Steelcase (SCS) AI Stock Analysis

• Market Cap: $1.83B
• Dividend Yield: 3.93%
• Average Volume (3M): 1.91M
• Price to Earnings (P/E): 15.5
• Beta (1Y): 0.72
• Revenue Growth: 2.64%
• EPS Growth: 37.59%
• Country: US
• Employees: 11,300
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Business Equipment & Supplies
• EPS (TTM): 0.20
• Shares Outstanding: 95,977,450
• 10 Day Avg. Volume: 3,405,233
• 30 Day Avg. Volume: 1,914,525
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.85
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 1.45
• Enterprise Value/Ebitda: 6.93
• 1Y Price Target: $17.15
• Price Target Upside: 7.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 71 Outperform
• Price Target: $18.50 ▲(15.91% Upside)

Steelcase's stock is strengthened by solid financial performance, undervalued valuation metrics, and strategic corporate events. However, mixed technical indicators and sector-specific challenges weigh on the overall score.

Positive Factors

Corporate Demand

Large corporate customers in the Americas showed significant order growth, helping to offset challenges in other sectors.

Financial Performance

Steelcase reported strong results with revenue, EBITDA, and EPS exceeding consensus expectations.

Market Trends

Office redesigns are increasingly necessary as employees return to the office, indicating strong demand for Steelcase's offerings.

Negative Factors

Education Sector Challenges

Changes at the Department of Education muted demand, impacting the seasonally strongest quarter for education sales.

Federal Policy

Uncertainty around tariffs and federal policy is leading to shelved demand from contract customers.

Government and Education Demand

Federal policy uncertainty weighs on orders, affecting industry narrative and demand from contract customers.

Steelcase Business Overview & Revenue Model

Company Description

Steelcase Inc. provides a portfolio of furniture and architectural products in the United States and internationally. It operates through Americas, EMEA, and Other segments. The company's furniture portfolio includes furniture systems, seating, storage, fixed and height-adjustable desks, benches, and tables, as well as complementary products, such as work accessories, lighting, and mobile power and screens. Its seating products comprise task chairs; seating for collaborative environments and casual settings; and specialty seating for specific vertical markets, including education and healthcare. The company's interior architectural products comprise full and partial height walls and architectural pods. It also provides textiles, wall coverings, and surface imaging solutions for architects and designers; and workplace strategy consulting, lease origination, and furniture and asset management services. The company markets and sells its products to corporate, government, healthcare, education, and retail customers under the Steelcase, Designtex, Coalesse, AMQ, Smith System, Orangebox, and Viccarbe brands. It distributes its products and services through a network of independent and company-owned dealers, as well as directly to end-use customers. The company was founded in 1912 and is headquartered in Grand Rapids, Michigan.

How the Company Makes Money

Steelcase makes money primarily through the sale of its furniture and workplace solutions, which include seating, desks, storage, and collaborative tools. The company generates revenue from direct sales to businesses and institutions, as well as through a network of dealers and retail partners. Additionally, Steelcase earns income from its architectural and technology products, which integrate furniture with technology to create smart office environments. The company's earnings are augmented by significant partnerships with design firms and technology companies, which help Steelcase to innovate and expand its product offerings. Steelcase's focus on sustainable and ergonomic designs also appeals to the growing market demand for environmentally friendly and user-centric office solutions.

Steelcase Financial Statement Overview

Summary

Steelcase demonstrates solid financial performance with consistent revenue growth and improving profitability. Balance Sheet metrics indicate financial stability, with a healthy Debt-to-Equity ratio and growing equity base. Cash Flow analysis shows positive trends, albeit with opportunities for further enhancement.

Income Statement

Steelcase shows a consistent revenue growth trajectory, with Total Revenue increasing from $2,772.7M in 2022 to $3,217.7M in TTM. Gross Profit Margin has improved over time, indicating cost efficiency with the latest at 33.4%. Net Profit Margin has also improved, reaching 3.8% in TTM. EBIT and EBITDA margins are stable, though not exceptionally high, at 5.2% and 7% respectively, reflecting controlled operating expenses.

Balance Sheet

The company's Debt-to-Equity ratio is manageable, though it shows a slight upward trend, currently at 0.61. Stockholders' Equity has grown, indicating a stable financial position with an Equity Ratio of 43.6%. Return on Equity has improved to 12.6%, showcasing better profitability but still has room for enhancement.

Cash Flow

Operating Cash Flow to Net Income Ratio is positive, indicating good cash conversion. Free Cash Flow has grown from negative in 2022 to $17.5M in TTM, reflecting effective management of operational and capital expenditures. However, the Free Cash Flow to Net Income Ratio is moderate, suggesting potential for further cash flow optimization.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.17B	3.16B	3.23B	2.77B	2.60B
Gross Profit	1.05B	1.01B	919.40M	761.50M	762.80M
EBITDA	240.70M	216.60M	170.00M	110.50M	174.20M
Net Income	120.70M	81.10M	35.30M	4.00M	26.10M
Balance Sheet
Total Assets	2.33B	2.24B	2.20B	2.26B	2.35B
Cash, Cash Equivalents and Short-Term Investments	387.90M	318.60M	90.40M	200.90M	489.80M
Total Debt	600.70M	630.00M	695.80M	708.90M	727.20M
Total Liabilities	1.38B	1.35B	1.38B	1.41B	1.39B
Stockholders Equity	951.70M	887.10M	826.20M	852.20M	960.50M
Cash Flow
Free Cash Flow	101.40M	261.60M	30.30M	-163.10M	23.50M
Operating Cash Flow	148.50M	308.70M	89.40M	-102.60M	64.80M
Investing Cash Flow	-34.80M	6.10M	-134.80M	-65.50M	-30.60M
Financing Cash Flow	-84.00M	-85.90M	-62.90M	-120.00M	-87.80M

Steelcase Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.96
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SCS, the sentiment is Positive. The current price of 15.96 is above the 20-day moving average (MA) of 11.04, above the 50-day MA of 10.67, and above the 200-day MA of 11.25, indicating a bullish trend. The MACD of 0.79 indicates Negative momentum. The RSI at 79.03 is Negative, neither overbought nor oversold. The STOCH value of 61.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SCS.

Steelcase Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CDRE	75 Outperform	$1.39B	36.87	12.06%	1.15%	10.06%	-7.56%
HNI	73 Outperform	$2.02B	14.35	18.50%	2.63%	-0.83%	28.96%
SCS	71 Outperform	$1.83B	15.47	12.87%	3.93%	2.64%	37.59%
AVY	71 Outperform	$13.11B	18.76	31.68%	2.13%	1.66%	14.38%
Sector *	62 Neutral	C$4.63B	8.07	17.93%	3.89%	2.21%	-1.75%
ACCO	59 Neutral	$319.07M	7.23	7.32%	8.72%	-8.80%	―
XMTR	55 Neutral	$2.24B	―	-21.02%	―	20.19%	-12.34%

Steelcase Corporate Events

Steelcase Enters Merger Agreement with HNI Corporation

On August 3, 2025, Steelcase Inc. entered into a merger agreement with HNI Corporation, involving a series of mergers that will result in Steelcase becoming a wholly owned subsidiary of HNI. The agreement outlines the conversion of Steelcase’s common stock into HNI shares or cash, with provisions for equity awards and voting agreements to facilitate the merger. This strategic move is expected to impact Steelcase’s operations by integrating it into HNI’s structure, potentially enhancing its market positioning and providing value to its shareholders.

The most recent analyst rating on (SCS) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Steelcase stock, see the SCS Stock Forecast page.

Steelcase Shareholders Approve Incentive Compensation Plan

On July 9, 2025, Steelcase Inc. shareholders approved the Incentive Compensation Plan (ICP), which allows the company to grant various stock and cash-based awards to employees and directors. The plan aims to align employee incentives with company performance and includes a significant number of shares for potential issuance. Additionally, during the annual meeting, shareholders voted on several proposals, including the election of board members and the ratification of Deloitte & Touche LLP as the independent auditor for fiscal year 2026.

The most recent analyst rating on (SCS) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Steelcase stock, see the SCS Stock Forecast page.

Steelcase Reports Strong Start to Fiscal 2026

Steelcase reported a strong start to fiscal 2026 with a 7% increase in first-quarter revenue compared to the previous year, driven by 9% growth in the Americas. The company’s operating income rose by 45%, and its gross margin improved by 170 basis points. Despite a slight decline in orders, Steelcase remains confident in its strategy, focusing on restructuring efforts and cost reduction initiatives to enhance profitability, especially in response to challenges in the international market. The company anticipates flat to 4% revenue growth in the second quarter of fiscal 2026, with continued emphasis on strategic investments and customer engagement.

The most recent analyst rating on (SCS) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Steelcase stock, see the SCS Stock Forecast page.