Masco Valuation

Is MAS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MAS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MAS ($70.58) is trading above our estimate of fair value ($67.09)

Significantly Below Fair Value: MAS is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for MAS?

Other financial metrics that can be useful for relative valuation.

MAS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.4x
Enterprise Value/EBITDA12.3x
PEG Ratio3.2x

Price to Earnings Ratio vs Peers

How does MAS's PE Ratio compare to its peers?

The above table shows the PE ratio for MAS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.3x
OC Owens Corning
13.6x14.3%US$15.4b
BLDR Builders FirstSource
12.8x3.5%US$18.6b
AOS A. O. Smith
22.3x5.3%US$12.9b
LII Lennox International
32.6x10.6%US$19.8b
MAS Masco
17x5.3%US$15.6b

Price-To-Earnings vs Peers: MAS is good value based on its Price-To-Earnings Ratio (17x) compared to the peer average (20.3x).


Price to Earnings Ratio vs Industry

How does MAS's PE Ratio compare vs other companies in the US Building Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a13.0%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a13.0%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: MAS is good value based on its Price-To-Earnings Ratio (17x) compared to the US Building industry average (21.5x).


Price to Earnings Ratio vs Fair Ratio

What is MAS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MAS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17x
Fair PE Ratio19.2x

Price-To-Earnings vs Fair Ratio: MAS is good value based on its Price-To-Earnings Ratio (17x) compared to the estimated Fair Price-To-Earnings Ratio (19.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MAS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$70.58
US$79.39
+12.5%
8.1%US$90.00US$66.00n/a18
Jul ’25US$64.71
US$80.61
+24.6%
7.7%US$90.00US$69.00n/a18
Jun ’25US$69.92
US$80.50
+15.1%
7.7%US$90.00US$69.00n/a18
May ’25US$68.58
US$79.90
+16.5%
8.6%US$90.00US$64.92n/a19
Apr ’25US$77.69
US$79.61
+2.5%
7.7%US$89.00US$64.92n/a20
Mar ’25US$77.60
US$79.61
+2.6%
7.7%US$89.00US$64.92n/a20
Feb ’25US$69.12
US$69.97
+1.2%
10.0%US$82.00US$59.50n/a19
Jan ’25US$66.98
US$66.58
-0.6%
10.6%US$82.00US$52.00n/a18
Dec ’24US$62.16
US$62.81
+1.0%
9.5%US$75.00US$52.00n/a18
Nov ’24US$52.71
US$62.63
+18.8%
9.7%US$75.00US$52.00n/a18
Oct ’24US$53.45
US$67.44
+26.2%
10.4%US$75.00US$51.40n/a17
Sep ’24US$59.72
US$66.47
+11.3%
12.7%US$75.00US$45.00n/a18
Aug ’24US$61.45
US$66.19
+7.7%
12.4%US$75.00US$45.00n/a18
Jul ’24US$57.38
US$59.24
+3.2%
11.5%US$71.00US$45.00US$64.7118
Jun ’24US$49.06
US$59.24
+20.8%
11.5%US$71.00US$45.00US$69.9218
May ’24US$53.36
US$59.24
+11.0%
11.5%US$71.00US$45.00US$68.5818
Apr ’24US$49.72
US$58.12
+16.9%
11.5%US$71.00US$45.00US$77.6917
Mar ’24US$51.61
US$58.12
+12.6%
11.5%US$71.00US$45.00US$77.6017
Feb ’24US$54.35
US$56.17
+3.3%
15.6%US$74.00US$40.00US$69.1218
Jan ’24US$46.67
US$55.44
+18.8%
16.3%US$74.00US$40.00US$66.9818
Dec ’23US$51.76
US$55.06
+6.4%
16.6%US$74.00US$40.00US$62.1618
Nov ’23US$45.66
US$55.06
+20.6%
16.6%US$74.00US$40.00US$52.7118
Oct ’23US$46.69
US$63.50
+36.0%
11.6%US$76.00US$50.00US$53.4518
Sep ’23US$50.77
US$63.42
+24.9%
11.3%US$76.00US$50.00US$59.7219
Aug ’23US$55.03
US$63.89
+16.1%
12.1%US$76.00US$50.00US$61.4518
Jul ’23US$51.61
US$65.06
+26.1%
14.5%US$83.00US$50.00US$57.3818

Analyst Forecast: Target price is less than 20% higher than the current share price.


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