WallStSmart

MasterBrand Inc. (MBC)vsSomnigroup International Inc. (SGI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Somnigroup International Inc. generates 173% more annual revenue ($7.48B vs $2.73B). MBC leads profitability with a 98.0% profit margin vs 5.1%. MBC trades at a lower P/E of 39.5x. SGI earns a higher WallStSmart Score of 78/100 (B+).

MBC

Hold

39

out of 100

Grade: F

Growth: 2.0Profit: 5.5Value: 5.7Quality: 5.0

SGI

Strong Buy

78

out of 100

Grade: B+

Growth: 9.3Profit: 6.5Value: 8.0Quality: 4.0
Piotroski: 3/9Altman Z: 2.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MBCSignificantly Overvalued (-704.0%)

Margin of Safety

-704.0%

Fair Value

$1.50

Current Price

$8.69

$7.19 premium

UndervaluedFair: $1.50Overvalued
SGIOvervalued (-12.8%)

Margin of Safety

-12.8%

Fair Value

$86.11

Current Price

$74.71

$11.40 premium

UndervaluedFair: $86.11Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MBC2 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Profit MarginProfitability
98.0%10/10

Keeps 98 of every $100 in revenue as profit

SGI5 strengths · Avg: 9.0/10
Revenue GrowthGrowth
54.7%10/10

Revenue surging 54.7% year-over-year

EPS GrowthGrowth
62.4%10/10

Earnings expanding 62.4% YoY

Return on EquityProfitability
20.9%9/10

Every $100 of equity generates 21 in profit

PEG RatioValuation
0.838/10

Growing faster than its price suggests

Operating MarginProfitability
22.8%8/10

Strong operational efficiency at 22.8%

Areas to Watch

MBC4 concerns · Avg: 3.0/10
P/E RatioValuation
39.5x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.11B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
2.0%3/10

ROE of 2.0% — below average capital efficiency

Revenue GrowthGrowth
-3.5%2/10

Revenue declined 3.5%

SGI4 concerns · Avg: 2.3/10
Profit MarginProfitability
5.1%3/10

5.1% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
41.0x2/10

Premium valuation, high expectations priced in

Debt/EquityHealth
2.221/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : MBC

The strongest argument for MBC centers on Price/Book, Profit Margin. Profitability is solid with margins at 98.0% and operating margin at -2.4%.

Bull Case : SGI

The strongest argument for SGI centers on Revenue Growth, EPS Growth, Return on Equity. Revenue growth of 54.7% demonstrates continued momentum. PEG of 0.83 suggests the stock is reasonably priced for its growth.

Bear Case : MBC

The primary concerns for MBC are P/E Ratio, Market Cap, Return on Equity.

Bear Case : SGI

The primary concerns for SGI are Profit Margin, Piotroski F-Score, P/E Ratio. A P/E of 41.0x leaves little room for execution misses. Debt-to-equity of 2.22 is elevated, increasing financial risk.

Key Dynamics to Monitor

MBC profiles as a declining stock while SGI is a hypergrowth play — different risk/reward profiles.

MBC carries more volatility with a beta of 1.54 — expect wider price swings.

SGI is growing revenue faster at 54.7% — sustainability is the question.

MBC generates stronger free cash flow (53M), providing more financial flexibility.

Bottom Line

SGI scores higher overall (78/100 vs 39/100) and 54.7% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

MasterBrand Inc.

CONSUMER CYCLICAL · FURNISHINGS, FIXTURES & APPLIANCES · USA

MasterBrand, Inc. manufactures and sells residential cabinets for the kitchen, bathroom, and other parts of the home in North America. The company is headquartered in Jasper, Indiana.

Somnigroup International Inc.

CONSUMER CYCLICAL · FURNISHINGS, FIXTURES & APPLIANCES · USA

Somnigroup International Inc., designs, manufactures, distributes, and retails bedding products in the United States and internationally. The company is headquartered in Lexington, Kentucky.

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