HNI Corporation

Rank #289Capital Return

HNI · NYSE · Consumer Cyclical

HNI Corporation (HNI) — Rank #289 by gross profitability (GP/assets 0.24) · ROE 3.0% · Piotroski F-Score 5 / 9.

As-of 2026-09-15 · CIK 0000048287 · all metrics point-in-time as of the filing date.

About

HNI Corporation, together with its subsidiaries, engages in the manufacture, sale, and marketing of workplace furnishings and residential building products primarily in the United States and Canada.

The company operates in two segments, Workplace Furnishings and Residential Building Products. Its Workplace Furnishings segment offers panel panel-based and freestanding furniture systems, seating, benching, tables, architectural products, storage, ancillary products, hospitality products, and social collaborative items through a system of independent dealers, company-owned dealers, and office product distributors, as well as directly to end-user customers and governments. The Residential Building Products segment provides various gas, wood, electric, and pellet-fueled fireplaces, inserts, stoves, facings, outdoor fire pits and fire tables, and accessories through a national of independent dealers and distributors, as well as corporation-owned installing distribution and retail outlets. It sells its products under the Allsteel, AMQ, Beyond, Coalesse, D'style, David Edward, Designtex, Gunlocke, HALCON, HBF, HBF Textiles, HON, Interwoven, Kimball, Kimball Hospitality, National, Orangebox, Smith System, Steelcase, Viccarbe brand names.

The company was incorporated in 1944 and is headquartered in Muscatine, Iowa.

Industry: Furnishings, Fixtures & Appliances
Sector: Consumer Cyclical
State: IA
Filer Category: Large accelerated filer
Fiscal Year End: January 2
Website: hnicorp.com

Price History

HNI+49.6% · +8.4% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

$3.32B

P/E (annual)

41.5

P/S (annual)

1.2

P/B

1.8

P/OCF (annual)

12.0

Shareholder Yield

1.1%

Employees

18,500

Industry

Furnishings, Fixtures & Appliances

Exchange

NYSE

Signal Flags

3 green2 red

Revenue growth acceleratingGrowth rate increasing year over year

Deferred revenue growingRevenue and deferred revenue both growing — retention signal

Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak

Operating margin decliningOperating margin lower than prior year

Balance sheet deterioratingNet cash collapsed with receivables or inventory outpacing revenue

Quality Profile

Profitability

1/1 pass

GP / assets

0.24

Return on equity

3.0%

Gross margin trend

PASS

Safety

1/1 pass

Balance-sheet safety

PASS

Debt / equity

1.67

Current ratio

1.36×

Net cash

-$1.26B

Cash Flow

3/3 pass

Positive FCF

PASS

Cash-backed earnings

PASS

Accruals healthy

PASS

SBC / revenue

0.9%

Growth

2/2 pass

Revenue growth

12.4%

Piotroski F-Score

5 / 9

Share dilution

0.8%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

-0.8%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 0.8% — per-share value needs a total required return of 0.1% once share-count change is priced in.

vs. own 6-year median revenue growth: 6.0%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

-4.6%

r = 10% (base)

-0.8%

r = 12%

2.5%

Net debt / market cap: 55.9%— material leverage inflates the implied growth read.

Base FCF: $208.5M3Y mean FCF: $190.2M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

39.3xExpensive

10.6xmed 19.1x40.2x

P / S

Price / revenue per share

0.8xFair

0.6xmed 0.8x0.9x

P / B

Price / book value per share

1.2xCheap

1.2xmed 2.7x3.4x

P / GP

Price / gross profit per share

1.8xCheap

1.6xmed 2.1x2.2x

P / FCF

Price / free cash flow per share

10.2xCheap

9.2xmed 13.3x288.6x

Earnings bubble check

Current margins may be above sustainable levels — a P/E based on peak earnings can overstate cheapness.

Gross margin41.4% now vs 34.7%–41.4% 10yr range

1.7σ above average

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.24

Primary signal (Novy-Marx).

5th of 5 SIC 25 peers

Return on equity

3.0%

Gross margin

41.4%

3rd of 5 SIC 25 peers

Revenue growth (YoY)

12.4%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

	2022	2023	2024	2026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

6.3%

Revenue CAGR (5Y)

7.7%

Earnings CAGR (3Y)

-24.1%

FCF CAGR (3Y)

153.5%

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.67

5th of 5 SIC 25 peers (best = lowest)

Current ratio

1.36×

5th of 5 SIC 25 peers

Quick ratio

—

Net cash

-$1.26B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$208.50M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

2.85

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.9%

Stock-based comp intensity.

Dividend safety

Composite score

1.5 / 5

Weak

Payout ratio

116.4%0/5 Weak

FCF coverage

3.30×5/5 Strong

Dividend growth streak

0 yr0/5 Weak

Balance-sheet health

D/E 1.67 · IC N/A1/5 Weak

Piotroski F-Score

F-Score

5 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

2021

2022-2026

20212026

Decline

Capital Return

View full financial statements →