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 $13.3B against $6.9B — 1.9× the size. Masco Corporation trades at the lower P/E: 15.8× against 22.3×. Armstrong World Industries, Inc. grew revenue faster over the last twelve months: 8.57% against −0.56%. Armstrong World Industries, Inc. has the higher net margin (18.6% vs 11.6%) and the lower return on invested capital (20.6% vs 32.4%). Both pay a dividend; Masco Corporation yields more (1.60% vs 0.99%). Across the 22 metrics below, Masco Corporation leads on 14 and Armstrong World Industries, Inc. on 8.

Valuation

Metric AWI MAS Building Products & Equipment median
P/E 22.30 15.83 24.54
P/S 4.08 1.80 2.00
P/B 7.82 n/m 3.02
Price to free cash flow 27.93 12.02 18.49
EV/EBITDA 13.20 12.26 12.63
EV/Sales 4.34 2.15 2.14
Earnings yield 4.48% 6.32% 2.74%
Free cash flow yield 3.58% 8.32% 3.58%

Profitability

Metric AWI MAS Building Products & Equipment median
Gross margin 40.30% 36.96% 29.19%
Operating margin 25.79% 17.56% 6.84%
Net margin 18.60% 11.60% 4.05%
Free cash flow margin 14.61% 14.96% 8.72%
Return on equity 36.62% 5,893.33% 9.28%
Return on assets 16.30% 16.54% 2.88%
Return on invested capital 20.58% 32.43% 5.16%

Growth

Metric AWI MAS Building Products & Equipment median
Revenue growth (TTM) 8.57% (0.56%) 3.11%
EPS growth (last fiscal year) 17.61% 2.66% —
Revenue growth, 5-year CAGR 11.59% 1.02% 5.37%
Net income growth, 5-year CAGR 0.00% (7.79%) 0.00%

Health

Metric AWI MAS Building Products & Equipment median
Debt to equity 0.59 (27.50) 0.43
Current ratio 1.52 1.86 1.82
Net debt to EBITDA 0.59 1.65 0.98

Dividend

Metric AWI MAS Building Products & Equipment median
Dividend yield 0.99% 1.60% 1.20%
Payout ratio 0.20 0.32 0.04

Size

Metric AWI MAS Building Products & Equipment median
Market cap 6.85b 13.27b 1.18b

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