Sidoti Issues Optimistic Estimate for HNI Earnings

Key Points

• Sidoti raised HNI’s Q3 2026 EPS estimate to $1.40 from $1.31 and forecasts full-year 2026 EPS of $4.24, with 2027 EPS projected at $4.87.
• HNI reported Q2 adjusted EPS of $1.27, beating the $1.04 consensus, while revenue rose 120.7% year over year to $1.47 billion following the Steelcase acquisition.
• Management expects FY2026 adjusted EPS of $4.15–$4.33 and raised its annual Steelcase synergy target to at least $120 million, although Q3 EPS guidance of $1.16–$1.19 was below analyst expectations.

HNI Corporation (NYSE:HNI - Free Report) - Sidoti lifted their Q3 2026 EPS estimates for HNI in a research report issued on Friday, July 31st. Sidoti analyst G. Burns now anticipates that the business services provider will earn $1.40 per share for the quarter, up from their previous estimate of $1.31. The consensus estimate for HNI's current full-year earnings is $4.24 per share. Sidoti also issued estimates for HNI's Q4 2026 earnings at $1.22 EPS, FY2026 earnings at $4.24 EPS, Q1 2027 earnings at $0.66 EPS, Q2 2027 earnings at $1.17 EPS, Q3 2027 earnings at $1.59 EPS, Q4 2027 earnings at $1.45 EPS and FY2027 earnings at $4.87 EPS.

HNI (NYSE:HNI - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The business services provider reported $1.27 EPS for the quarter, topping the consensus estimate of $1.04 by $0.23. The business had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.48 billion. HNI had a net margin of 0.10% and a return on equity of 13.66%. The company's revenue for the quarter was up 120.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.11 earnings per share. HNI has set its FY 2026 guidance at 4.150-4.330 EPS and its Q3 2026 guidance at 1.160-1.190 EPS.

Several other equities analysts have also weighed in on HNI. Wells Fargo & Company set a $65.00 price objective on HNI in a report on Wednesday, July 15th. Weiss Ratings upgraded HNI from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Friday, July 24th. Finally, Benchmark reissued a "buy" rating on shares of HNI in a report on Wednesday, July 15th. One equities research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $65.00.

HNI Stock Up 0.2%

HNI stock opened at $45.09 on Monday. The firm has a 50 day moving average price of $37.11 and a 200-day moving average price of $39.30. The company has a quick ratio of 0.88, a current ratio of 1.36 and a debt-to-equity ratio of 0.76. HNI has a twelve month low of $28.93 and a twelve month high of $52.79. The company has a market capitalization of $3.21 billion, a P/E ratio of 501.02, a P/E/G ratio of 0.53 and a beta of 0.91.

HNI Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Stockholders of record on Friday, May 29th were given a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 3.1%. This is a boost from HNI's previous quarterly dividend of $0.34. The ex-dividend date was Friday, May 29th. HNI's dividend payout ratio (DPR) is presently 1,555.56%.

Institutional Trading of HNI

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Grace & White Inc. NY raised its holdings in shares of HNI by 22.0% in the 1st quarter. Grace & White Inc. NY now owns 38,855 shares of the business services provider's stock valued at $1,297,000 after acquiring an additional 7,000 shares in the last quarter. Entropy Technologies LP grew its position in HNI by 10.5% in the fourth quarter. Entropy Technologies LP now owns 15,935 shares of the business services provider's stock worth $670,000 after acquiring an additional 1,508 shares in the last quarter. New York State Common Retirement Fund grew its position in HNI by 31.7% in the fourth quarter. New York State Common Retirement Fund now owns 21,301 shares of the business services provider's stock worth $895,000 after acquiring an additional 5,125 shares in the last quarter. Cooke & Bieler LP increased its stake in HNI by 23.0% in the fourth quarter. Cooke & Bieler LP now owns 754,493 shares of the business services provider's stock valued at $31,719,000 after acquiring an additional 140,971 shares during the last quarter. Finally, Handelsbanken Fonder AB raised its position in HNI by 53.0% during the fourth quarter. Handelsbanken Fonder AB now owns 16,716 shares of the business services provider's stock valued at $703,000 after purchasing an additional 5,790 shares in the last quarter. 75.26% of the stock is currently owned by institutional investors.

Key Headlines Impacting HNI

Here are the key news stories impacting HNI this week:

• Positive Sentiment: HNI reported second-quarter adjusted earnings of $1.27 per share, well above the $1.04 analyst consensus and up from $1.11 a year earlier. HNI Surpasses Q2 Earnings Estimates
• Positive Sentiment: Revenue surged 120.7% year over year to approximately $1.47 billion, reflecting the impact of HNI’s Steelcase acquisition, although sales were modestly below the $1.48 billion consensus estimate. HNI's Revenue Surges in Second Quarter
• Positive Sentiment: Management raised its full-year 2026 adjusted EPS outlook to $4.15–$4.33, above the prior analyst consensus of $4.02, and now expects 20%–25% non-GAAP EPS growth. The company also increased its target for annual Steelcase synergies to at least $120 million. HNI Projects EPS Growth and Raises Synergy Target
• Neutral Sentiment: Third-quarter EPS guidance of $1.16–$1.19 was below the $1.31 consensus estimate, creating a near-term concern. However, the stronger full-year outlook suggests management expects improved performance later in the year. HNI Q2 Earnings Snapshot

HNI Company Profile

HNI Corporation, founded in 1944 as the Heating & Novelty Company and headquartered in Muscatine, Iowa, is a leading manufacturer of office furniture and hearth products. Over its history, the company has evolved from producing gas heaters into two primary business segments: Office Furniture and Hearth & Home. HNI's Office Furniture division operates under well-known brands such as The HON Company, Allsteel, Gunlocke and Kimball, offering a comprehensive portfolio of workstations, seating, tables, storage solutions and acoustic products tailored for corporate, education, healthcare and government markets.

In its Hearth & Home segment, HNI designs, manufactures and distributes fireplaces, stoves, fireplace inserts, logs and related accessories.

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