On October 21, 2023, Zacks Research revised its earnings estimates for Masco Corporation (NYSE: MAS), projecting that the construction company will earn $0.86 per share in the first quarter of 2026, down from a previous estimate of $0.87. Zacks maintains a “Hold” rating on the stock, reflecting cautious optimism as the consensus estimate for Masco’s full-year earnings currently stands at $4.34 per share.
Several other analysts have also weighed in on Masco’s stock performance. On August 1, 2023, Barclays increased its price target for Masco shares from $77.00 to $78.00 while assigning an “overweight” rating. In contrast, Robert W. Baird downgraded Masco from an “outperform” to a “neutral” rating with a price target of $70.00 in a report issued on July 22, 2023. Vertical Research initiated coverage with a “hold” rating, while Oppenheimer set a price objective of $79.00 and provided an “outperform” rating.
Stock Performance and Earnings Insights
As of October 25, 2023, shares of Masco opened at $68.96. Over the past year, the stock has fluctuated between a low of $56.55 and a high of $83.10. The company boasts a market capitalization of $14.44 billion, a price-to-earnings (P/E) ratio of 18.29, and a debt-to-equity ratio of 19.63.
Masco’s recent quarterly earnings report, released on July 31, 2023, revealed earnings per share (EPS) of $1.30, exceeding analysts’ expectations of $1.08 by $0.22. The company generated revenue of $2.05 billion, surpassing forecasts of $2 billion. However, this revenue represents a 1.9% decline compared to the same quarter the previous year, where the EPS was $1.20.
Institutional Investment Trends
Recent activity among institutional investors indicates a growing interest in Masco. In the first quarter, Alpine Bank Wealth Management established a new position valued at approximately $29,000, while Elevation Point Wealth Partners LLC added a position worth $28,000 in the second quarter. Other notable investments include Costello Asset Management INC, which acquired shares valued at around $31,000, and Migdal Insurance & Financial Holdings Ltd. with a stake worth about $33,000. Currently, institutional investors hold approximately 93.91% of Masco’s stock.
Insider trading has also seen activity, with Heath M. Eisman, Chief Accounting Officer, selling 2,431 shares on August 19, 2023, at an average price of $74.62. Following this sale, Eisman’s remaining shares were valued at around $898,126.32. Notably, Jai Shah, another insider, sold 82,910 shares on August 22, 2023, for a total of $6,304,476.40.
Dividend Announcement
Masco has declared a quarterly dividend of $0.31, which was paid on August 25, 2023, to shareholders on record as of August 8, 2023. This represents an annualized dividend of $1.24 with a yield of 1.8%. The company’s current payout ratio stands at 32.89%.
About Masco Corporation
Masco Corporation specializes in designing, manufacturing, and distributing home improvement and building products across North America, Europe, and other international markets. The company’s offerings include a variety of plumbing products, such as faucets, showerheads, and toilets, alongside components for plumbing systems and connected water products.
As analysts continue to assess Masco’s performance, the upcoming earnings reports will be crucial in determining the company’s trajectory in the competitive construction market.
