HNI Corporation
Find Ratings ReportsHNI CORP's gross profit margin for the fourth quarter of its fiscal year 2023 has increased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its subsector this quarter as compared to the same quarter a year ago. HNI CORP has weak liquidity. Currently, the Quick Ratio is 0.61 which shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.
During the same period, stockholders' equity ("net worth") has increased by 23.50% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
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Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 679.8 | 568.9 |
EBITDA ($mil) | 92.7 | 56.7 |
EBIT ($mil) | 66.1 | 36.0 |
Net Income ($mil) | 22.7 | 16.3 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 34.5 | 19.4 |
Total Assets ($mil) | 1928.8 | 1414.5 |
Total Debt ($mil) | 578.0 | 300.7 |
Equity ($mil) | 761.4 | 616.5 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 43.03 | 39.69 |
EBITDA Margin | 13.63 | 9.96 |
Operating Margin | 9.72 | 6.33 |
Sales Turnover | 1.26 | 1.67 |
Return on Assets | 2.55 | 8.75 |
Return on Equity | 6.46 | 20.1 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.16 | 1.19 |
Debt/Capital | 0.43 | 0.33 |
Interest Expense | 8.0 | 2.3 |
Interest Coverage | 8.26 | 15.65 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 46.9 | 41.4 |
Div / share | 0.32 | 0.32 |
EPS | 0.48 | 0.39 |
Book value / share | 16.23 | 14.89 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 291056.0 | 278231.0 |
BUY. HNI CORP's P/E ratio indicates a significant premium compared to an average of 24.98 for the Furniture and Related Product Manufacturing subsector and a significant premium compared to the S&P 500 average of 27.95. For additional comparison, its price-to-book ratio of 2.66 indicates a significant discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 12.21. The current price-to-sales ratio is well below the S&P 500 average and is also below the subsector average, indicating a discount.
Price/Earnings |
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Price/Cash Flow |
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HNI 42.31 | Peers 24.98 | HNI 7.57 | Peers 10.17 | |||||||||||||||||||||
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations. HNI is trading at a significant premium to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. HNI is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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HNI 13.34 | Peers 14.29 | HNI 0.25 | Peers 0.92 | |||||||||||||||||||||
Average. An average price-to-projected earnings ratio can signify an subsector neutral stock price and average future growth expectations. HNI is trading at a valuation on par with its peers. |
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. HNI trades at a significant discount to its peers. |
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Price/Book |
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Earnings Growth |
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HNI 2.66 | Peers 12.21 | HNI -65.43 | Peers 81.60 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. HNI is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, HNI is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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HNI 0.83 | Peers 1.14 | HNI 3.05 | Peers 18.35 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. HNI is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. HNI significantly trails its peers on the basis of sales growth. |
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