Masco Corporation Stock: Is Wall Street Bullish or Bearish?
Quick Take
Masco Corporation's stock outlook shows mixed sentiments from Wall Street analysts.
Key Points
- Analysts express varied opinions on Masco's stock performance.
- Recent trends indicate uncertainty in market reactions.
- Investors should monitor upcoming earnings reports closely.
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~2 min readNeharika Jain
2 min read
Livonia, Michigan-based Masco Corporation (MAS) designs, manufactures, and distributes home improvement and building products. Valued at a market cap of $13.2 billion, the company provides an extensive portfolio of products tailored for the residential repair, remodel, and new home construction markets, serving both do-it-yourself (DIY) consumers and professional contractors.
This home improvement products provider has considerably underperformed the broader market over the past 52 weeks. Shares of MAS have declined 3.5% over this time frame, while the broader S&P 500 Index ($SPX) has soared 24.3%. Moreover, on a YTD basis, the stock is up 1.4%, compared to SPX’s 8.1% rise.
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Zooming in further, MAS has also trailed the State Street Industrial Select Sector SPDR Fund’s (XLI) 17.9% return over the past 52 weeks and 9.7% YTD gain.
On Apr. 22, shares of MAS skyrocketed 10.8% after delivering impressive Q1 results. The company’s net sales grew 6.5% year-over-year to $1.9 billion, topping analyst estimates by 4.3%. Meanwhile, its adjusted EPS of $1.04 climbed 19.5% from the year-ago quarter, exceeding consensus expectations of $0.88.
For the current fiscal year, ending in December, analysts expect MAS’ EPS to grow 7.3% year over year to $4.25. The company’s earnings surprise history is mixed. It topped the consensus estimates in three of the last four quarters, while missing on another occasion.
Among the 23 analysts covering the stock, the consensus rating is a "Moderate Buy,” which is based on seven “Strong Buy,” 15 "Hold," and one "Moderate Sell” ratings.
The configuration is slightly more bullish than two months ago, with six analysts suggesting a “Strong Buy” rating.
On May 14, BMO Capital analyst Ketan Mamtora maintained a “Hold” rating on Masco and set a price target of $77, indicating a 19.5% potential upside from the current levels.
The mean price target of $81.33 suggests a 26.3% premium to its current price levels, while its Street-high price target of $97 implies a 50.6% potential upside.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com
— Originally published at finance.yahoo.com
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