Comerica Bank reduced its position in Masco Corporation by 12.9 percent in the fourth quarter, according to Securities and Exchange Commission filings. The bank divested 13,026 shares, leaving it with 88,266 shares valued at $5.6 million at quarter's end. The sale reflects a shift in the financial institution's portfolio strategy for the construction products company.
The move by Comerica comes as other institutional investors have taken divergent approaches to Masco stock. Focus Partners Wealth increased its holdings by 2.6 percent, while Bank of Nova Scotia lifted its stake by 14.8 percent during the second quarter. Meanwhile, CW Advisors LLC and WINTON GROUP Ltd each established new positions in the company during the period. Daiwa Securities Group Inc. also raised its stake by 4.6 percent. Institutional investors collectively hold 93.91 percent of Masco's outstanding shares.
Wall Street analysts remain divided on Masco's prospects. The Goldman Sachs Group raised its price target from $79 to $90 and maintained a "buy" rating, while Royal Bank of Canada increased its target from $67 to $72 with a "sector perform" rating. However, Weiss Ratings downgraded the stock from "buy" to "hold," and Citigroup lowered its target to $79 with a neutral stance. Among seven analysts rating the stock, consensus leans toward "hold" with a price target of $80.07.
Masco reported first-quarter earnings of $1.04 per share, exceeding analyst estimates of $0.88, though quarterly revenue of $1.92 billion fell short of the $2.07 billion consensus forecast. The company guided full-year 2026 earnings between $4.10 and $4.30 per share. On the dividend front, Masco increased its quarterly payout to $0.32 from $0.31, representing a $1.28 annualized yield of 1.8 percent.
The company's board authorized a $2 billion share repurchase program in February, allowing Masco to buy back up to 13.5 percent of outstanding shares. Company leadership typically views buyback authorizations as a signal of undervaluation. Chief Accounting Officer Heath M. Eisman sold 747 shares in February at an average price of $71.92, reducing his direct ownership stake by 5.63 percent. Insiders hold 0.55 percent of total shares.
