HNI Corporation initiated with a Buy at Longbow

Longbow initiated coverage of HNI Corporation (HNI) with a Buy rating and $70 price target HNI is best known as a leader in the U.S. workplace furnishings business, but also operates the leading U.S. producer of residential hearth products, the analyst tells investors in a research note. The firm says the company’s 2023 acquisition of a key workplace furnishings competitor is providing a “strong synergies opportunity” that is coinciding with HNI’s opening of a large Mexican plant. It believes the business is well positioned to benefit from the return-to-the-office trend.