Founded in 1929, Masco Corporation (MAS) designs, manufactures, and distributes home improvement and building products worldwide, explains dividend expert Vita Nelson, editor of DirectInvesting.

The company offers its products through home center retailers, online retailers, mass merchandisers, hardware stores, homebuilders, distributors, and other outlets to consumers and contractors, as well as directly to consumers.

Its long history of consistent earnings growth and dividend payments makes it a solid company. It is considered a well-diversified business with a durable competitive advantage over its rivals, which also enjoys a solid corporate culture.

The stock exhibits a healthy Dividend Payout Ratio (DPR is the proportion of earnings paid out as dividends to shareholders) of 21.2%, which means the company is paying out 21.2% of all its net income in dividends and is retaining a large percentage of earnings to reinvest or grow the business. Its average DPR during the past five years is 25%.

Its current Price to Earnings ratio of 15.8 is 15.0% below the S&P 500 index, its Price to Sales ratio of 1.2 is 40.0% below the index, and its Price to Cash Flow of 10.4 is 18.3% below the index.

According to Morningstar, the stock is trading 29% below its Fair Value Estimate, making it attractive for investors with a long-term investment horizon.

The stock's dividend reinvestment plan charges no fees for cash investing, dividend reinvestment, safekeeping or automatic investment. With the stock being fundamental and technically attractive, this company is an appropriate holding for investors who wish to build a holding over the long term. 

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