DOOR - Embedded Expectations Analysis - 2018 04 11
Masonite International Corporation (DOOR:USA) currently trades below recent averages relative to UAFRS-based (Uniform) Earnings, with a 13.9x Uniform P/E, implying muted expectations for the firm. However, management is confident about their acquisitions, productivity, and salesSpecifically, management is confident in their execution of their capital deployment initiatives, and that their recent DW3 acquisition will extend their portfolio through timber core entry doors and new PVC doors. Additionally, they are confident in their focus on continuing to improve labor productivity in 2018, and in the 4% volume improvement in their North America Residential segment during Q4. Furthermore, they are confident that net sales were flat in Q4 excluding foreign exchange tailwinds, and that A&F Wood Products is contributing stronger sales and margins than originally anticipated
Masonite International designs, manufactures 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. Co. manufactures a line of interior doors, including residential molded, flush, stile and rail, louver and commercial and architectural doors; door components for internal use and sale to other door manufacturers; and exterior residential steel, fiberglass and wood doors and entry systems. Co.'s portfolio of brands include Masonite®, Marshfield®, Premdor®, Mohawk®, Megantic®, Algoma®, Birchwood Best®, Lemieux®, Door-Stop™, Harring Doors™ and National Hickman™ .
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