Finally MAS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year MAS was profitable.
MAS had positive earnings in each of the past 5 years.
In the past 5 years MAS always reported a positive cash flow from operatings.
1.2 Ratios
MAS's Return On Assets of 15.57% is amongst the best of the industry. MAS outperforms 92.68% of its industry peers.
MAS has a better Return On Invested Capital (26.41%) than 97.56% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MAS is significantly above the industry average of 12.54%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.57% | ||
| ROE | N/A | ||
| ROIC | 26.41% |
ROA(3y)16.52%
ROA(5y)15.57%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)29.73%
ROIC(5y)29.08%
1.3 Margins
MAS has a better Profit Margin (10.89%) than 60.98% of its industry peers.
MAS's Profit Margin has declined in the last couple of years.
MAS has a Operating Margin of 16.99%. This is in the better half of the industry: MAS outperforms 68.29% of its industry peers.
MAS's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 35.66%, MAS is in line with its industry, outperforming 56.10% of the companies in the same industry.
MAS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.99% | ||
| PM (TTM) | 10.89% | ||
| GM | 35.66% |
OM growth 3Y0.19%
OM growth 5Y1.26%
PM growth 3Y29.39%
PM growth 5Y-5.39%
GM growth 3Y1.89%
GM growth 5Y0.46%
2. Health
2.1 Basic Checks
MAS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
MAS has less shares outstanding than it did 1 year ago.
MAS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MAS has a worse debt to assets ratio.
2.2 Solvency
MAS has an Altman-Z score of 3.83. This indicates that MAS is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of MAS (3.83) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.83 |
ROIC/WACC2.88
WACC9.16%
2.3 Liquidity
MAS has a Current Ratio of 1.88. This is a normal value and indicates that MAS is financially healthy and should not expect problems in meeting its short term obligations.
MAS has a Current ratio (1.88) which is in line with its industry peers.
MAS has a Quick Ratio of 1.20. This is a normal value and indicates that MAS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.20, MAS is in line with its industry, outperforming 53.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for MAS have decreased by -0.25% in the last year.
The Earnings Per Share has been growing by 10.05% on average over the past years. This is quite good.
The Revenue has decreased by -3.62% in the past year.
MAS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.14% yearly.
EPS 1Y (TTM)-0.25%
EPS 3Y3.57%
EPS 5Y10.05%
EPS Q2Q%-10.19%
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y-2.23%
Revenue growth 5Y3.14%
Sales Q2Q%-3.33%
3.2 Future
MAS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.26% yearly.
The Revenue is expected to grow by 4.43% on average over the next years.
EPS Next Y-2.78%
EPS Next 2Y2.2%
EPS Next 3Y5.24%
EPS Next 5Y9.26%
Revenue Next Year-3.25%
Revenue Next 2Y-0.18%
Revenue Next 3Y1.2%
Revenue Next 5Y4.43%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.07, which indicates a correct valuation of MAS.
Compared to the rest of the industry, the Price/Earnings ratio of MAS indicates a somewhat cheap valuation: MAS is cheaper than 65.85% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.89. MAS is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.19, MAS is valued correctly.
Based on the Price/Forward Earnings ratio, MAS is valued a bit cheaper than the industry average as 65.85% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of MAS to the average of the S&P500 Index (34.59), we can say MAS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.07 | ||
| Fwd PE | 14.19 |
4.2 Price Multiples
MAS's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.64 |
4.3 Compensation for Growth
MAS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.5
EPS Next 2Y2.2%
EPS Next 3Y5.24%
5. Dividend
5.1 Amount
MAS has a Yearly Dividend Yield of 2.01%.
Compared to an average industry Dividend Yield of 1.33, MAS pays a better dividend. On top of this MAS pays more dividend than 87.80% of the companies listed in the same industry.
MAS's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
5.2 History
The dividend of MAS is nicely growing with an annual growth rate of 18.34%!
MAS has been paying a dividend for at least 10 years, so it has a reliable track record.
MAS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)18.34%
Div Incr Years11
Div Non Decr Years14
5.3 Sustainability
7.62% of the earnings are spent on dividend by MAS. This is a low number and sustainable payout ratio.
The dividend of MAS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP7.62%
EPS Next 2Y2.2%
EPS Next 3Y5.24%
60.75
-1.05 (-1.7%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners99.44%
Inst Owner Change1.87%
Ins Owners0.16%
Ins Owner Change-0.45%
Market Cap12.72B
Revenue(TTM)7.60B
Net Income(TTM)827.00M
Analysts68.57
Price Target77.2 (27.08%)
Short Float %3.29%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
Yearly Dividend1.17
Dividend Growth(5Y)18.34%
DP7.62%
Div Incr Years11
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.73%
Min EPS beat(2)-7.02%
Max EPS beat(2)18.48%
EPS beat(4)2
Avg EPS beat(4)1.51%
Min EPS beat(4)-7.02%
Max EPS beat(4)18.48%
EPS beat(8)5
Avg EPS beat(8)4.34%
EPS beat(12)8
Avg EPS beat(12)8.2%
EPS beat(16)9
Avg EPS beat(16)5.81%
Revenue beat(2)1
Avg Revenue beat(2)-0.15%
Min Revenue beat(2)-2.19%
Max Revenue beat(2)1.89%
Revenue beat(4)1
Avg Revenue beat(4)-1.14%
Min Revenue beat(4)-2.91%
Max Revenue beat(4)1.89%
Revenue beat(8)2
Avg Revenue beat(8)-0.67%
Revenue beat(12)4
Avg Revenue beat(12)-0.29%
Revenue beat(16)6
Avg Revenue beat(16)0.03%
PT rev (1m)-0.21%
PT rev (3m)0.58%
EPS NQ rev (1m)-6.11%
EPS NQ rev (3m)0.41%
EPS NY rev (1m)-2.36%
EPS NY rev (3m)10.81%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)-1.45%
Revenue NY rev (1m)-0.55%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.07 | ||
| Fwd PE | 14.19 | ||
| P/S | 1.67 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.64 |
EPS(TTM)4.03
EY6.63%
EPS(NY)4.28
Fwd EY7.05%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS36.29
BVpS-0.37
TBVpS-4.36
PEG (NY)N/A
PEG (5Y)1.5
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.57% | ||
| ROE | N/A | ||
| ROCE | 34.56% | ||
| ROIC | 26.41% | ||
| ROICexc | 31.06% | ||
| ROICexgc | 42.14% | ||
| OM | 16.99% | ||
| PM (TTM) | 10.89% | ||
| GM | 35.66% | ||
| FCFM | N/A |
ROA(3y)16.52%
ROA(5y)15.57%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)29.73%
ROIC(5y)29.08%
ROICexc(3y)35.59%
ROICexc(5y)37.39%
ROICexgc(3y)51.43%
ROICexgc(5y)55.89%
ROCE(3y)38.9%
ROCE(5y)38.06%
ROICexgc growth 3Y-6.31%
ROICexgc growth 5Y4.48%
ROICexc growth 3Y-3.35%
ROICexc growth 5Y4.14%
OM growth 3Y0.19%
OM growth 5Y1.26%
PM growth 3Y29.39%
PM growth 5Y-5.39%
GM growth 3Y1.89%
GM growth 5Y0.46%
F-ScoreN/A
Asset Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.04 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 3.83 |
F-ScoreN/A
WACC9.16%
ROIC/WACC2.88
Cap/Depr(3y)143.19%
Cap/Depr(5y)119.76%
Cap/Sales(3y)2.59%
Cap/Sales(5y)2.18%
Profit Quality(3y)104.12%
Profit Quality(5y)115.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.25%
EPS 3Y3.57%
EPS 5Y10.05%
EPS Q2Q%-10.19%
EPS Next Y-2.78%
EPS Next 2Y2.2%
EPS Next 3Y5.24%
EPS Next 5Y9.26%
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y-2.23%
Revenue growth 5Y3.14%
Sales Q2Q%-3.33%
Revenue Next Year-3.25%
Revenue Next 2Y-0.18%
Revenue Next 3Y1.2%
Revenue Next 5Y4.43%
EBIT growth 1Y-3.22%
EBIT growth 3Y-2.04%
EBIT growth 5Y4.44%
EBIT Next Year6.14%
EBIT Next 3Y5.91%
EBIT Next 5Y7.56%
FCF growth 1Y-22.48%
FCF growth 3Y4.19%
FCF growth 5Y6.21%
OCF growth 1Y-23.92%
OCF growth 3Y4.95%
OCF growth 5Y5.23%
MASCO CORP / MAS FAQ
What is the ChartMill fundamental rating of MASCO CORP (MAS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MAS.
What is the valuation status of MASCO CORP (MAS) stock?
ChartMill assigns a valuation rating of 4 / 10 to MASCO CORP (MAS). This can be considered as Fairly Valued.
How profitable is MASCO CORP (MAS) stock?
MASCO CORP (MAS) has a profitability rating of 6 / 10.
What is the valuation of MASCO CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MASCO CORP (MAS) is 15.07 and the Price/Book (PB) ratio is -163.06.
Can you provide the expected EPS growth for MAS stock?
The Earnings per Share (EPS) of MASCO CORP (MAS) is expected to decline by -2.78% in the next year.