Benchmark Co. analyst Reuben Garner reiterated a Buy rating on HNI today and set a price target of $60.00.
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Reuben Garner has given his Buy rating due to a combination of factors that highlight HNI Corporation’s strong financial performance and strategic initiatives. The company’s impressive second-quarter results exceeded expectations in revenue, EBITDA, and EPS, driven by internal efforts such as network optimization and synergy realization. These initiatives have not only improved margins but also provided a clearer outlook for the remainder of the fiscal year, prompting an upward revision of earnings per share estimates for FY25 and FY26.
Moreover, HNI’s ongoing profit transformation and strategic investments in new products and vertical integration have positioned the company for sustained growth. The anticipated synergies, particularly from KII/Mexico, are expected to contribute significantly to earnings, supporting a forecast of double-digit EPS growth for the fifth consecutive year. Despite challenges in the Hospitality segment due to tariffs, the overall demand outlook has improved, reinforcing confidence in HNI’s ability to achieve its financial targets and justifying the Buy rating with a $60 price target.
According to TipRanks, Garner is a 5-star analyst with an average return of 14.1% and a 59.88% success rate. Garner covers the Industrials sector, focusing on stocks such as Bluelinx Holdings, TopBuild, and Builders Firstsource.