MasterBrand (MBC) and Its Peers Critical Comparison

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

Analyst Recommendations

This is a summary of current recommendations and price targets for MasterBrand and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MasterBrand	1	0	1	0	2.00
MasterBrand Competitors	51	512	310	53	2.39

MasterBrand currently has a consensus target price of $15.00, indicating a potential upside of 31.04%. As a group, “FURNITURE” companies have a potential upside of 38.70%. Given MasterBrand’s competitors stronger consensus rating and higher probable upside, analysts clearly believe MasterBrand has less favorable growth aspects than its competitors.

Earnings & Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
MasterBrand	$2.70 billion	$125.90 million	14.68
MasterBrand Competitors	$1.44 billion	-$10.98 million	5.60

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.

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	-4.43%	-22.69%	-2.67%

Institutional and Insider Ownership

87.3% of MasterBrand shares are owned by institutional investors. Comparatively, 62.4% of shares of all “FURNITURE” companies are owned by institutional investors. 1.4% of MasterBrand shares are owned by insiders. Comparatively, 5.4% of shares of all “FURNITURE” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

MasterBrand has a beta of 1.43, indicating that its share price is 43% more volatile than the S&P 500. Comparatively, MasterBrand’s competitors have a beta of 0.91, indicating that their average share price is 9% less volatile than the S&P 500.

Summary

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

About MasterBrand

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.