Armstrong World Industries, Inc. (AWI) vs Masco Corporation (MAS)

Armstrong World Industries, Inc. and Masco Corporation are both Building Products & Equipment companies. Masco Corporation is the larger, with a market value of $16.2B against $7.1B — 2.3× the size. Masco Corporation trades at the lower P/E: 18.1× against 22.8×. Armstrong World Industries, Inc. grew revenue faster over the last twelve months: 9.11% against 0.95%. Armstrong World Industries, Inc. has the higher net margin (18.4% vs 12.1%) and the lower return on invested capital (21.4% vs 35.2%). Both pay a dividend; Masco Corporation yields more (1.90% vs 0.81%). Across the 22 metrics below, Masco Corporation leads on 12 and Armstrong World Industries, Inc. on 10.

Valuation

Metric AWI MAS Building Products & Equipment median
P/E 22.79 18.13 23.33
P/S 4.12 2.14 2.09
P/B 8.05 n/m 2.85
Price to free cash flow 33.03 15.53 18.42
EV/EBITDA 13.29 13.86 13.29
EV/Sales 4.37 2.48 2.28
Earnings yield 4.39% 5.52% 3.04%
Free cash flow yield 3.03% 6.44% 4.26%

Profitability

Metric AWI MAS Building Products & Equipment median
Gross margin 39.83% 37.55% 31.88%
Operating margin 25.84% 17.92% 7.18%
Net margin 18.38% 12.05% 4.11%
Free cash flow margin 12.48% 13.78% 6.41%
Return on equity 36.00% (8,034.78%) 5.95%
Return on assets 16.47% 17.35% 3.90%
Return on invested capital 21.35% 35.17% 5.54%

Growth

Metric AWI MAS Building Products & Equipment median
Revenue growth (TTM) 9.11% 0.95% 6.27%
EPS growth (last fiscal year) 17.61% 2.66% (28.29%)
Revenue growth, 5-year CAGR 11.59% 1.02% 4.81%
Net income growth, 5-year CAGR 0.00% (7.79%) 0.00%

Health

Metric AWI MAS Building Products & Equipment median
Debt to equity 0.56 (16.81) 0.55
Current ratio 1.45 1.83 1.83
Net debt to EBITDA 0.59 1.65 1.45

Dividend

Metric AWI MAS Building Products & Equipment median
Dividend yield 0.81% 1.90% 1.37%
Payout ratio 0.19 0.34 0.28

Size

Metric AWI MAS Building Products & Equipment median
Market cap 7.13b 16.16b 3.22b

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