HNI (NYSE:HNI) Share Price Breaks Above Fifty Day Moving Average - Here's What Happened

Key Points

• HNI shares rose above their 50-day moving average, trading as high as $50.18 versus a $47.28 average and last changing hands at $49.86.
• Quarterly earnings were $1.62 per share, beating estimates of $1.39; revenue was $1.59 billion, slightly below forecasts, but up 132.9% year over year.
• Analysts’ consensus rating is “Moderate Buy”, with an average price target of $65.00. The company also pays an annualized dividend of $1.40 per share, a 2.8% yield.

HNI Corporation (NYSE:HNI - Get Free Report)'s stock price passed above its 50 day moving average during trading on Monday. The stock has a 50 day moving average of $47.28 and traded as high as $50.18. HNI shares last traded at $49.8570, with a volume of 667,050 shares.

Wall Street Analyst Weigh In

HNI has been the subject of several recent research reports. Wall Street Zen upgraded HNI from a "hold" rating to a "buy" rating in a report on Saturday, September 12th. Benchmark reiterated a "buy" rating on shares of HNI in a report on Wednesday, July 15th. Weiss Ratings raised shares of HNI from a "hold (c-)" rating to a "hold (c)" rating in a research report on Wednesday, November 4th. Finally, Wells Fargo & Company set a $65.00 price target on shares of HNI in a research note on Wednesday, July 15th. One investment analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $65.00.

HNI Stock Performance

The firm has a market cap of $3.60 billion, a P/E ratio of 113.31, a PEG ratio of 0.78 and a beta of 0.94. The company has a current ratio of 1.33, a quick ratio of 0.88 and a debt-to-equity ratio of 0.71. The company's 50-day moving average is $47.28 and its two-hundred day moving average is $42.04.

HNI (NYSE:HNI - Get Free Report) last issued its quarterly earnings data on Tuesday, November 3rd. The business services provider reported $1.62 EPS for the quarter, topping analysts' consensus estimates of $1.39 by $0.23. The firm had revenue of $1.59 billion during the quarter, compared to analyst estimates of $1.60 billion. HNI had a return on equity of 15.39% and a net margin of 1.00%. The company's revenue for the quarter was up 132.9% on a year-over-year basis. During the same period in the previous year, the company posted $0.88 EPS. As a group, equities analysts predict that HNI Corporation will post 4.35 EPS for the current fiscal year.

HNI Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 11th. Investors of record on Friday, August 28th were given a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date of this dividend was Friday, August 28th. HNI's dividend payout ratio is presently 318.18%.

Insiders Place Their Bets

In other HNI news, CEO Jeffrey Lorenger sold 39,576 shares of the firm's stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $50.09, for a total transaction of $1,982,361.84. Following the transaction, the chief executive officer directly owned 148,490 shares in the company, valued at approximately $7,437,864.10. This trade represents a 21.04% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 49,288 shares of company stock worth $2,468,419. 2.15% of the stock is currently owned by company insiders.

Institutional Trading of HNI

Several institutional investors have recently made changes to their positions in HNI. Reyes Financial Architecture Inc. bought a new position in shares of HNI during the third quarter valued at about $33,000. Fortitude Family Office LLC purchased a new position in HNI during the third quarter worth about $39,000. Nykredit A S bought a new stake in HNI in the 2nd quarter worth about $36,000. Allworth Financial LP bought a new stake in HNI in the 2nd quarter worth about $50,000. Finally, Parallel Advisors LLC grew its position in HNI by 232.3% in the 3rd quarter. Parallel Advisors LLC now owns 1,758 shares of the business services provider's stock worth $80,000 after purchasing an additional 1,229 shares in the last quarter. Institutional investors own 75.26% of the company's stock.

HNI Company Profile

HNI Corporation is a workplace furnishings and residential building products company. Its workplace furnishings business designs and manufactures office furniture and related products for businesses, government organizations, educational institutions and other customers.

Its portfolio includes brands such as HON, Allsteel and Gunlocke, with products ranging from office seating and desks to workstations and storage. HNI also makes fireplaces, stoves and related hearth products through brands including Heat & Glo, Heatilator, Majestic, Harman and Quadra-Fire.

Founded in 1947 and headquartered in Muscatine, Iowa, HNI serves customers primarily in North America, as well as in other markets.

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