MASMASCO CORP /DE/

Heating Equip, Except Elec & Warm Air; & Plumbing Fixtures

Revenue: $7.6B; 3.4% YoY
Operating margin: 16.5%; 5.2% YoY
EBITDA: $1.4B; 7.7% YoY
Market cap: $15.5B
Employees: 18,000; $420K revenue each
Net debt / EBITDA: 2.0×; $2.8B net debt
AI in 10-K: 0.5; mentions per 10K words

Takeover score 1 of 13

Fixable underperformance 0 of 7

TSR below peersNo
1 of 5 years
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
126% of net income
Cash flow under 80% of net income
Dilutive SBCNo
0% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
81% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyNo
11% of assets
Over 40% of assets
Shareholder dissentNo
91% lowest support
Any vote under 80% support

Buyer economics 1 of 4

Low revenue per employeeNo
$420K · 56th pct
Bottom quartile of its SIC industry
Quiet on AIYes
0.5 per 10K words · 21st pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
2.0× EBITDA net debt
More cash than debt, positive EBITDA
Buyout-sizedNo
$15.5B market cap
Market cap $500M–$5B

Catalysts 0 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingNo
−$5M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$8.4B	$8.7B	$8.0B	$7.8B	$7.6B	3.4%
Operating income	$1.4B	$1.3B	$1.3B	$1.4B	$1.2B	8.4%
Net income	$410M	$844M	$908M	$822M	$810M	1.5%
Operating cash flow	$930M	$840M	$1.4B	$1.1B	$1.0B	4.9%
Capex	$128M	$224M	$243M	$168M	$156M	7.1%
Stock-based comp	$61M	$49M	$31M	$39M	$30M	23%
Buybacks	$1.0B	$914M	$353M	$751M	$571M	24%
Dividends	$211M	$258M	$257M	$254M	$261M	2.8%

Deal filings

None.

13D filers

None on file.

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $5M · 5
Net: −$5M

Pay vs performance

Year	CEO total comp	Comp actually paid	TSR (indexed)	Peer TSR
FY2025	—	—	116	83
FY2024	—	—	151	108
FY2023	—	—	150	123
FY2022	—	—	102	104
FY2021	—	—	150	147