Financial Survey: MasterBrand (MBC) vs. The Competition

MasterBrand (NYSE:MBC) is one of 17 publicly-traded companies in the “FURNITURE” industry, but how does it compare to its competitors? We will compare MasterBrand to similar companies based on the strength of its profitability, earnings, risk, valuation, institutional ownership, analyst recommendations and dividends.

Risk and Volatility

MasterBrand has a beta of 1.42, indicating that its stock price is 42% more volatile than the S&P 500. Comparatively, MasterBrand’s competitors have a beta of 0.95, indicating that their average stock price is 5% less volatile than the S&P 500.

Profitability

This table compares MasterBrand and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MasterBrand	3.74%	12.60%	5.75%
MasterBrand Competitors	-4.59%	-22.58%	-2.71%

Insider and Institutional Ownership

87.3% of MasterBrand shares are held by institutional investors. Comparatively, 62.4% of shares of all “FURNITURE” companies are held by institutional investors. 1.4% of MasterBrand shares are held by insiders. Comparatively, 5.4% of shares of all “FURNITURE” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares MasterBrand and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MasterBrand	$2.70 billion	$125.90 million	13.82
MasterBrand Competitors	$1.44 billion	-$1.07 million	5.77

MasterBrand has higher revenue and earnings than its competitors. MasterBrand is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a summary of current ratings and recommmendations for MasterBrand and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MasterBrand	1	0	1	0	2.00
MasterBrand Competitors	51	511	309	52	2.39

MasterBrand currently has a consensus target price of $15.00, suggesting a potential upside of 39.19%. As a group, “FURNITURE” companies have a potential upside of 41.53%. Given MasterBrand’s competitors stronger consensus rating and higher probable upside, analysts plainly believe MasterBrand has less favorable growth aspects than its competitors.

Summary

MasterBrand beats its competitors on 9 of the 13 factors compared.

MasterBrand Company Profile

MasterBrand, Inc. engages in the manufacture and sale of residential cabinets in the United States and Canada. The company offers a range of residential cabinetry products for the kitchen, bathroom, and other parts of the home. It sells its products to remodeling and new construction markets through dealers, retailers, and builders. The company was formerly known as United Cabinet Incorporated. MasterBrand, Inc. was founded in 1954 and is headquartered in Beachwood, Ohio.