Carrier Global Corporation (CARR) vs Masco Corporation (MAS)

Carrier Global Corporation and Masco Corporation are both Building Products & Equipment companies. Carrier Global Corporation is the larger, with a market value of $43.5B against $16.2B — 2.7× the size. Carrier Global Corporation has negative trailing earnings, so its P/E is not meaningful; Masco Corporation trades at 18.1×. Carrier Global Corporation grew revenue faster over the last twelve months: 3.33% against 0.95%. Masco Corporation has the higher net margin (12.1% vs −7.90%) and the higher return on invested capital (35.2% vs −3.31%). Both pay a dividend; Masco Corporation yields more (1.90% vs 1.80%). Across the 21 metrics below, Masco Corporation leads on 15 and Carrier Global Corporation on 6.

Valuation

Metric CARR MAS Building Products & Equipment median
P/E n/m 18.13 23.33
P/S 1.92 2.14 2.09
P/B 4.20 n/m 2.85
Price to free cash flow 18.42 15.53 18.42
EV/EBITDA 16.37 13.86 13.29
EV/Sales 2.37 2.48 2.28
Earnings yield (4.15%) 5.52% 3.04%
Free cash flow yield 5.43% 6.44% 4.26%

Profitability

Metric CARR MAS Building Products & Equipment median
Gross margin 24.64% 37.55% 31.88%
Operating margin (4.77%) 17.92% 7.18%
Net margin (7.90%) 12.05% 4.11%
Free cash flow margin 10.43% 13.78% 6.41%
Return on equity (14.26%) (8,034.78%) 5.95%
Return on assets (5.03%) 17.35% 3.90%
Return on invested capital (3.31%) 35.17% 5.54%

Growth

Metric CARR MAS Building Products & Equipment median
Revenue growth (TTM) 3.33% 0.95% 6.27%
EPS growth (last fiscal year) (72.03%) 2.66% (28.29%)
Revenue growth, 5-year CAGR 4.49% 1.02% 4.81%
Net income growth, 5-year CAGR (5.62%) (7.79%) 0.00%

Health

Metric CARR MAS Building Products & Equipment median
Debt to equity 1.10 (16.81) 0.55
Current ratio 1.00 1.83 1.83
Net debt to EBITDA 2.98 1.65 1.45

Dividend

Metric CARR MAS Building Products & Equipment median
Dividend yield 1.80% 1.90% 1.37%
Payout ratio 0.67 0.34 0.28

Size

Metric CARR MAS Building Products & Equipment median
Market cap 43.53b 16.16b 3.22b

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