Masonite
$Masonite(DOOR.US$ is US building materials company. Its recent good performance was due to being in the uptrend leg of the cycle. Revenue is strongly correlated to the Housing Starts making it a cyclical company
There is a strong correlation between revenue, gross profit margins, and gross profitability. When revenue declines so will these margins and returns. At the same time, SGA appears “sticky”.
Based on this cyclical view, earnings would be much lower than those of the past few years. A valuation over the cycle shows that there is no margin of safety.
If you want to see other infographics cum summary of other US companies visit Are these outstanding stocks - what to consider? (Other Stock Exchanges)
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