HNI (NYSE:HNI) Trading Down 7.9% After Earnings Miss

HNI Corporation (NYSE:HNI)’s share price fell 7.9% during mid-day trading on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $43.91 and last traded at $44.73. 179,201 shares traded hands during trading, a decline of 65% from the average session volume of 505,373 shares. The stock had previously closed at $48.57.

The business services provider reported $0.83 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.91 by ($0.08). HNI had a return on equity of 20.33% and a net margin of 5.46%.The firm had revenue of $888.40 million during the quarter, compared to analysts’ expectations of $693.78 million. During the same period in the previous year, the business posted $0.87 earnings per share. The company’s revenue for the quarter was up 38.3% on a year-over-year basis.

HNI Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, March 11th. Shareholders of record on Monday, March 2nd will be given a $0.34 dividend. The ex-dividend date is Monday, March 2nd. This represents a $1.36 annualized dividend and a yield of 2.9%. HNI’s dividend payout ratio (DPR) is presently 45.64%.

More HNI News

Here are the key news stories impacting HNI this week:

• Positive Sentiment: Big revenue beat — HNI reported Q4 revenue of $888.4M, up ~38% year-over-year and materially above analyst estimates, reflecting contribution from recent M&A and stronger sales. BusinessWire: HNI Reports Fourth Quarter and Fiscal Year 2025 Results
• Positive Sentiment: Earnings call tone constructive — management emphasized growth, cost synergies and integration progress after the Steelcase-related deal, signaling potential margin improvement over time. TipRanks: Earnings Call Highlights
• Positive Sentiment: Institutional accumulation — large managers (e.g., BlackRock, Vanguard, others) added material positions in the most recent quarter, which can support the stock longer term. QuiverQuant: Q4 2025 Earnings & Institutional Activity
• Neutral Sentiment: Context — these are HNI’s first reported results since the ~$2.2B Steelcase-related transaction; investors will be watching integration KPIs and how revenue converts to sustainable margins. Investing.com: First results since Steelcase deal
• Negative Sentiment: EPS missed estimates — HNI reported $0.83 EPS versus consensus around $0.91–$0.92, missing expectations and lowering near-term earnings confidence despite top-line strength. Zacks: HNI Lags Q4 Earnings Estimates
• Negative Sentiment: Near-term share pressure — the mixed print (big revenue beat but EPS miss) produced selling pressure in the session as investors weigh timing of margin realization; monitor guidance/comments from management for clarity. Yahoo Finance: Q4 Earnings Snapshot

Analyst Upgrades and Downgrades

HNI has been the topic of a number of recent research reports. Benchmark reaffirmed a “buy” rating on shares of HNI in a report on Friday, January 16th. Weiss Ratings raised HNI from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Tuesday, February 3rd. Finally, Wall Street Zen downgraded HNI from a “strong-buy” rating to a “buy” rating in a research note on Saturday, November 1st. Three equities research analysts have 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, HNI presently has a consensus rating of “Moderate Buy” and an average target price of $75.00.

Institutional Investors Weigh In On HNI

A number of institutional investors have recently added to or reduced their stakes in HNI. Cooke & Bieler LP purchased a new position in shares of HNI in the third quarter worth $28,744,000. New York State Common Retirement Fund increased its holdings in HNI by 676.6% in the 2nd quarter. New York State Common Retirement Fund now owns 126,398 shares of the business services provider’s stock valued at $6,216,000 after acquiring an additional 110,122 shares during the last quarter. Rhumbline Advisers lifted its stake in HNI by 0.4% in the 2nd quarter. Rhumbline Advisers now owns 134,220 shares of the business services provider’s stock worth $6,601,000 after purchasing an additional 512 shares in the last quarter. Handelsbanken Fonder AB lifted its stake in HNI by 53.0% in the 4th quarter. Handelsbanken Fonder AB now owns 16,716 shares of the business services provider’s stock worth $703,000 after purchasing an additional 5,790 shares in the last quarter. Finally, SG Americas Securities LLC grew its position in shares of HNI by 167.4% during the fourth quarter. SG Americas Securities LLC now owns 42,621 shares of the business services provider’s stock valued at $1,792,000 after purchasing an additional 26,683 shares in the last quarter. 75.26% of the stock is owned by hedge funds and other institutional investors.

HNI Trading Down 5.1%

The company has a debt-to-equity ratio of 0.40, a current ratio of 1.33 and a quick ratio of 0.85. The stock has a market cap of $2.11 billion, a PE ratio of 15.48, a price-to-earnings-growth ratio of 0.59 and a beta of 0.94. The stock has a 50-day moving average price of $46.58 and a two-hundred day moving average price of $44.48.

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.