U.S. home improvement products maker's Q2 sales fell 3%, missing analyst expectations
Adjusted EPS for Q2 rose 26% and beat analyst expectations
Company returned $454 mln to shareholders via dividends and buybacks
Drivers of the quarter
Sales decline - Co said Q2 sales fell due to a challenging comparison with the prior year and targeted strategic investments to support growth
Tariff refunds - Co recognized a net benefit of about $95 mln from IEEPA tariff refunds, which helped drive adjusted operating profit and adjusted EPS growth
Margin improvement - Gross and operating margins increased, attributed to operational excellence and leveraging industry leading brands
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 9 "strong buy" or "buy", 11 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the construction supplies & fixtures peer group is "buy"
Wall Street's median 12-month price target for Masco Corp is $82.00, about 0.5% above its July 28 closing price of $81.61
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 14 three months ago
2026 outlook
Masco raises 2026 adjusted EPS guidance to $4.40-$4.60 from $4.10-$4.30
Company expects 2026 EPS in the range of $4.21-$4.41
Masco says volatility in macroeconomic and geopolitical environments expected to persist
MAS•
