Hooker Furniture (HOFT) AI Stock Analysis

• Market Cap: $119.96M
• Dividend Yield: 7.2%
• Average Volume (3M): 36.32K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• Revenue Growth: -12.09%
• EPS Growth: -204.66%
• Country: US
• Employees: 1,034
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): -1.18
• Shares Outstanding: 10,777,720
• 10 Day Avg. Volume: 61,259
• 30 Day Avg. Volume: 36,321
• PEG Ratio: 0.04
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.32
• P/FCF Ratio: -4.87
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 1.70
• Enterprise Value/Ebitda: -18.60
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -0.54
• Revenue Forecast (FY): $329.51M

• Rating: 49 Neutral
• Price Target: $11.00 ▲(1.85% Upside)

The score is held down primarily by weak financial performance—losses, declining revenue, and especially negative operating/free cash flow. Technicals are a secondary support with a modestly improving trend, while valuation is mixed (high yield but negative P/E). Earnings-call and recent corporate actions add some positive forward-looking elements, but they have not yet outweighed current profitability and cash-generation pressure.

Positive Factors

Strategic Divestiture

The divestiture allows Hooker Furniture to focus on more profitable brands, improving profitability and streamlining operations, which is crucial for long-term growth and shareholder value.

Margaritaville Collection Launch

The launch of the Margaritaville collection is expected to drive meaningful incremental revenue, enhancing Hooker's market position and supporting long-term growth.

Cost Reduction Achievements

Significant cost reductions position the company for profitability even in challenging environments, enhancing financial resilience and operational efficiency.

Negative Factors

Declining Revenue

A significant decline in net sales indicates challenges in maintaining market share and revenue growth, impacting long-term financial health and competitiveness.

Negative Cash Flow

Negative cash flow highlights liquidity issues, potentially limiting the company's ability to invest in growth opportunities and sustain operations without external financing.

Noncash Impairment Charges

Significant impairment charges reflect asset devaluation, impacting financial statements and potentially signaling deeper operational challenges.

Hooker Furniture Business Overview & Revenue Model

Company Description

Hooker Furniture Corporation (HOFT) is a leading manufacturer and importer of quality home furnishings, specializing in a diverse range of products including bedroom, dining room, and living room furniture. Founded in 1924, the company operates primarily within the residential furniture sector and offers a wide array of styles, from traditional to contemporary. Hooker Furniture markets its products through various channels including retailers, e-commerce platforms, and showrooms, with a focus on delivering innovative designs and exceptional craftsmanship.

How the Company Makes Money

Hooker Furniture generates revenue primarily through the sale of its furniture products. The company has a multi-channel distribution model that includes partnerships with independent retailers, national chains, and direct-to-consumer sales through its own website. Key revenue streams include wholesale sales to retailers, direct sales to consumers, and international sales through exporting its products. Additionally, Hooker Furniture benefits from strategic partnerships with various design brands and manufacturers, which enhances its product offerings and market reach. The company's ability to adapt to changing consumer preferences and trends also plays a critical role in sustaining its earnings.

Hooker Furniture Financial Statement Overview

Summary

Hooker Furniture is experiencing financial difficulties across its income statement, balance sheet, and cash flow. The company is struggling to maintain profitability and positive cash flow, which could impact its financial stability. While certain balance sheet metrics remain stable, the downward trajectory in key financial metrics underscores the need for strategic adjustments to improve financial health and support growth.

Income Statement

Hooker Furniture's income statement shows significant challenges. The TTM data reflects a decline in revenue compared to previous years, with a negative net income indicating losses. Gross profit margins have also decreased, highlighting cost pressures. The EBIT and EBITDA margins are negative, suggesting issues in operational efficiency. Overall, the company is facing difficulties in maintaining profitability and revenue growth.

Balance Sheet

The balance sheet presents a mixed picture. The debt-to-equity ratio is relatively stable, indicating a manageable level of debt compared to equity. However, there has been a decline in stockholders' equity over time. The equity ratio remains healthy, suggesting the company still has a solid asset base. Despite these strengths, the decrease in total assets and stockholders' equity may pose risks if the trend continues.

Cash Flow

Cash flow analysis reveals concerning trends. The operating cash flow is negative, indicating insufficient cash generated from operations to cover expenses. Free cash flow has also declined significantly, leading to liquidity pressures. The free cash flow to net income ratio is unfavorable, highlighting cash generation issues. These factors suggest challenges in sustaining operations without external financing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	376.28M	397.46M	433.23M	583.10M	593.61M	540.08M
Gross Profit	84.19M	88.65M	108.69M	93.29M	101.70M	112.75M
EBITDA	-7.71M	-5.92M	22.97M	3.20M	23.03M	-7.25M
Net Income	-12.79M	-12.51M	9.87M	-4.31M	11.72M	-10.43M
Balance Sheet
Total Assets	278.04M	313.94M	343.59M	381.72M	374.56M	352.27M
Cash, Cash Equivalents and Short-Term Investments	821.00K	6.29M	43.16M	19.00M	69.37M	65.84M
Total Debt	50.13M	70.29M	76.25M	95.34M	54.04M	36.09M
Total Liabilities	84.92M	109.56M	117.61M	145.69M	113.43M	94.77M
Stockholders Equity	193.12M	204.38M	225.97M	236.02M	261.13M	257.50M
Cash Flow
Free Cash Flow	-13.74M	-26.26M	48.66M	-25.92M	12.52M	67.05M
Operating Cash Flow	-10.22M	-23.02M	55.47M	-21.72M	19.21M	68.26M
Investing Cash Flow	-3.91M	-2.70M	-8.56M	-29.96M	-6.86M	-476.00K
Financing Cash Flow	-27.09M	-11.15M	-22.76M	1.32M	-8.82M	-37.98M

Hooker Furniture Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HOFT, the sentiment is Positive. The current price of 10.8 is below the 20-day moving average (MA) of 10.96, above the 50-day MA of 10.39, and above the 200-day MA of 9.81, indicating a bullish trend. The MACD of 0.26 indicates Negative momentum. The RSI at 65.93 is Neutral, neither overbought nor oversold. The STOCH value of 69.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HOFT.

Hooker Furniture Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LZB	77 Outperform	$1.56B	17.49	8.82%	2.39%	1.78%	-25.36%
FLXS	75 Outperform	$214.79M	9.80	14.28%	1.77%	6.00%	64.58%
BSET	66 Neutral	$142.71M	18.40	4.70%	4.59%	-2.74%	―
ETD	66 Neutral	$592.90M	12.62	9.96%	7.86%	-4.61%	-25.66%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LOVE	57 Neutral	$224.81M	69.26	3.77%	―	0.13%	-14.51%
HOFT	49 Neutral	$119.96M	-4.21	-11.27%	7.20%	-12.09%	-204.66%

Hooker Furniture Corporate Events

Hooker Furnishings Reaches Cooperation Pact With Activist Investor

On January 1, 2026, Hooker Furnishings entered into a cooperation agreement with shareholder Global Value Investment Corporation under which the two parties will, within 45 days, identify a mutually acceptable independent director with relevant industry expertise, expand the board from eight to nine seats to appoint that director, and nominate the newcomer for election at the company’s 2026 and 2027 annual meetings, while GVIC commits to support Hooker’s board nominees and abide by customary standstill and voting provisions through a defined term ending ahead of the 2028 proxy cycle. The accord, announced publicly on January 2, 2026, reinforces a collaborative relationship with an activist investor and is designed to stabilize governance and align shareholder support as the company pursues long-term growth, while the concurrent disclosure that long-serving board chair W. Christopher Beeler Jr. will retire and not stand for re-election at the 2026 annual meeting signals an orderly leadership transition after 33 years of service, without any underlying disagreement over the company’s direction.

The most recent analyst rating on (HOFT) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Hooker Furniture stock, see the HOFT Stock Forecast page.

Hooker Furnishings divests casegoods brands to Magnussen Home

On December 12, 2025, Hooker Furnishings completed the sale of its Pulaski Furniture and Samuel Lawrence Furniture casegoods brands, along with related assets and liabilities, to Magnussen Home Furnishings for approximately $6.1 million, subject to customary post-closing adjustments, with about $5.5 million received at closing and roughly 10% of the price held back for 210 days for indemnification and final pricing true-ups. The deal, announced in a December 15, 2025 press release, allows Hooker to retain its Samuel Lawrence Hospitality line under an exclusive, royalty-free license to continue using the brand name while securing a three-year non-compete from Magnussen in the U.S. hospitality market, and it also removes about $4.8 million in showroom lease liabilities as Magnussen assumes the High Point showroom lease, positioning Hooker for improved profitability and a more focused portfolio as it pursues shareholder value initiatives and growth in its remaining businesses.

The most recent analyst rating on (HOFT) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Hooker Furniture stock, see the HOFT Stock Forecast page.

Hooker Furniture Sells Brands to Magnussen Home

On December 1, 2025, Hooker Furnishings Corporation announced an agreement to sell its Pulaski Furniture and Samuel Lawrence Furniture brands to Magnussen Home Furnishings, Inc. for an estimated $4.8 million, subject to adjustments. This move is part of Hooker’s strategy to streamline its portfolio and focus on more profitable brands. The sale will also relieve Hooker of $4.8 million in showroom lease liabilities as Magnussen takes over the lease of the High Point showroom. The transaction is expected to close by mid-December 2025, with Hooker retaining the Samuel Lawrence Hospitality brand for its hospitality business. This strategic decision is aimed at enhancing shareholder value and improving profitability.

The most recent analyst rating on (HOFT) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Hooker Furniture stock, see the HOFT Stock Forecast page.

Hooker Furniture Highlights Turnaround Strategy Amid GVIC Engagement

On November 7, 2025, Hooker Furnishings Corporation addressed Global Value Investment Corporation’s amended Form 13-D, emphasizing its progress in a turnaround strategy aimed at growth and shareholder value. The company highlighted its openness to constructive engagement with GVIC, despite GVIC’s claims of non-engagement, and reaffirmed its commitment to ongoing dialogue with all shareholders.

The most recent analyst rating on (HOFT) stock is a Hold with a $8.50 price target. To see the full list of analyst forecasts on Hooker Furniture stock, see the HOFT Stock Forecast page.