Key Stats for Masco Stock
- Price Change: +9.2%
- Current Price: ~$78
- TIKR Model Target: $97
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What Happened?
Masco Corporation (MAS) skyrocketed 9.2% to close near $78 on Tuesday
Masco Corporation hit a new 52-week high as investors cheered a profit-driven earnings beat.
The primary catalyst was the company’s laser focus on operational efficiency, which allowed it to report Earnings Per Share (EPS) of $0.82, beating the consensus estimate of $0.78 despite a challenging revenue environment.
Furthermore, investors were particularly impressed by the company’s ability to expand margins through cost-cutting measures, with management announcing an additional $50 million in restructuring charges for 2026 to further streamline operations.
Moreover, the bullish sentiment was reinforced by a confident outlook for 2026, with the company guiding for EPS of $4.10 to $4.30, signaling that the worst of the post-pandemic housing correction may be over.
Analysts at Evercore ISI noted Masco’s strong free cash flow generation and commitment to returning capital.
This included a new $2 billion share repurchase program, making it a defensive winner in a volatile market.
The integration of Liberty Hardware into the Delta Faucet segment is expected to unlock further synergies.
The market is now pricing in a scenario where Masco emerges leaner and more profitable when housing turnover eventually picks up.
See analysts’ growth forecasts and price targets for Masco stock (It’s free!) >>>
Is Masco Undervalued Today?
During the earnings call, CEO Jon Nudi emphasized the company’s resilience and future potential.
He stated: “We delivered solid profitability and remain disciplined on capital allocation… Operating profit was $1.3 billion, and operating profit margin was 16.8%.”
Nudi also highlighted the long-term tailwinds for the industry: “U.S. homeowner equity levels are at a record high, up more than 80% since 2019… providing greater capacity for home renovation projects.”
CFO Rick Westenberg detailed the capital return strategy: “Our Board authorized a new $2 billion share repurchase program, underscoring Masco’s resilient business model.”
Read the full Masco Transcript on TIKR to see the 2026 Roadmap >>>
According to TIKR’s Advanced Valuation Model, the stock is trading at a significant discount to its intrinsic value.
- Target Price: $97
- Current Price: ~$78
- Potential Upside: +24%
Valuation Deep Dive
The investment case for Masco is a “margin compounder” play.
With the stock trading at ~$78, the market is pricing in a slow housing recovery, but the $97 target implies that Masco’s efficiency gains will drive earnings growth regardless of the macro environment.
- The Efficiency Lever: Masco’s aggressive cost-cutting and restructuring are permanently raising its margin floor, ensuring higher profitability on every dollar of sales.
- The Buyback Floor: The $2 billion buyback represents roughly 13% of the market cap, providing massive support for the stock price.
- The Value Gap: The $97 target reflects the belief that as interest rates stabilize and renovation demand returns, Masco’s earnings power will surprise to the upside.
If Masco can hit the top end of its 2026 guidance, the path to $97 is paved by consistent execution and shareholder returns.
Conclusion: Painting a bright future. With a 24% upside potential to $97, Masco offers a compelling blend of defensive stability and cyclical upside for investors betting on the American homeowner.
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How Much Upside Does Masco Stock Have From Here?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
