MasterBrand (NYSE:MBC) and Forbo (OTCMKTS:FBOHY) Critical Survey

Forbo (OTCMKTS:FBOHY) and MasterBrand (NYSE:MBC) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Valuation & Earnings

This table compares Forbo and MasterBrand”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Forbo	N/A	N/A	N/A	$1.20	17.46
MasterBrand	$2.78 billion	0.67	$26.70 million	($0.69)	-13.19

MasterBrand has higher revenue and earnings than Forbo. MasterBrand is trading at a lower price-to-earnings ratio than Forbo, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

87.3% of MasterBrand shares are owned by institutional investors. 2.8% of MasterBrand shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Forbo and MasterBrand’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Forbo	N/A	N/A	N/A
MasterBrand	-3.49%	3.65%	1.60%

Analyst Recommendations

This is a breakdown of current recommendations for Forbo and MasterBrand, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Forbo	0	0	0	0	0.00
MasterBrand	1	0	0	0	1.00

Summary

MasterBrand beats Forbo on 6 of the 9 factors compared between the two stocks.

About Forbo

Forbo Holding AG produces and sells floor coverings, building and construction adhesives, and power transmission and conveyor belt solutions in Europe, the Americas, Asia Pacific, and Africa. The company operates through two divisions, Flooring Systems and Movement Systems. The Flooring Systems division develops, produces, and sells linoleum, vinyl floorings, entrance flooring systems, carpet tiles, needle felt floor coverings, Flotex, the washable textile floorings, and building and construction adhesives, as well as various accessory products for laying, processing, cleaning, and care of flooring. This division also provides ready-made adhesives for floor covering installations, parquet flooring, and ceramic tiles, as well as leveling compounds for the construction industry and liquid floors under the trade name of Eurocol. Its products are used in public buildings, department stores, hospitals and other healthcare facilities, schools, libraries, commercial and office spaces, leisure centers, shops, hotels, restaurants, and cafeterias, as well as for applications in the residential market. The Movement Systems division offers conveyor and processing belts, plastic modular belts, power transmission belts, and timing and flat belts under the Siegling brand name. Its products are used in various applications in industry, trade, and the service sector, including conveyor and processing belts in the food industry; treadmill belts in fitness studios; and flat belts in mail distribution centers. Forbo Holding AG was founded in 1928 and is headquartered in Baar, Switzerland.

About MasterBrand

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. The company was formerly known as United Cabinet Incorporated. MasterBrand, Inc. was founded in 1954 and is headquartered in Beachwood, Ohio.