MASCO CORP (MAS) Stock Fundamental Analysis
USA - NYSE:MAS - US5745991068 - Common Stock
61.99 USD
-0.11 (-0.18%)
61.99 USD
0 (0%)
Taking everything into account, MAS scores 5 out of 10 in our fundamental rating. MAS was compared to 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 decent growth rate and is not valued too expensively. MAS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
MAS had positive earnings in the past year.
Each year in the past 5 years MAS has been profitable.
In the past 5 years MAS always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 15.57%, MAS belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 26.41%, MAS belongs to the top of the industry, outperforming 97.56% of the companies in the same industry.
MAS had an Average Return On Invested Capital over the past 3 years of 29.73%. This is significantly above the industry average of 12.50%.
| 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
The Profit Margin of MAS (10.89%) is better than 60.98% of its industry peers.
MAS's Profit Margin has declined in the last couple of years.
MAS has a better Operating Margin (16.99%) than 68.29% of its industry peers.
In the last couple of years the Operating Margin of MAS has remained more or less at the same level.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MAS is creating value.
The number of shares outstanding for MAS has been reduced compared to 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
An Altman-Z score of 3.84 indicates that MAS is not in any danger for bankruptcy at the moment.
MAS has a Altman-Z score (3.84) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.84 |
ROIC/WACC3.05
WACC8.65%
2.3 Liquidity
A Current Ratio of 1.88 indicates that MAS should not have too much problems paying its short term obligations.
MAS's Current ratio of 1.88 is in line compared to the rest of the industry. MAS outperforms 53.66% of its industry peers.
A Quick Ratio of 1.20 indicates that MAS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.20, MAS perfoms like the industry average, 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
MAS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.25%.
Measured over the past years, MAS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.05% on average per year.
The Revenue has decreased by -3.62% in the past year.
The Revenue has been growing slightly by 3.14% on average over the past years.
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.
MAS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.43% yearly.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
With a Price/Earnings ratio of 15.38, MAS is valued correctly.
Based on the Price/Earnings ratio, MAS is valued a bit cheaper than the industry average as 63.41% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.83, MAS is valued a bit cheaper.
With a Price/Forward Earnings ratio of 14.47, 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 (32.68), we can say MAS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.38 | ||
| Fwd PE | 14.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MAS is valued a bit cheaper than the industry average as 60.98% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.68 |
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)1.53
EPS Next 2Y2.2%
EPS Next 3Y5.24%
5. Dividend
5.1 Amount
MAS has a Yearly Dividend Yield of 2.00%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.29, 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 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
MAS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP7.62%
EPS Next 2Y2.2%
EPS Next 3Y5.24%
61.99
-0.11 (-0.18%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners99.44%
Inst Owner Change1.08%
Ins Owners0.16%
Ins Owner Change1.28%
Market Cap12.98B
Revenue(TTM)7.60B
Net Income(TTM)827.00M
Analysts68.57
Price Target77.2 (24.54%)
Short Float %3.29%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
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)0.58%
PT rev (3m)7.74%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)16.17%
EPS NY rev (1m)0.04%
EPS NY rev (3m)13.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.65%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.38 | ||
| Fwd PE | 14.47 | ||
| P/S | 1.71 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.68 |
EPS(TTM)4.03
EY6.5%
EPS(NY)4.28
Fwd EY6.91%
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)1.53
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 | 3.84 |
F-ScoreN/A
WACC8.65%
ROIC/WACC3.05
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 15.38 and the Price/Book (PB) ratio is -166.39.
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.