MASCO CORP (MAS) Stock Fundamental Analysis
USA - NYSE:MAS - US5745991068 - Common Stock
64.76 USD
-0.23 (-0.35%)
64.76 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. MAS has only an average score on both its financial health and profitability. MAS has a decent growth rate and is not valued too expensively. 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.
MAS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MAS has a Return On Assets of 15.57%. This is amongst the best in the industry. MAS outperforms 92.68% of its industry peers.
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 12.67%.
| 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 63.41% of its industry peers.
MAS's Profit Margin has declined in the last couple of years.
The Operating Margin of MAS (16.99%) is better 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.
MAS has a Gross Margin of 35.66%. This is comparable to the rest of the industry: MAS outperforms 56.10% of its industry peers.
In the last couple of years the Gross Margin of MAS has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MAS is creating value.
MAS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MAS has been reduced compared to 5 years ago.
The debt/assets ratio for MAS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.90 indicates that MAS is not in any danger for bankruptcy at the moment.
MAS has a Altman-Z score of 3.90. This is comparable to the rest of the industry: MAS outperforms 53.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.9 |
ROIC/WACC2.87
WACC9.21%
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 comparable to the rest of the industry.
A Quick Ratio of 1.20 indicates that MAS should not have too much problems paying its short term obligations.
MAS has a Quick ratio (1.20) which is in line with its industry peers.
| 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%.
The Earnings Per Share has been growing by 10.05% on average over the past years. This is quite good.
MAS shows a decrease in Revenue. In the last year, the revenue decreased by -3.62%.
Measured over the past years, MAS shows a small growth in Revenue. The Revenue has been growing by 3.14% on average per year.
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
The Earnings Per Share is expected to grow by 9.29% on average over the next years. This is quite good.
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-0.39%
EPS Next 2Y3.59%
EPS Next 3Y6.06%
EPS Next 5Y9.29%
Revenue Next Year-2.74%
Revenue Next 2Y0.19%
Revenue Next 3Y1.43%
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
A Price/Earnings ratio of 16.07 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 70.73% of the companies listed in the same industry.
MAS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.10.
Based on the Price/Forward Earnings ratio of 14.72, the valuation of MAS can be described as correct.
MAS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MAS is cheaper than 63.41% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, MAS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.07 | ||
| Fwd PE | 14.72 |
4.2 Price Multiples
MAS's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.07 |
4.3 Compensation for Growth
The decent profitability rating of MAS may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.6
EPS Next 2Y3.59%
EPS Next 3Y6.06%
5. Dividend
5.1 Amount
MAS has a Yearly Dividend Yield of 1.91%. Purely for dividend investing, there may be better candidates out there.
MAS's Dividend Yield is rather good when compared to the industry average which is at 1.26. MAS pays more dividend than 87.80% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, MAS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
5.2 History
On average, the dividend of MAS grows each year by 18.34%, which is quite nice.
MAS has paid a dividend for at least 10 years, which is 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
MAS pays out 7.62% of its income as dividend. This is a 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 2Y3.59%
EPS Next 3Y6.06%
64.76
-0.23 (-0.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners99.44%
Inst Owner Change0.95%
Ins Owners0.16%
Ins Owner Change1.28%
Market Cap13.56B
Revenue(TTM)7.60B
Net Income(TTM)827.00M
Analysts69.63
Price Target77.2 (19.21%)
Short Float %3.29%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
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 | 16.07 | ||
| Fwd PE | 14.72 | ||
| P/S | 1.78 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.07 |
EPS(TTM)4.03
EY6.22%
EPS(NY)4.4
Fwd EY6.79%
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)1.6
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 | 3.9 |
F-ScoreN/A
WACC9.21%
ROIC/WACC2.87
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-0.39%
EPS Next 2Y3.59%
EPS Next 3Y6.06%
EPS Next 5Y9.29%
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y-2.23%
Revenue growth 5Y3.14%
Sales Q2Q%-3.33%
Revenue Next Year-2.74%
Revenue Next 2Y0.19%
Revenue Next 3Y1.43%
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 16.07 and the Price/Book (PB) ratio is -173.82.
Can you provide the expected EPS growth for MAS stock?
The Earnings per Share (EPS) of MASCO CORP (MAS) is expected to decline by -0.39% in the next year.