MasterBrand Inc (MBC) AI Stock Analysis

• Market Cap: $1.65B
• Dividend Yield: N/A
• Average Volume (3M): 1.40M
• Price to Earnings (P/E): 18.0
• Beta (1Y): 1.13
• Revenue Growth: 4.05%
• EPS Growth: -47.49%
• Country: US
• Employees: 13,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.40
• Shares Outstanding: 126,738,910
• 10 Day Avg. Volume: 1,010,699
• 30 Day Avg. Volume: 1,398,621
• PEG Ratio: -0.48
• Price to Book (P/B): 1.42
• Price to Sales (P/S): 0.68
• P/FCF Ratio: 8.68
• Enterprise Value/Market Cap: 1.43
• Enterprise Value/Revenue: 1.11
• Enterprise Value/Gross Profit: 3.45
• Enterprise Value/Ebitda: 10.15
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: $14.00 ▲(9.80% Upside)

MasterBrand Inc's overall stock score reflects solid financial performance and positive strategic developments from the proposed merger with American Woodmark. However, technical indicators suggest weak momentum, and the valuation is moderate. The company's strong cash flow and strategic merger plans are significant positives, but increased leverage and market challenges pose risks.

MasterBrand Inc Business Overview & Revenue Model

Company Description

MasterBrand Inc. (MBC) is a leading manufacturer and distributor of high-quality cabinetry and related products, serving the residential and commercial markets. With a diverse portfolio that includes kitchen cabinets, bathroom vanities, and storage solutions, MBC operates in the home improvement and construction sectors. The company is committed to innovation and sustainability, offering a wide range of customizable products designed to meet the needs and preferences of consumers and professionals alike.

How the Company Makes Money

MasterBrand Inc. generates revenue primarily through the sale of cabinetry and related products to various distribution channels, including home improvement retailers, kitchen and bath showrooms, and directly to builders and contractors. The company operates on a wholesale business model, supplying products to retailers who then sell them to end consumers. Key revenue streams include the sale of standard and custom cabinetry, accessories, and installation services. Additionally, MBC benefits from strategic partnerships with home improvement chains and builders, which enhance market reach and visibility. The growing trend of home renovations and new construction projects further supports the company's earnings potential.

MasterBrand Inc Financial Statement Overview

Summary

MasterBrand Inc demonstrates solid financial performance with stable revenue and profit margins, although there are signs of pressure on profitability. The balance sheet shows increased leverage, which could be a concern if not managed properly. Strong cash flow generation is a positive aspect, providing liquidity and financial flexibility. Overall, the company is in a stable position but should monitor debt levels and profitability closely.

Income Statement

MasterBrand Inc has shown a stable gross profit margin around 32% over recent periods, indicating consistent cost management. However, the net profit margin has decreased to 3.74% in the TTM, reflecting pressure on bottom-line profitability. Revenue growth is modest at 2% in the TTM, showing a recovery from previous declines. The EBIT and EBITDA margins have slightly decreased, suggesting some operational challenges.

Balance Sheet

The company's debt-to-equity ratio has increased to 0.86 in the TTM, indicating higher leverage compared to previous years. Return on equity has decreased to 7.14%, reflecting lower profitability on shareholders' equity. The equity ratio remains stable, suggesting a balanced asset structure. However, the increasing debt levels could pose a risk if not managed carefully.

Cash Flow

MasterBrand Inc's free cash flow has grown by 37.9% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy at 0.67, and the free cash flow to net income ratio is robust at 0.65, showing efficient cash conversion. These metrics suggest good liquidity and cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2021	Dec 2020	Dec 2019
Income Statement
Total Revenue	2.11B	2.70B	2.73B	2.86B	2.47B	2.39B
Gross Profit	679.90M	877.00M	875.90M	783.90M	703.00M	691.80M
EBITDA	231.10M	319.60M	368.20M	313.40M	273.70M	210.20M
Net Income	79.70M	125.90M	182.00M	182.60M	145.70M	100.70M
Balance Sheet
Total Assets	2.96B	2.93B	2.38B	3.00B	2.71B	0.00
Cash, Cash Equivalents and Short-Term Investments	120.10M	120.60M	148.70M	141.40M	154.30M	0.00
Total Debt	1.07B	1.08B	770.20M	63.20M	40.60M	0.00
Total Liabilities	1.60B	1.64B	1.19B	551.10M	498.20M	0.00
Stockholders Equity	1.36B	1.29B	1.19B	2.45B	2.21B	0.00
Cash Flow
Free Cash Flow	90.00M	211.10M	348.30M	96.60M	177.30M	117.70M
Operating Cash Flow	134.20M	292.00M	405.60M	148.20M	204.60M	148.60M
Investing Cash Flow	-554.30M	-580.80M	-56.90M	-51.50M	-26.70M	-28.80M
Financing Cash Flow	337.60M	269.60M	-299.90M	-109.70M	-179.20M	-83.60M

MasterBrand Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.75
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MBC, the sentiment is Negative. The current price of 12.75 is below the 20-day moving average (MA) of 12.96, below the 50-day MA of 13.04, and below the 200-day MA of 12.79, indicating a neutral trend. The MACD of -0.05 indicates Positive momentum. The RSI at 46.84 is Neutral, neither overbought nor oversold. The STOCH value of 32.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MBC.

MasterBrand Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TILE	―	$1.55B	17.00	18.63%	0.19%	6.26%	44.74%
MBC	―	$1.65B	18.03	7.15%	―	4.05%	-47.49%
LEG	―	$1.36B	6.58	26.19%	1.89%	-6.05%	―
LZB	―	$1.33B	15.23	9.09%	2.72%	2.18%	-22.35%
AMWD	―	$940.72M	11.52	9.21%	―	-8.56%	-17.10%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MLKN	―	$1.10B	-64.27	-1.18%	4.39%	5.37%	-127.27%

MasterBrand Inc Corporate Events

MasterBrand Inc Faces Legal Challenges Post-Merger

On August 5, 2025, MasterBrand, Inc. entered into a merger agreement with American Woodmark Corporation, aiming to merge American Woodmark as a wholly owned subsidiary. This merger has led to several legal challenges, with stockholders alleging that the joint proxy statement/prospectus omitted material information. Despite denying these allegations, MasterBrand and American Woodmark have chosen to supplement the disclosures to avoid potential legal and business disruptions.

The most recent analyst rating on (MBC) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on MasterBrand Inc stock, see the MBC Stock Forecast page.

MasterBrand Inc Gains Mexican Approval for Merger

On October 3, 2025, MasterBrand, Inc. received approval from the Federal Competition Commission of Mexico for its merger with American Woodmark Corporation, a necessary regulatory step for the merger’s completion. Subsequently, MasterBrand voluntarily withdrew its pre-merger notification to the FTC to allow more time for antitrust review, with plans to resubmit by October 8, 2025, starting a new 30-day waiting period. The merger is expected to be finalized in early 2026, pending further approvals and conditions.

The most recent analyst rating on (MBC) stock is a Buy with a $15.50 price target. To see the full list of analyst forecasts on MasterBrand Inc stock, see the MBC Stock Forecast page.

MasterBrand’s Strategic Merger and Market Outlook

MasterBrand Inc. recently held an earnings call that was marked by a balanced sentiment. The discussion was centered around the strategic benefits and growth opportunities presented by the proposed merger with American Woodmark. While the merger promises significant advantages, the call also addressed the challenges posed by a declining market for new construction and repair and remodel, as well as potential tariff impacts.

MasterBrand’s Q2 2025 Results and Strategic Merger

MasterBrand, Inc., the largest residential cabinet manufacturer in North America, offers a comprehensive range of cabinetry products for various parts of the home through a vast distribution network. The company recently announced its second quarter 2025 financial results, highlighting an 8% increase in net sales to $730.9 million, although net income decreased by 18% to $37.3 million. Despite these mixed results, MasterBrand maintained its financial outlook for the year and announced a significant merger with American Woodmark to enhance its market position.

MasterBrand Inc Announces Merger with American Woodmark

On August 5, 2025, MasterBrand Inc. announced a merger agreement with American Woodmark Corporation, where American Woodmark will become a wholly owned subsidiary of MasterBrand. This all-stock transaction aims to create a stronger combined entity with enhanced operational agility, expanded geographic reach, and significant cost synergies expected to reach $90 million by the third year post-merger. The merger is anticipated to strengthen MasterBrand’s financial profile, improve free cash flow generation, and position the company for further growth and investment opportunities.

The most recent analyst rating on (MBC) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on MasterBrand Inc stock, see the MBC Stock Forecast page.