They have realized they can't sustain acceptable growth in profits by continuing acquisitions. They have stated they need to grow internally through new products. Somehow they think making that statement is as good as doing it. They have made no real effort or shown any committment to development. I still think this company can become a good investment, but I'm not sure how it will get there. Maybe new management?
Masco attracted my attention as a stockholder primarily because of what you hit on. Masco would make the most grandiose statements about what it was going to do - and that would be the end of it. "Saying" is as good as "doing" as far as Masco is concerned.
Masco is the most promising company that I ever came across. It makes promises again and again that it doesn't keep - because it has neither the intention nor the ability to keep them. It is NOT a real company being run for the benefit of its ordinary stockholders. It is simply a huge cash machine for insiders and their friends - including many of those who, I believe, are listed as owners of 80% of the stock on behalf of others.
Institutional money managers are legally responsible for looking out for the interests of their principals, AND should be calling Masco insiders onto the carpet for their continuous failures and inconsistencies. Another class of very special and important friends are those who can pump the stock directly and continually. I call them the "Grubbies" after the imfamous Jack Grubman - who worked for Masco's favored investment banker.
Masco seems to have an awfully lot of people fooled, almost all of whom have gotten very rich by playing along, knowingly or unwittingly, with Masco. For all intents and purposes, it has its bankers, its investment bankers, its brokers, and its money managers in its pocket. Look at how many hundreds of milllions the foregoing have made in fees from Masco for doing next to nothing - other than being "friendly".
Masco's banks are getting paid a bundle every day for lending it absolutely NOTHING; its investment bankers couldn't even sell 22 million shares without a drastic and almost UNHEARD OF markdown halfway through an offering, but have been collecting huge amounts for placing its debt and for acquisition-related fees; its brokers get a lot of trading action from a variety of Masco sources, and they get preferred treatment when it comes to very important information that none of us get; and, finally, the institutional gang who know how to work a treasure trove when they find one. Too bad their principals don't always share in the benefits!
So, until a major institution breaks the wall of silence and dumps its position and tells WHY, I see no reason to expect that Masco will do anything other than continue to bumble and bungle along.
You speak of management. What management? And what directors? The latter, a bunch of carefully-selected, very highly-paid Yessirs". It may not be the 40-year ingrown family board anymore - now its a new and improved ingrown non-family board. Only the names have changed, not the inclinations.
By the way, has anyone tried to add up how Manoogian's Millions became Manoogian's Billion? He may feel that he has achieved his ultimate goal in life by becoming a member of the Billionaire's Club, but I don't think he qualifies.
It strikes me that puffing one's net worth is a bit like improving one's college degree - after the fact. What's wrong with taking what was actually a Bachelor of Arts degree with a major in Economics - and making it a degree of Bachelor of Arts/SCIENCE ?
In today's fast-moving technologically and money-oriented world, who can blame anyone for taking a few little hard-to-trace steps to magnify and improve their image? Nobody worries about setting examples anymore, do they? Of course, if Masco's 61,000 employees are following the examples of those at the top, no wonder words not deeds are Masco's most important products.
It sure would be something of a bummer to have to acknowledge that you gave out some rather exaggerated figures that caused your wealth to be overstated - substantially. Of course, the truth would have its own reward in that you would not be as rank as originally reported.