Workplace furnishings manufacturer HNI Corporation (NYSE:HNI) will be reporting results this Tuesday before market hours. Here’s what investors should know.
HNI beat analysts’ revenue expectations by 3.2% last quarter, reporting revenues of $667.1 million, up 7% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ revenue estimates.
Is HNI a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting HNI’s revenue to grow 2.9% year on year to $691.5 million, a reversal from the 5.5% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.07 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. HNI has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time since going public by 3.3% on average.
Looking at HNI’s peers in the business services & supplies segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Steelcase delivered year-on-year revenue growth of 4.8%, beating analysts’ expectations by 2.7%, and MillerKnoll reported revenues up 10.9%, topping estimates by 4.9%. Steelcase’s stock price was unchanged after the resultswhile MillerKnoll was down 10.4%.
Read our full analysis of Steelcase’s results here and MillerKnoll’s results here.
Investors in the business services & supplies segment have had steady hands going into earnings, with share prices flat over the last month. HNI is down 2.7% during the same time and is heading into earnings with an average analyst price target of $66.75 (compared to the current share price of $45.25).
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.