UPDATE: Goldman Sachs Upgrades Masco to Neutral

According to Goldman Sachs, Masco MAS is upgraded to Neutral. Goldman Sachs said that it upgrades Masco to Neutral from Sell as it believes the company is in the early stages of rectifying its cost structure, and its FY2012 consensus estimates, which have fallen 65% since October 2010, are much more achievable. 4Q2011 results could be weak given the price competition in cabinets, but recent management changes and the intra-quarter shuttering of installation capacity are encouraging for long-term investors. “Our new six-month price target (based on P/E, EV/EBITDA and normalized earnings) is $10, up from $7. Since being added to the Sell List on Oct. 13, 2010/past 12 months, shares are down 20%/29% vs. S&P 500 +7%/+2%, respectively.” Masco closed yesterday at $9.16.