MasterBrand (NYSE:MBC) Shares Gap Up - Should You Buy?

Shares of MasterBrand, Inc. (NYSE:MBC - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $13.39, but opened at $13.94. MasterBrand shares last traded at $14.00, with a volume of 79,173 shares.

Analyst Upgrades and Downgrades

Separately, Loop Capital cut their target price on shares of MasterBrand from $21.00 to $19.00 and set a "buy" rating on the stock in a research note on Wednesday, February 19th.

MasterBrand Stock Down 3.2 %

The company has a debt-to-equity ratio of 0.78, a quick ratio of 1.02 and a current ratio of 1.65. The firm has a market capitalization of $1.71 billion, a P/E ratio of 13.78 and a beta of 1.77. The stock has a fifty day moving average price of $15.53 and a two-hundred day moving average price of $16.39.

MasterBrand (NYSE:MBC - Get Free Report) last issued its earnings results on Tuesday, February 18th. The company reported $0.21 earnings per share for the quarter, missing analysts' consensus estimates of $0.38 by ($0.17). MasterBrand had a return on equity of 13.89% and a net margin of 4.66%. The business had revenue of $667.70 million for the quarter, compared to analyst estimates of $722.85 million.

MasterBrand declared that its Board of Directors has initiated a share buyback program on Monday, March 17th that allows the company to repurchase $50.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 2.9% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's leadership believes its stock is undervalued.

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Insider Buying and Selling at MasterBrand

In related news, Director Robert Crisci acquired 20,000 shares of the stock in a transaction that occurred on Friday, February 28th. The stock was purchased at an average cost of $14.08 per share, for a total transaction of $281,600.00. Following the purchase, the director now directly owns 66,435 shares in the company, valued at $935,404.80. This represents a 43.07 % increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Juliana L. Chugg bought 6,989 shares of the business's stock in a transaction on Monday, February 24th. The stock was bought at an average price of $14.17 per share, for a total transaction of $99,034.13. Following the completion of the purchase, the director now directly owns 33,424 shares of the company's stock, valued at $473,618.08. The trade was a 26.44 % increase in their position. The disclosure for this purchase can be found here. 1.38% of the stock is currently owned by insiders.

Hedge Funds Weigh In On MasterBrand

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Smartleaf Asset Management LLC lifted its holdings in MasterBrand by 150.7% in the fourth quarter. Smartleaf Asset Management LLC now owns 2,577 shares of the company's stock worth $37,000 after purchasing an additional 1,549 shares during the period. Quest Partners LLC increased its stake in shares of MasterBrand by 33.3% during the third quarter. Quest Partners LLC now owns 3,285 shares of the company's stock valued at $61,000 after acquiring an additional 821 shares during the period. Public Employees Retirement System of Ohio raised its holdings in MasterBrand by 52.4% during the third quarter. Public Employees Retirement System of Ohio now owns 3,535 shares of the company's stock worth $66,000 after purchasing an additional 1,216 shares in the last quarter. KBC Group NV raised its holdings in MasterBrand by 52.0% during the fourth quarter. KBC Group NV now owns 5,800 shares of the company's stock worth $85,000 after purchasing an additional 1,983 shares in the last quarter. Finally, TD Private Client Wealth LLC lifted its position in MasterBrand by 39.9% in the third quarter. TD Private Client Wealth LLC now owns 4,783 shares of the company's stock worth $89,000 after purchasing an additional 1,364 shares during the period. 87.32% of the stock is currently owned by institutional investors and hedge funds.

MasterBrand Company Profile

MasterBrand, Inc engages in the manufacture and sale of residential cabinets in the United States and Canada. The company offers a range of residential cabinetry products for the kitchen, bathroom, and other parts of the home. It sells its products to remodeling and new construction markets through dealers, retailers, and builders.