Masco Co. (NYSE:MAS) Sees Significant Growth in Short Interest

Masco Co. (NYSE:MAS) saw a significant increase in short interest in March. As of March 15th, there was short interest totalling 5,140,000 shares, an increase of 20.7% from the February 28th total of 4,260,000 shares. Based on an average daily volume of 1,680,000 shares, the days-to-cover ratio is presently 3.1 days. Currently, 2.4% of the shares of the company are sold short.

Insider Activity

In related news, VP Renee Straber sold 3,139 shares of Masco stock in a transaction on Tuesday, March 11th. The stock was sold at an average price of $71.78, for a total transaction of $225,317.42. Following the completion of the sale, the vice president now owns 33,027 shares of the company’s stock, valued at approximately $2,370,678.06. This trade represents a 8.68 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Keith J. Allman sold 21,723 shares of the business’s stock in a transaction dated Wednesday, February 26th. The stock was sold at an average price of $76.36, for a total value of $1,658,768.28. Following the transaction, the chief executive officer now owns 60,267 shares of the company’s stock, valued at approximately $4,601,988.12. The trade was a 26.49 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.10% of the stock is owned by company insiders.

Institutional Trading of Masco

Several institutional investors have recently added to or reduced their stakes in the business. Norges Bank purchased a new position in Masco in the 4th quarter worth about $129,306,000. Nordea Investment Management AB boosted its holdings in Masco by 21.0% in the fourth quarter. Nordea Investment Management AB now owns 2,997,839 shares of the construction company’s stock worth $218,063,000 after purchasing an additional 520,555 shares during the last quarter. Raymond James Financial Inc. bought a new stake in Masco in the 4th quarter worth approximately $33,157,000. Freestone Grove Partners LP purchased a new stake in Masco during the 4th quarter valued at $30,678,000. Finally, Invesco Ltd. lifted its holdings in shares of Masco by 14.7% during the 4th quarter. Invesco Ltd. now owns 2,821,629 shares of the construction company’s stock valued at $204,766,000 after buying an additional 360,931 shares during the period. 93.91% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on MAS. Zelman & Associates upgraded shares of Masco to a “strong-buy” rating in a research report on Friday, January 17th. The Goldman Sachs Group lifted their price target on Masco from $85.00 to $96.00 and gave the stock a “buy” rating in a research note on Thursday, February 13th. Deutsche Bank Aktiengesellschaft started coverage on Masco in a report on Tuesday. They set a “hold” rating and a $71.00 price objective on the stock. Citigroup reduced their price target on shares of Masco from $82.00 to $77.00 and set a “neutral” rating on the stock in a research report on Monday, January 6th. Finally, Oppenheimer upgraded shares of Masco from a “market perform” rating to an “outperform” rating and set a $89.00 price objective for the company in a report on Friday, January 10th. Ten analysts have rated the stock with a hold rating, six have given a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $85.30.

Masco Stock Up 1.8 %

Shares of MAS traded up $1.23 on Wednesday, reaching $71.07. The stock had a trading volume of 1,197,499 shares, compared to its average volume of 1,651,415. The company has a 50-day simple moving average of $74.73 and a 200-day simple moving average of $77.73. The company has a debt-to-equity ratio of 20.74, a quick ratio of 1.15 and a current ratio of 1.75. The firm has a market capitalization of $15.07 billion, a price-to-earnings ratio of 18.90, a price-to-earnings-growth ratio of 1.94 and a beta of 1.24. Masco has a 12-month low of $63.81 and a 12-month high of $86.70.

Masco (NYSE:MAS) last released its earnings results on Tuesday, February 11th. The construction company reported $0.89 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.88 by $0.01. Masco had a net margin of 10.50% and a return on equity of 838.32%. During the same quarter last year, the business earned $0.83 earnings per share. Sell-side analysts predict that Masco will post 4.34 EPS for the current year.

Masco Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, March 10th. Investors of record on Friday, February 21st were given a dividend of $0.31 per share. The ex-dividend date of this dividend was Friday, February 21st. This represents a $1.24 annualized dividend and a dividend yield of 1.74%. This is an increase from Masco’s previous quarterly dividend of $0.29. Masco’s dividend payout ratio (DPR) is 32.98%.

About Masco

Masco Corporation designs, manufactures, and distributes home improvement and building products in North America, Europe, and internationally. The company's Plumbing Products segment offers faucets, showerheads, handheld showers, valves, bath hardware and accessories, bathing units, shower bases and enclosures, sinks, toilets, acrylic tubs, shower trays, spas, exercise pools, and fitness systems; brass, copper, and composite plumbing system components; connected water products; thermoplastic solutions, extruded plastic profiles, specialized fabrications, and PEX tubing products; and other non-decorative plumbing products.