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MAS Masco

industrial · valued with glm-5.2 medium conviction · deep-dived 2026-08-24

BUY
Intrinsic value$46.16
Price (at call)$73.29
Margin of safety -37.0%
vs market (rating basis) +20.5%

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The story

Value drivers

Revenue growth (Y1)-4.5%
Terminal growth3.5%
Forecast horizon10y
Target operating margin17.5%
Years to target margin5
Sales-to-capital2.76
Beta1.30
Failure probability0.0%
Cost of capital (WACC)9.6%
Terminal WACC8.5%

Valuation bridge

PV of explicit FCFF5.62B
PV of terminal value6.06B
Equity value9.10B
÷ shares → per share$46.16

News

neutral +0.10 · 8 articles

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  • Masco (MAS) Q2 2026 Earnings Call Transcript
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  • Could Masco (MAS) Be One of the Better Home Improvement Stocks to Watch?
  • Masco Earnings Rise as Pricing and Tariff Refunds Lift 2026 Margins

Projected free cash flow to the firm

YrRevenueGrowthMarginNOPATReinvestFCFFPV
1 7.28B -4.5% 17.5% 965.30M 0 965.30M 880.92M
2 7.02B -3.6% 17.5% 930.51M 0 930.51M 774.94M
3 6.82B -2.7% 17.5% 905.23M 0 905.23M 688.00M
4 6.70B -1.8% 17.5% 888.69M 0 888.69M 616.38M
5 6.64B -0.9% 17.5% 880.33M 0 880.33M 557.21M
6 6.63B -0.1% 17.5% 879.87M 0 879.87M 508.24M
7 6.69B 0.8% 17.5% 887.23M 20.09M 867.14M 457.10M
8 6.80B 1.7% 17.5% 902.52M 41.78M 860.74M 414.07M
9 6.98B 2.6% 17.5% 926.10M 64.40M 861.70M 378.30M
10 7.23B 3.5% 17.5% 958.51M 88.55M 869.96M 348.54M

History

DatePriceIntrinsicMoSRating
2026-08-24$73.29 $46.16 -37.0% BUY
2026-06-23$73.21 $54.15 -26.0% BUY