Front Street Capital Management Inc. Takes Position in HNI Corporation $HNI

Front Street Capital Management Inc. bought a new position in HNI Corporation (NYSE:HNI) during the 2nd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund bought 580,610 shares of the business services provider’s stock, valued at approximately $23,462,000. HNI makes up approximately 2.7% of Front Street Capital Management Inc.’s portfolio, making the stock its 15th biggest holding.

Other large investors have also bought and sold shares of the company. BlackRock Inc. purchased a new stake in shares of HNI during the second quarter valued at approximately $431,744,000. Bank of New York Mellon Corp bought a new position in HNI in the 2nd quarter valued at approximately $37,988,000. Cooke & Bieler LP increased its holdings in shares of HNI by 23.0% in the 4th quarter. Cooke & Bieler LP now owns 754,493 shares of the business services provider’s stock worth $31,719,000 after purchasing an additional 140,971 shares in the last quarter. Millennium Management LLC bought a new position in shares of HNI during the first quarter valued at $10,666,000. Finally, Jane Street Group LLC purchased a new stake in shares of HNI during the first quarter valued at $10,301,000. 75.26% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of brokerages have weighed in on HNI. Weiss Ratings raised HNI from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, July 24th. Benchmark restated a “buy” rating on shares of HNI in a research report on Wednesday, July 15th. Finally, Wells Fargo & Company set a $65.00 target price on shares of HNI in a research 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. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $65.00.

HNI Stock Down 0.4%

Shares of HNI stock opened at $49.04 on Tuesday. The company has a 50 day simple moving average of $42.59 and a two-hundred day simple moving average of $39.47. The stock has a market cap of $3.54 billion, a P/E ratio of 544.97, a P/E/G ratio of 0.58 and a beta of 0.91. HNI Corporation has a 12 month low of $28.93 and a 12 month high of $52.79. The company has a current ratio of 1.36, a quick ratio of 0.88 and a debt-to-equity ratio of 0.76.

HNI (NYSE:HNI) last announced its earnings results on Thursday, July 30th. The business services provider reported $1.27 EPS for the quarter, topping analysts’ consensus estimates of $1.04 by $0.23. HNI had a return on equity of 13.66% and a net margin of 0.10%.The company had revenue of $1.47 billion for the quarter, compared to analysts’ expectations of $1.48 billion. During the same period last year, the firm earned $1.11 EPS. HNI’s revenue for the quarter was up 120.7% compared to the same quarter last year. HNI has set its FY 2026 guidance at 4.150-4.330 EPS and its Q3 2026 guidance at 1.160-1.190 EPS. On average, research analysts expect that HNI Corporation will post 4.24 earnings per share for the current year.

HNI Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 11th. Investors of record on Friday, August 28th will be paid a dividend of $0.35 per share. The ex-dividend date is Friday, August 28th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 2.9%. HNI’s payout ratio is 1,555.56%.

Insider Transactions at HNI

In related news, CEO Jeffrey D. Lorenger sold 45,850 shares of the stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $47.55, for a total value of $2,180,167.50. Following the completion of the sale, the chief executive officer directly owned 148,490 shares of the company’s stock, valued at approximately $7,060,699.50. This represents a 23.59% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 2.15% of the company’s stock.

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.