Masco Corporation (MAS)
Industrials · NYQ · US
Fundamentals
Valuation and ratings
Masco Corporation trades at USD80.14, which is 98% below the USD159.01 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 54 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 18.8 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Masco Corporation
Masco Corporation provides home improvement and building products in North America, Europe, and internationally. The company's Plumbing Products segment offers faucets, showerheads, handheld showers, valves, bath hardware and accessories, bathing units, shower bases and enclosures, shower drains, steam shower systems, water filtration systems, and sinks and kitchen accessories; acrylic tubs, bath and shower enclosures, and shower bases and trays; spas, exercise pools, and aquatic fitness systems and saunas; brass, copper, and composite plumbing system component and other non-decorative plumbing products; water products; and thermoplastic products, extruded plastic profiles, and specialized fabrication products, as well as PEX tubing products. This segment provides its products under the DELTA, BRIZO, PEERLESS, HANSGROHE, AXOR, KRAUS, NEWPORT BRASS, GINGER, WALTEC, BRISTAN, HERITAGE, MIROLIN, HOT SPRING, CALDERA, FREEFLOW SPAS, FANTASY SPAS, AQUATERRA, LIFESMART, ENDLESS POOLS, TYLO, FINNLEO, HELO, BRASSCRAFT, PLUMBSHOP, and MASTER PLUMBER brands, as well as under private label to home center and online retailers, mass merchandisers, wholesalers and distributors, plumbers, building contractors, remodelers, smaller retailers, and consumers and homebuilders. Its Decorative Architectural Products segment offers paints, primers, specialty coatings, stains, and waterproofing products, as well as paint applicators and accessories; cabinet and door hardware, functional hardware, hook and hook rail products, and outdoor living hardware; and decorative bath hardware, shower accessories, and shower doors. This segment provides its products under the BEHR, KILZ, WHIZZ, LIBERTY, and FRANKLIN BRASS brands to home center and other retailers, mass and online retailers, other specialty retailers, and original equipment manufacturers and wholesalers. The company was incorporated in 1929 and is headquartered in Livonia, Michigan.
MAS passes 2 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
13 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Bill Nygren, HARRIS ASSOCIATES L P$1.04B · 0.7% of book
- Impax Asset Management, Impax Asset Management Group plc$143.51M · 1.0% of book
- Renaissance Technologies, RENAISSANCE TECHNOLOGIES LLC$68.47M · 0.1% of book
- Arrowstreet Capital, ARROWSTREET CAPITAL, LIMITED PARTNERSHIP$64.69M · 0.0% of book
- John Rogers, ARIEL INVESTMENTS, LLC$63.20M · 0.4% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is Masco Corporation (MAS) undervalued?
Against our discounted cash flow estimate of USD159.01, MAS at USD80.14 is 98% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own MAS?
13 of the institutions we track reported a position in MAS in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is MAS's P/E ratio?
MAS trades at 18.8 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for MAS, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.