MasterBrand, Inc. (MBC): Taurus’s case theory

We encountered a Saudi thesis On MasterBrand, Inc. On Schentack Action Action. In this article, we will summarize the bull thesis on MBC. MasterBrand, Inc. At $ 12.46 from August 18^Y. P/E at MBC 17.31 was according to Yahoo Finance.

MasterBrand (MBC) is the largest factory of kitchen and bathroom cabinets in North America, where both the new home markets and repair and re -formation markets (R&R) offers. The company operates through a pioneering merchant network of more than 7,700 wardrobe dealers, as it provides the widest range of products in the industry through customary lockers dedicated to all price points. MBC also sells directly to home builders and through retail partnerships with Home Depot and Lowe’s, which enhances its prevailing position in the market.

From 2019 to 2022, MBC has made an impressive growth with the modified sales and usual EBITDA by 11 % and 17 %, respectively, with the margins expanding about 190 bits per second. Despite the difficult housing background that leads to a decrease in sales of approximately 18 % over the past two years, the company has improved 90 -bit margins per second by improving manufacturing, unifying ingredients, automation, and strong cooperation with retail partners to balance stock and demand.

Looking forward, the administration targets 5 % of the annual growth of the higher line, which exceeds 4 % expected in this field, along with the expansion of the modified EBITDA to 17 %, which represents about 350 ps per second of 2024 levels. While FY25 is expected to bring a decrease in low -number revenue, the margin pressure is about 72 bits per second, if MBC achieves its long goals The term, approximately 69 % of the return on the FY30 cash flow may provide the support of the 69 EV/ebitda evaluation, and 12 % of the return on free cash flow.

Capital customization remains disciplined, with the priorities of re -investment for growth, modernization of technology, and disruption from 2.7X to less than 2x net debt/profits before benefits, taxes, depreciation and consumption by 2025. The administration works to integrate the acquisition of the upper cabinet in July 2024, and provide an additional amount to shareholders.

Previously, we covered a Saudi thesis At Number Corporation (SNBR) by Yanky Banash in December 2024, which highlighted its distinguished position, strong margins, and the possibility of multi -length returns with the passage of the ranking cycle. The arrow has decreased to 23.46 % since then due to poor housing market. The thesis is still standing with the expected 2025 recovery. The stock analysis group shares a similar point of view, while emphasizing the leadership of the cabinet in MasterBrand, the expansion of the margin, and the strong free cash flow.