MillerKnoll (NASDAQ:MLKN) Shares Down 4.4% - Time to Sell?

Key Points

• Shares fell 4.4% to about $18.21 on Tuesday on lighter-than-average volume (209,112 shares vs. a 511,242 average); the company has a market cap of $1.24 billion and a negative P/E of -46.62, reflecting recent losses.
• Analyst sentiment is mixed with an average rating of Hold (1 Buy, 3 Hold, 1 Sell); William Blair started coverage with an Outperform while Weiss Ratings reiterated a Sell.
• MillerKnoll beat Q4 EPS estimates ($0.43 vs. $0.40) with revenue of $955.2M but year-over-year revenue declined 1.6%; the company pays a $0.1875 quarterly dividend (4.1% yield) despite a negative payout ratio (-192%), which may raise sustainability concerns.

MillerKnoll, Inc. (NASDAQ:MLKN - Get Free Report) shares fell 4.4% during mid-day trading on Tuesday . The stock traded as low as $18.58 and last traded at $18.2140. 209,112 shares traded hands during trading, a decline of 59% from the average session volume of 511,242 shares. The stock had previously closed at $19.05.

Wall Street Analyst Weigh In

A number of analysts have commented on MLKN shares. William Blair started coverage on MillerKnoll in a research report on Tuesday, February 10th. They issued an "outperform" rating for the company. Zacks Research lowered MillerKnoll from a "strong-buy" rating to a "hold" rating in a research note on Monday, December 1st. Wall Street Zen cut MillerKnoll from a "buy" rating to a "hold" rating in a research report on Saturday, January 10th. Finally, Weiss Ratings reissued a "sell (d+)" rating on shares of MillerKnoll in a report on Monday, December 29th. One research analyst has rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold".

MillerKnoll Trading Down 4.5%

The firm has a market capitalization of $1.24 billion, a P/E ratio of -46.62, a PEG ratio of 0.80 and a beta of 1.31. The company has a quick ratio of 0.95, a current ratio of 1.66 and a debt-to-equity ratio of 1.02. The firm has a 50 day moving average of $20.32 and a 200-day moving average of $18.35.

MillerKnoll (NASDAQ:MLKN - Get Free Report) last announced its quarterly earnings data on Wednesday, December 17th. The company reported $0.43 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.03. The firm had revenue of $955.20 million during the quarter, compared to analysts' expectations of $943.13 million. MillerKnoll had a positive return on equity of 10.32% and a negative net margin of 0.68%.The company's quarterly revenue was down 1.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.55 EPS. MillerKnoll has set its Q3 2026 guidance at 0.420-0.480 EPS. On average, equities research analysts predict that MillerKnoll, Inc. will post 2.12 earnings per share for the current fiscal year.

MillerKnoll Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Saturday, February 28th will be issued a $0.1875 dividend. This represents a $0.75 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend is Friday, February 27th. MillerKnoll's dividend payout ratio (DPR) is currently -192.31%.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. boosted its holdings in shares of MillerKnoll by 7.9% in the 4th quarter. Vanguard Group Inc. now owns 8,550,194 shares of the company's stock valued at $156,298,000 after purchasing an additional 623,035 shares in the last quarter. Deprince Race & Zollo Inc. lifted its position in shares of MillerKnoll by 27.2% during the 4th quarter. Deprince Race & Zollo Inc. now owns 2,530,994 shares of the company's stock worth $46,267,000 after buying an additional 541,638 shares during the last quarter. SG Americas Securities LLC boosted its stake in MillerKnoll by 755.0% in the fourth quarter. SG Americas Securities LLC now owns 478,727 shares of the company's stock valued at $8,751,000 after buying an additional 422,735 shares in the last quarter. Wellington Management Group LLP grew its position in MillerKnoll by 46.4% in the fourth quarter. Wellington Management Group LLP now owns 1,305,280 shares of the company's stock valued at $23,861,000 after acquiring an additional 413,531 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its position in MillerKnoll by 81.7% in the second quarter. Arrowstreet Capital Limited Partnership now owns 798,349 shares of the company's stock valued at $15,504,000 after acquiring an additional 358,886 shares during the last quarter. 87.50% of the stock is owned by institutional investors.

About MillerKnoll

MillerKnoll, Inc NASDAQ: MLKN is a global design and manufacturing company specializing in furniture, lighting, textiles, rugs and accessories for residential and commercial environments. The company’s portfolio features well-known brands such as Herman Miller, Knoll, Maharam, Geiger and Tuyama, offering solutions for office, healthcare, education, hospitality and home settings. Products span seating, workstations, tables, storage systems and outdoor furnishings, complemented by a range of services including space planning, ergonomic consulting and installation support.

Formed in July 2021 through the merger of Herman Miller and Knoll, MillerKnoll combines more than a century of design heritage with a modern portfolio of sustainable products and materials.

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