HNI (NYSE:HNI) Sees Large Volume Increase - Here's Why

Key Points

• HNI Corporation's shares experienced a **191% increase** in trading volume, with approximately **1,030,272 shares** traded, reflecting significant market activity.
• Analysts have issued varied ratings for HNI, with some setting price targets of **$70.00** and **$80.00**, while Wall Street Zen upgraded the stock from a **"buy"** to a **"strong-buy."**
• The company reported **$1.11 EPS** for its latest quarter, surpassing expectations by **$0.25**, alongside a **7% year-over-year revenue increase** to **$667.10 million.**

Shares of HNI Corporation (NYSE:HNI - Get Free Report) saw unusually-high trading volume on Tuesday . Approximately 1,030,272 shares were traded during mid-day trading, an increase of 191% from the previous session's volume of 353,538 shares.The stock last traded at $43.68 and had previously closed at $45.36.

Wall Street Analysts Forecast Growth

HNI has been the topic of a number of recent research reports. Longbow Research initiated coverage on shares of HNI in a research report on Friday, May 16th. They issued a "buy" rating and a $70.00 target price on the stock. Wall Street Zen upgraded shares of HNI from a "buy" rating to a "strong-buy" rating in a report on Tuesday, May 13th. Finally, Susquehanna began coverage on HNI in a report on Friday, May 16th. They set a "neutral" rating and a $80.00 price target on the stock.

HNI Trading Down 0.9%

The company has a market cap of $1.99 billion, a PE ratio of 14.09, a price-to-earnings-growth ratio of 1.04 and a beta of 0.95. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.46 and a quick ratio of 0.93. The company's 50 day simple moving average is $49.26 and its two-hundred day simple moving average is $46.89.

HNI (NYSE:HNI - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The business services provider reported $1.11 earnings per share for the quarter, beating analysts' consensus estimates of $0.86 by $0.25. HNI had a return on equity of 20.08% and a net margin of 5.73%. The business had revenue of $667.10 million during the quarter, compared to analysts' expectations of $646.49 million. During the same quarter last year, the business posted $0.79 earnings per share. The business's revenue for the quarter was up 7.0% on a year-over-year basis. As a group, sell-side analysts anticipate that HNI Corporation will post 3.6 EPS for the current fiscal year.

HNI Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, June 11th. Investors of record on Friday, May 23rd were given a $0.34 dividend. This represents a $1.36 annualized dividend and a yield of 3.1%. This is an increase from HNI's previous quarterly dividend of $0.33. The ex-dividend date of this dividend was Friday, May 23rd. HNI's dividend payout ratio (DPR) is 44.16%.

Insider Buying and Selling at HNI

In related news, Director Miguel M. Calado sold 1,743 shares of HNI stock in a transaction dated Thursday, July 24th. The stock was sold at an average price of $53.00, for a total value of $92,379.00. Following the completion of the sale, the director directly owned 30,085 shares in the company, valued at $1,594,505. This trade represents a 5.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Jason Dean Hagedorn sold 1,440 shares of HNI stock in a transaction dated Friday, June 13th. The shares were sold at an average price of $47.07, for a total value of $67,780.80. Following the transaction, the insider owned 36,711 shares in the company, valued at $1,727,986.77. This trade represents a 3.77% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 5,383 shares of company stock worth $270,818 in the last 90 days. 3.37% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in HNI. Federated Hermes Inc. purchased a new position in shares of HNI in the first quarter worth about $26,000. Caitong International Asset Management Co. Ltd increased its stake in shares of HNI by 88.5% in the first quarter. Caitong International Asset Management Co. Ltd now owns 705 shares of the business services provider's stock worth $31,000 after purchasing an additional 331 shares in the last quarter. GAMMA Investing LLC lifted its position in shares of HNI by 44.1% in the second quarter. GAMMA Investing LLC now owns 774 shares of the business services provider's stock worth $38,000 after buying an additional 237 shares in the last quarter. Sterling Capital Management LLC grew its position in HNI by 649.1% in the fourth quarter. Sterling Capital Management LLC now owns 809 shares of the business services provider's stock worth $41,000 after acquiring an additional 701 shares in the last quarter. Finally, Aster Capital Management DIFC Ltd bought a new stake in HNI in the fourth quarter worth $55,000. 75.26% of the stock is owned by institutional investors.

About HNI

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 through two segments, Workplace Furnishings and Residential Building Products. The Workplace Furnishings segment offers a range of commercial and home office furniture, including panel-based and freestanding furniture systems, seating, storage, benching, tables, architectural products, and ancillary and hospitality products, as well as social collaborative items under the HON, Allsteel, Beyond, Gunlocke, HBF, HBF Textiles, HNI India, Kimball, National, Etc., Interwoven, David Edward, Kimball Hospitality, and D'style brands.