MasterBrand (NYSE:MBC) Shares Gap Down on Disappointing Earnings

MasterBrand, Inc. (NYSE:MBC)’s stock price gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $13.82, but opened at $10.99. MasterBrand shares last traded at $12.0470, with a volume of 1,666,988 shares.

The company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.14 by ($0.16). The business had revenue of $644.60 million during the quarter, compared to analyst estimates of $607.60 million. MasterBrand had a net margin of 3.00% and a return on equity of 10.88%. The company’s quarterly revenue was down 3.5% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.22 EPS. MasterBrand has set its FY 2026 guidance at -0.060-0.000 EPS.

Key Stories Impacting MasterBrand

Here are the key news stories impacting MasterBrand this week:

• Positive Sentiment: Revenue slightly beat expectations (Q4 revenue $644.6M vs. $607.6M consensus), showing some underlying demand resilience despite a year?over?year decline; management points to actions to stabilize operations. MarketBeat Q4 summary
• Positive Sentiment: Company announced a $30M cost?reduction plan for 2026 to offset tariff and demand pressures, which could support margins if fully realized. Seeking Alpha: $30M cost reductions
• Neutral Sentiment: Management emphasized a multi?faceted response to a complex trade environment in the earnings release and call; slide deck and transcript provide detail for investors to assess execution risk. BusinessWire press release
• Negative Sentiment: Reported EPS of ($0.02) missed consensus by $0.16 and fell sharply from $0.22 a year earlier, signaling margin pressure and weaker profitability. Seeking Alpha: Earnings transcript
• Negative Sentiment: FY?2026 EPS guidance was cut to a range of -$0.06 to $0.00 versus consensus near $0.96 — a major miss that drove the selloff, as it signals continued soft demand and margin headwinds into the year. Kalkine Media: Guidance update
• Negative Sentiment: Broker/press coverage highlighted the earnings miss and weak outlook, noting shares tumbled after the report as investors penalized the guidance and tariff/demand commentary. Investing.com: Shares tumble

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on MBC shares. Weiss Ratings reaffirmed a “hold (c)” rating on shares of MasterBrand in a report on Thursday, January 22nd. Wall Street Zen cut shares of MasterBrand from a “buy” rating to a “hold” rating in a research note on Saturday, November 8th. One analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $15.00.

Institutional Investors Weigh In On MasterBrand

A number of institutional investors and hedge funds have recently made changes to their positions in MBC. Mather Group LLC. bought a new position in MasterBrand in the third quarter valued at about $28,000. Northwestern Mutual Wealth Management Co. boosted its stake in shares of MasterBrand by 696.8% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 3,012 shares of the company’s stock valued at $33,000 after purchasing an additional 2,634 shares during the last quarter. Quent Capital LLC acquired a new stake in shares of MasterBrand during the 3rd quarter worth approximately $37,000. IFP Advisors Inc raised its stake in shares of MasterBrand by 124.4% during the fourth quarter. IFP Advisors Inc now owns 3,510 shares of the company’s stock worth $39,000 after buying an additional 1,946 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in MasterBrand by 52.4% in the third quarter. GAMMA Investing LLC now owns 3,268 shares of the company’s stock valued at $43,000 after buying an additional 1,123 shares during the period. Institutional investors own 87.32% of the company’s stock.

MasterBrand Trading Down 12.4%

The business’s 50 day simple moving average is $11.96 and its 200-day simple moving average is $12.17. The company has a debt-to-equity ratio of 0.69, a current ratio of 1.87 and a quick ratio of 1.13. The stock has a market capitalization of $1.54 billion, a P/E ratio of 18.97 and a beta of 1.46.

About MasterBrand

MasterBrand Inc is one of the largest manufacturers of cabinetry and home storage solutions in North America. The company specializes in designing, producing and distributing kitchen and bath cabinetry for both new construction and the remodeling markets. Its offerings span a broad spectrum of styles and price points, serving homebuilders, home improvement retailers and independent dealers.

MasterBrand’s product portfolio includes framed and frameless cabinet lines, bath vanities, closet systems and other organizational accessories.