MasterBrand Inc (MBC)
NYSE:MBC
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MasterBrand Inc
(NYSE:MBC)
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Rating:47Neutral
Price Target:
$8.00
▼(-28.19% Downside)
Action:ReiteratedDate:03/13/26
The score is held back primarily by deteriorating profitability and weaker cash-flow trends, alongside a bearish technical setup (price below key moving averages with negative MACD). A high P/E and cautious near-term guidance further pressure the rating, partially offset by continued positive free cash flow, liquidity, and identified cost/tariff mitigation actions.
Positive Factors
Cash Generation & Liquidity
Consistent positive operating and free cash flow, plus sizable revolver availability, provide durable financial flexibility. This supports working capital during housing cycles, funds integration and mitigation actions, and allows gradual deleveraging or targeted investments without immediate reliance on equity markets.
Negative Factors
Profitability Compression
Severe margin compression and a collapse in net income reduce internal reinvestment capacity and strain returns. With EBIT and net margins materially below historical levels, the business is more sensitive to demand swings and input cost shocks, hindering durable improvement until margins normalize.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation & Liquidity
Consistent positive operating and free cash flow, plus sizable revolver availability, provide durable financial flexibility. This supports working capital during housing cycles, funds integration and mitigation actions, and allows gradual deleveraging or targeted investments without immediate reliance on equity markets.
Read all positive factors
MasterBrand Inc (MBC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.06B
Dividend YieldN/A
Average Volume (3M)1.74M
Price to Earnings (P/E)53.1
Beta (1Y)1.22
Revenue Growth1.77%
EPS Growth-44.11%
CountryUS
Employees13,000
SectorConsumer Cyclical
Sector Strength84
IndustryFurnishings, Fixtures & Appliances
Share Statistics
EPS (TTM)-0.02
Shares Outstanding127,537,370
10 Day Avg. Volume1,478,456
30 Day Avg. Volume1,743,670
Financial Highlights & Ratios
PEG Ratio-0.67
Price to Book (P/B)1.06
Price to Sales (P/S)0.52
P/FCF Ratio12.07
Enterprise Value/Market Cap2.13
Enterprise Value/Revenue0.83
Enterprise Value/Gross Profit2.83
Enterprise Value/Ebitda10.73
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.4
Revenue Forecast (FY)$2.61B
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 storag...
How the Company Makes Money
MasterBrand makes money primarily by selling residential cabinetry products (e.g., kitchen and bath cabinets and related components) to customers in the U.S. and Canada. Its core revenue stream is product sales generated from supplying cabinets in...
MasterBrand Inc Key Performance Indicators (KPIs)
MasterBrand Inc Earnings Call Summary
Earnings Call Date:Feb 10, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 05, 2026
Earnings Call Sentiment Negative
The call highlights meaningful strategic progress — including integration of Supreme, continuous improvement gains, active tariff mitigation, a healthy liquidity position, and the potential transformational American Woodmark combination with sizable targeted synergies. However, these positives were overshadowed by substantial near-term financial deterioration: Q4 adjusted EBITDA and gross profit declined sharply, Q4 net loss and EPS weakness, falling free cash flow and operating cash, rising SG&A driven by one-time charges, and persistent trade and market headwinds (tariffs, three years of market contraction, and expectation of mid-single-digit market declines in 2026). Management is taking cost reduction and mitigation actions ($30 million planned reductions, pricing and sourcing initiatives) and expects mitigation benefits to materialize through 2026, but visibility is limited in the near term and leverage metrics were pressured. Overall, near-term operational and macro pressures outweigh the strategic and financial progress noted on the call.Positive Updates
Full-Year Net Sales Growth (Including Acquisition)
2025 net sales of $2.7 billion, up 1% year-over-year, driven by Supreme contribution (~5% of full-year sales) and net average selling price improvements that helped offset an underlying mid-single-digit market decline.
Negative Updates
Q4 Revenue Decline and Market Weakness
Fourth-quarter net sales of $644.6 million, down 3.5% year-over-year, reflecting a mid-single-digit addressable market decline and a sharper-than-expected late-quarter slowdown in new construction.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Net Sales Growth (Including Acquisition)
2025 net sales of $2.7 billion, up 1% year-over-year, driven by Supreme contribution (~5% of full-year sales) and net average selling price improvements that helped offset an underlying mid-single-digit market decline.
Read all positive updates
Company Guidance
MasterBrand moved to quarterly guidance and laid out a cautious 2026 outlook: for Q1 2026 it expects end markets and net sales down mid‑ to high‑single digits Y/Y, adjusted EBITDA of $23–$33 million (3.9%–5.3% margin), adjusted diluted loss per share of $0.06 to $0.00, and the start of $30 million of planned cost reductions (savings begin in Q1, fully realized by year‑end). For full‑year 2026 management expects the addressable market down mid‑single digits, elevated decremental margins that should improve in H2, interest expense flat to down, an improved effective tax rate, and free cash flow to exceed net income; it estimates unmitigated gross tariff exposure of ~5%–6% of 2026 net sales with >85% of the net negative tariff impact reflected in 2026 and expects to offset 100% of tariff dollar costs on a run‑rate basis by 2026. The outlook excludes any American Woodmark transaction benefits (and other potential future trade changes), and net debt/adjusted EBITDA at close of the pending deal is no longer expected to be <2.0x but is projected to trend down as mitigation and synergies are realized.MasterBrand Inc Financial Statement Overview
Summary
Income Statement
42
Neutral
Balance Sheet
58
Neutral
Cash Flow
55
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.73B | 2.70B | 2.73B | 3.28B | 2.86B |
| Gross Profit | 799.90M | 859.70M | 875.90M | 918.80M | 763.20M |
| EBITDA | 225.60M | 319.60M | 368.20M | 277.90M | 300.50M |
| Net Income | 26.70M | 125.90M | 182.00M | 155.40M | 182.60M |
Balance Sheet | |||||
| Total Assets | 3.10B | 2.93B | 2.38B | 2.53B | 3.00B |
| Cash, Cash Equivalents and Short-Term Investments | 183.30M | 120.60M | 148.70M | 101.10M | 141.40M |
| Total Debt | 1.35B | 1.08B | 770.20M | 1.03B | 113.20M |
| Total Liabilities | 1.76B | 1.64B | 1.19B | 1.52B | 551.10M |
| Stockholders Equity | 1.34B | 1.29B | 1.19B | 1.01B | 2.45B |
Cash Flow | |||||
| Free Cash Flow | 117.50M | 211.10M | 348.30M | 179.70M | 96.60M |
| Operating Cash Flow | 195.70M | 292.00M | 405.60M | 235.60M | 148.20M |
| Investing Cash Flow | -74.40M | -580.80M | -56.90M | -55.90M | -51.50M |
| Financing Cash Flow | -65.70M | 269.60M | -299.90M | -215.30M | -109.70M |
MasterBrand Inc Technical Analysis
Neutral
11.14
Price Trends
10.09
Negative
10.72
Negative
11.53
Negative
Market Momentum
-0.45
Negative
41.33
Neutral
43.06
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MBC, the sentiment is Neutral. The current price of 11.14 is above the 20-day moving average (MA) of 8.19, above the 50-day MA of 10.09, and below the 200-day MA of 11.53, indicating a neutral trend. The MACD of -0.45 indicates Negative momentum. The RSI at 41.33 is Neutral, neither overbought nor oversold. The STOCH value of 43.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MBC.
MasterBrand Inc Risk Analysis
MasterBrand Inc disclosed 40 risk factors in its most recent earnings report. MasterBrand Inc reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
MasterBrand Inc Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $1.52B | 14.41 | 15.93% | 0.21% | 5.11% | 34.02% | |
65 Neutral | $1.34B | 18.08 | 8.12% | 2.39% | 1.78% | -25.36% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
58 Neutral | $592.25M | -7.53 | 1.91% | ― | -10.71% | -37.03% | |
57 Neutral | $1.35B | 6.47 | 26.15% | 1.84% | -6.03% | ― | |
50 Neutral | $1.03B | 14.70 | 0.83% | 4.16% | 4.34% | -141.36% | |
47 Neutral | $1.06B | 53.13 | 1.98% | ― | 1.77% | -44.11% |
* Consumer Cyclical Sector Average
MBC
MasterBrand Inc
8.33
-3.43
-29.17%
AMWD
American Woodmark
40.65
-17.50
-30.09%
MLKN
MillerKnoll
15.02
-0.87
-5.47%
TILE
Interface
26.25
7.49
39.93%
LZB
La-Z-Boy Incorporated
32.71
-4.77
-12.73%
LEG
Leggett & Platt
9.95
3.14
46.02%
MasterBrand Inc Corporate Events
Business Operations and StrategyStock BuybackFinancial DisclosuresM&A Transactions
MasterBrand Announces Cost Actions Amid Weaker Quarterly Results
Negative
Feb 10, 2026
On February 10, 2026, MasterBrand reported fourth-quarter 2025 net sales of $644.6 million, down 3.5% year over year, with a net loss margin of 6.5% and adjusted EBITDA margin falling to 5.4% amid lower volumes, tariffs, and inflationary pressures...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.