Masco Corp. (NYSE:MAS) is a company that provides home improvement and building products in North America, Europe, and internationally. With a market capitalization of $12.75 billion as of April 25, Masco Corp. has caught the attention of hedge funds, with 43 holders of the stock in their portfolios.
In the first quarter of 2025, Masco Corp.’s Plumbing segment saw a modest increase in sales of around 1%. This growth was driven by higher volumes in the spa and sauna business and favorable pricing, offsetting lower volumes in the retail channel. Despite facing cost increases due to newly enacted tariffs, particularly on imports from China, the Plumbing segment managed to deliver solid performance.
However, the company anticipates significant impacts from the new tariffs moving forward. Masco Corp. estimates an in-year cost of approximately $400 million in 2025 due to these tariffs, before any mitigation efforts. The annualized impact of these incremental tariffs is expected to be around $625 million out of a total annualized tariff impact of $675 million for the entire company. Despite these challenges, Masco Corp. believes it can offset a substantial portion of these tariff costs during 2025.
Currently, Masco Corp. ranks 5th on the list of small-cap manufacturing stocks that hedge funds are buying. While the company shows growth potential, some investors are turning to AI stocks for even greater returns in a shorter time frame. One AI stock has seen gains since the beginning of 2025, outperforming popular AI stocks that have experienced losses. For those interested in exploring promising AI stocks trading at less than 5 times their earnings, a report on the cheapest AI stock is available for further insight.
For more investment opportunities, readers can explore the 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. As with any investment decision, it is essential to conduct thorough research and consider various factors before making a financial commitment.
Disclosure: None. This article was originally published at Insider Monkey.
