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DCF Valuation
Base-case fair value
$54.30
Intrinsic $72.40 · 25% MOS
Current price: $72.62
Base-case summary
Our base-case DCF for Masco Corp (MAS) projects 10 years of free cash flow growth at 3.3% for years 1–5 and 1.7% for years 6–10, anchored to 3.3% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $943M in trailing free cash flow, this produces an intrinsic value of $72.40 per share. A 25% safety margin gives a fair value of $54.30, suggesting the stock is currently 25% overvalued against the $72.62 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$943M
Cash & equivalents
$388M
Total debt
$3.3B
Shares outstanding
204M