Fundamental analysis: Masonite International Corporation (DOOR)

Awarener score: 7.5

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Very good), the business stability (Excellent) and growth (Modest), and the company's inclination to return cash to the stockholders (Excellent).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 7.0

Business growth has been almost stagnant. It's been below average when measured against peer companies.
Masonite International Corporation business trend stability is excellent. The higher the stability, the lower the risk. It looks top-notch against rivals.

Margins score: 5.7

DOOR profit margins -on goods and services sold- are usually meagre. They stand mediocre against rival companies.
Business profit on sales tends to be good. It's below average when measured against competitors.
Profits on sales made -available to repay debt and purchase properties- are usually hardly sufficient. They remain in a weak position compared to peers.
Earnings -before income taxes and interests on loans taken- tend to be sufficient in relation to total revenues. They're still mediocre against similar companies.
Profits -before income taxes- are usually sufficient considering total sales, and remain below average when measured against rivals.
Total net profit tends to be sufficient when confronted to sales. Company stands below average when measured against comparable firms.

Growth score: 7.6

Masonite International Corporation profit -on goods and services sold- has been growing at a low pace. It's been close to average when compared to competitors.
In recent years, earnings -on operations- have been growing at a normal step, which has been slightly better than comparable firms.
Profits -available to repay debt and purchase properties- have been growing at a very good pace, which compares similar to peer enterprises.
Earnings -before income taxes and interests on loans taken- have been growing at an extremely fast tempo. It turns to be excellent in relation to similar stocks.
In past years, profits -before income taxes- grew at a very good speed. It was somewhat better than rivals.
In the previous years, growth trend on total net profit has been very good, and encouraging in relation to peer companies.
Earnings per share have grown at a very good rhythm in past years. It's been a slight improvement compared to industry peers.

Miscellaneous score: 3.0

DOOR had to pay a lot of income taxes in relation to profits made in the past years. It's been somewhat worse than peers.
The company does not report R&D expenses. It's meaningless to measure in relation to competitors.
We have insufficient data to estimate how effective is research and development effort. It stands unknown against rival companies.

Profitability score: 8.0

Masonite International Corporation usually gets very good returns on the resources it controls. It proves weak when measured against peer firms.
The company normally gets good proceeds -on the resources directly invested in the business-. They remain in a weak position compared to similar companies.
There's usually excellent profitability -in relation to owned resources-. It ranks similar to competitors.
In the past, got very good returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's weak when measured against comparable enterprises.

Usage of Funds score: 5.7

DOOR usually uses a large portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is large. It stands weak when measured against rival firms.
The company is usually replacing the property, plant, and equipment that gets old, keeping its operating capabilities up to date, which is encouraging in relation to industry peers.
In the past twelve months the stock paid no dividends. It came bottom tier against competitors.
The company pays no dividend, so measuring its growth is meaningless. The company has behaved in an conservative way compared to similar firms.
As no dividends are paid, it is useless trying to estimate their sustainability in time. Sustainability looks not applicable in regard to comparable companies.
The company usually significantly reduces the pool of investors, resulting in fewer mouths feeding on the pie of profits. It remains excellent in relation to peer enterprises.
Repurchase effectiveness metric is very complex. Run again in analytical mode if you 're interested in a technical explanation. It stands excellent in relation to rivals.
The company uses a large portion of genuine fund generation to reward investors, which can probably be sustained for as long as business doesn't turn sour. It still looks below average when measured against competitors.

Balance Sheet score: 5.3

Masonite International Corporation intangible assets (like brands and goodwill) represent a modest portion of resources controlled, according to accounting books. There could be some difficulties in liquidating them if the company ever gets in financial distress. It happens to be similar to peer companies.
The company has more than enough short-term resources to face short-term obligations. Liquidity concerns are non-significant. It turns to be excellent in relation to similar firms.
A substantial part of resources controlled were provided for with financial debt. Creditors have as many claims on the company as shareholders. The situation is somewhat risky. It remains worse than most rival firms.
Controlled resources can be made into cash within reason, which is quite good for liquidity. It looks great when measured against rivals.
For every dollar of short-term obligations, the company has more than enough dollars in cash and short-term receivables. It's excellent in relation to peer firms.
For every dollar of short-term obligations, the company has roughly another of cash and equivalents, which is well ranked against similar enterprises.
Usually, sales are on a two-months credit. It still ranks almost average when measured against peers.
Normally has approximately somewhat more than two months of sales worth in inventory. It comes up as close to average when compared to competitors.
On average, it takes higher than four months from the purchase to charging customers. It happens to be slightly worse than peers.
On average pays suppliers before a month from the purchase. It ranks substantially worse when measured against industry peers.
The company pays its suppliers roughly three months before charging its customers, so there's sufficient money invested in working capital. It's in a weak position compared to similar companies.
To what extent normalized EBITDA covers interest expenses is not known. It stands impossible to compare against rival firms.
Business earnings have usually been reasonable when measured against loans taken. Cutting back reinvesting in the business, it could take more than five years to repay the obligations with current profitability. It ranks weak when measured against comparable enterprises.
Revenues are modest in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. The more property, plant, and equipment used, the more the company must reinvest to fight obsolescence, which usually means less available funds for the shareholders in the long run. It looks in a weak position compared to similar firms.
Resource exploitation is excellent when yearly sales are considered. This metric is normally tied to the industry where the firm belongs. It's still slightly better than peer companies.

Valuation score: 6.8

Masonite International Corporation looks cheap in relation to profits and financial position. It happens to be more than average in relation to competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains rather normal in relation to peers.
In the past twelve months, the company generated some slightly better free funds in relation to the stock price, which stands somewhat worse than similar companies.
The company usually generates more than enough genuine funds to cover up for its business needs. Surplus cash may be used to repay loans, to eventually buy new businesses, or to reward investors. Considering the financial position and stock price, at the current price the share might be interesting. It's still similar to industry firms.
In the past twelve months, the company has rewarded investors, considering both dividends and share on the pie of earnings. It came up in good shape compared to peer ventures.
The company is indebted, it should focus on loan repayment. It looks worse than most similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation looks cheap. Possible reasons are that the market might be betting current earnings will be hard to sustain through time, or that the company has very high fund needs, or a weak financial position, among others. If that isn't the case, the current stock price might be attractive. It ranks more than average in relation to peer companies.
Comparing the current stock price with the past twelve-months revenues gives a not far from one-to-one relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks rather normal in relation to rival firms.
The relation between the stock price and accounting book value is significantly high, which may be good or bad depending on context. Run again in analytic mode if you want to dig deeper. The company remains slightly worse than peer firms.
In the past twelve months, the operating business earned great money when compared to the current stock price and financial position. It happens to be more than average in relation to industry peers.
In an alternate metric of bang for the buck, the company has usually shown a good earnings power ability when measured against the current stock price and financial position. It's still lacking compared to peer companies.

Total score: 6.1

Company at a glance: Masonite International Corporation (DOOR)

Sector, industry: Industrials, Building Products & Equipment

Market Cap: 1.97 billions

Revenues TTM: 2.89 billions

Masonite International Corporation designs, manufactures, markets, and distributes interior and exterior doors for the new construction and repair, renovation, and remodeling sectors of the residential and non-residential building construction markets worldwide. It offers molded panel, flush, stile and rail, steel, and fiberglass residential doors, as well as medium-density fiberboard (MDF) and architectural interior doors. The company also provides various door components, including interior door facings, agri-fiber and particleboard door cores, MDF and wood cut-stock components, critical door components, and mineral and particleboard door cores. It offers its products under the Masonite, Premdor, Masonite Architectural, Marshfield-Algoma, USA Wood Door, Solidor, Residor, Nicedor, Door-Stop International, Harring Doors, National Hickman, Graham-Maiman, Louisiana Millwork, Baillargeon, and BWI to remodeling contractors, builders, homeowners, retailers, dealers, lumberyards, commercial and general contractors, and architects through wholesale, retail, and direct distribution channels. The company was founded in 1925 and is headquartered in Tampa, Florida.