Interface (TILE) AI Stock Analysis

• Market Cap: $1.50B
• Dividend Yield: 0.19%
• Average Volume (3M): 426.80K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.82
• Revenue Growth: 5.11%
• EPS Growth: 34.02%
• Country: US
• Employees: 3,636
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.61
• Shares Outstanding: 58,390,617
• 10 Day Avg. Volume: 402,088
• 30 Day Avg. Volume: 426,801
• PEG Ratio: 0.17
• Price to Book (P/B): 2.92
• Price to Sales (P/S): 1.09
• P/FCF Ratio: 12.46
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 1.38
• Enterprise Value/Gross Profit: 3.60
• Enterprise Value/Ebitda: 9.53
• 1Y Price Target: $32.00
• Price Target Upside: 25.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.71
• Revenue Forecast (FY): $1.38B

• Rating: 66 Neutral
• Price Target: $27.00 ▲(5.63% Upside)

Interface's overall stock score is driven by strong earnings call performance and solid financials, despite technical indicators suggesting bearish momentum. The company's strategic investments and raised guidance indicate potential for future growth, though modest revenue growth and cash flow challenges remain.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage enhances financial stability and provides flexibility for future investments and growth opportunities.

Healthcare Segment Growth

Significant growth in the healthcare segment indicates successful expansion efforts and positions Interface well in a robust market sector.

Nora Rubber Division Growth

The strong performance of the Nora Rubber division reflects effective strategic initiatives and product demand, supporting long-term revenue growth.

Negative Factors

Declining Free Cash Flow

Declining free cash flow growth could impact future liquidity and limit the company's ability to invest in growth opportunities or weather economic downturns.

Education Segment Decline

The decline in the education segment may indicate challenges in this market, potentially affecting overall revenue growth if not addressed.

Tariff Impact on Profit

Tariff impacts on gross profit margins could pressure profitability, especially if trade tensions persist, affecting long-term financial performance.

Interface Business Overview & Revenue Model

Company Description

Interface, Inc., a modular flooring company, designs, produces, and sells modular carpet products primarily in the Americas, Europe, and the Asia-Pacific. The company offers modular carpets under the Interface and FLOR brand names; carpet tiles under the GlasBacRE name for use in commercial interiors, including offices, healthcare facilities, airports, educational and other institutions, hospitality spaces, and retail facilities, as well as residential interiors; modular resilient flooring products; rubber flooring under the norament and noraplan brand names; and luxury vinyl tile products. It also produces and sells an adapted version of its carpet tile for the healthcare facilities market; and two-meter roll goods that are structure-backed for use in education, healthcare, and government markets, as well as carpet replacement, installation, and maintenance services. In addition, the company sells and licenses a proprietary antimicrobial chemical compound under the Intersept name for use in interior finishes; sells TacTiles, a carpet tile installation system, as well as various adhesives and products; and provides turnkey project management services for global accounts and other customers through its InterfaceSERVICES business. It sells its products directly to end-users, as well as indirectly through independent contractors or distributors, and FLOR line of products through Internet sales and commercial sales force. The company has product showrooms or design studios in the United States, Canada, Mexico, England, France, Germany, Spain, the Netherlands, India, Australia, Norway, the United Arab Emirates, Russia, Singapore, Hong Kong, Thailand, China, and others. Interface, Inc. was incorporated in 1973 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Interface generates revenue primarily through the sale of its modular carpet tiles and flooring products to commercial customers and retailers. The company operates through direct sales and distribution channels, often leveraging partnerships with design firms and contractors to reach end-users. Key revenue streams include the sale of flooring products, installation services, and maintenance solutions. Additionally, Interface benefits from its emphasis on sustainability, attracting environmentally conscious clients and fulfilling corporate sustainability goals. The company has also formed significant partnerships with organizations promoting green building practices, which further enhances its market position and revenue opportunities.

Interface Financial Statement Overview

Summary

Interface demonstrates strong profitability and operational efficiency, with a solid balance sheet characterized by low leverage. However, modest revenue growth and declining free cash flow growth may pose challenges. Overall, the company maintains a stable financial position with potential for improvement in cash flow generation.

Income Statement

Interface's income statement shows a stable gross profit margin of 38.24% TTM, indicating efficient cost management. The net profit margin improved to 8.27% TTM, reflecting enhanced profitability. However, revenue growth is modest at 1.99% TTM, suggesting limited expansion. EBIT and EBITDA margins are healthy at 7.46% and 12.14% TTM, respectively, demonstrating strong operational efficiency.

Balance Sheet

The balance sheet reveals a favorable debt-to-equity ratio of 0.29 TTM, indicating low leverage and financial stability. Return on equity is robust at 15.61% TTM, showcasing effective use of equity. The equity ratio is 100% TTM, suggesting a strong equity base. Overall, the balance sheet reflects a solid financial position with manageable debt levels.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth at -3.78% TTM, which could be a concern for future liquidity. The operating cash flow to net income ratio is 0.65 TTM, indicating adequate cash generation relative to net income. The free cash flow to net income ratio is 0.75 TTM, suggesting a reasonable conversion of earnings into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.37B	1.32B	1.26B	1.30B	1.20B	1.10B
Gross Profit	524.88M	482.95M	441.07M	437.73M	432.73M	410.57M
EBITDA	198.39M	181.43M	141.71M	118.18M	155.45M	1.20M
Net Income	113.47M	86.95M	44.52M	19.56M	55.23M	-71.93M
Balance Sheet
Total Assets	1.33B	1.17B	1.23B	1.27B	1.33B	1.31B
Cash, Cash Equivalents and Short-Term Investments	187.35M	99.23M	110.50M	97.56M	97.25M	103.05M
Total Debt	390.04M	383.14M	515.45M	610.62M	615.59M	680.78M
Total Liabilities	709.57M	681.67M	804.15M	904.97M	966.66M	979.47M
Stockholders Equity	620.95M	489.15M	425.95M	361.54M	363.40M	326.54M
Cash Flow
Free Cash Flow	117.48M	114.64M	115.93M	24.62M	58.62M	56.12M
Operating Cash Flow	156.64M	148.43M	142.03M	43.06M	86.69M	119.07M
Investing Cash Flow	-39.16M	-30.37M	-19.51M	-18.44M	-28.07M	-61.69M
Financing Cash Flow	-49.68M	-125.23M	-111.56M	-19.49M	-60.86M	-42.72M

Interface Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 25.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TILE, the sentiment is Negative. The current price of 25.56 is below the 20-day moving average (MA) of 26.22, below the 50-day MA of 27.34, and above the 200-day MA of 22.92, indicating a neutral trend. The MACD of -0.43 indicates Positive momentum. The RSI at 40.94 is Neutral, neither overbought nor oversold. The STOCH value of 19.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TILE.

Interface Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LZB	69 Neutral	$1.47B	13.65	8.82%	2.97%	1.78%	-25.36%
TILE	66 Neutral	$1.50B	13.40	20.20%	0.19%	5.11%	34.02%
LEG	62 Neutral	$1.21B	5.55	26.20%	2.29%	-6.03%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MBC	56 Neutral	$1.22B	15.02	6.19%	―	1.77%	-44.11%
MLKN	54 Neutral	$961.26M	―	-1.18%	4.39%	5.37%	-127.27%
HOFT	49 Neutral	$112.34M	―	-6.33%	8.80%	-6.46%	-1110.82%

Interface Corporate Events

Interface Inc. Reports Strong Earnings Amid Challenges

Interface Inc. recently held its earnings call, revealing a generally positive sentiment with strong financial performance and growth in key segments. The company demonstrated significant profitability improvements and received industry recognition, although it acknowledged challenges such as a decline in the education segment and the impact of tariffs amid a challenging macroeconomic environment.

Interface Reports Strong Q3 2025 Financial Results

Interface, Inc. reported strong financial results for the third quarter of 2025, with net sales reaching $364.5 million, a 5.9% increase year-over-year. The company’s ‘One Interface’ strategy has been instrumental in driving growth and profitability, with significant gains in the Americas and EAAA regions. The strategy’s effectiveness is reflected in a 62.5% increase in GAAP earnings per diluted share and a 27.1% rise in adjusted earnings per diluted share. The company has also raised its full-year guidance, underscoring its robust competitive position and commitment to long-term growth.

The most recent analyst rating on (TILE) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Interface stock, see the TILE Stock Forecast page.