Forensic Analysis · Durable Goods, Textiles & Apparel · as of Sep 24, 2026
Hni Corp (HNI)
A forensic read on Hni Corp built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Grey Zone
Financial health
2.1
Distress distance
Clean
Earnings quality
6
Forensic signals
756.4
P / E (ttm)
3.0%
ROE
$3.4B
Market cap
3.26%
Dividend yield
12.4%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Hni Corp earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 2.1, placing it in the Grey zone. 6 forensic signals were flagged in its latest SEC filings, led by accruals ratio (% of noa).
What the filings flag
+85.9%
FY2024→FY2025
Accruals ratio (% of NOA).Net operating assets grew +85.9% relative to their own average in FY2025 — scaled by NOA itself, not by total assets, which is what the Forensic Screens card's own accrual row divides by. Accruals are building sharply — a large slice of profit sits in operating assets, not cash. An accrual is a claim that still has to be collected or written down, so the gap resolves in a later period whichever way it goes. The build is led by inventory up +145% against +11% in cost of sales. A cash-flow measure on the same base disagrees: reported earnings ran behind operating cash by 11% of net operating assets, against an accruals ratio of 85.9%. The two are computed differently: the accruals ratio is the change in net operating assets over average net operating assets, while the cash-flow figure is net income less operating cash flow over that same average. Read them as two results, not one.
73d
FY2024→FY2025
Inventory days.Days inventory outstanding moved from 48 to 73 FY2024→FY2025 (against cost of goods sold; inventory +145% vs +11% in cost of sales). Inventory is outrunning what's being sold — a flag for softening demand or obsolescence risk ahead.
2.3%
FY2025
Return on invested capital.Return on invested capital is 2.3% in the latest fiscal year, against 5% in FY2023, having run between 2.3% and 11.3% across FY2023–FY2025 with no direction held. The capital base behind it grew +146% across FY2023–FY2025, from $1.4B to $3.6B, while the return fell 2.4 points, so the dollars added over that window earned less than the 5% the older base was already earning.
+3.8%/yr
FY2023–FY2025
Share-count dilution.Diluted share count changed +8% over the last 2 years to FY2025 (+3.8%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~3.8% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2023 has been diluted ~7%.
Key fundamentals
Latest Revenue$2.84B
Revenue Growth YoY+12.4%
Revenue CAGR (2yr)+7.9%
Net Margin1.9%
Free Cash Flow$208.5M
Return on Equity3.0%
Debt / Equity0.70x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Hni Corp's actual 10-K/10-Q/8-K filings?
Data from SEC EDGAR public filings · metrics as of Sep 24, 2026. Forensic signals flag probability, not certainty.
$28M
FY2023–FY2023
Goodwill impairments.Took $28M of goodwill writedowns across 1 year (FY2023 ($28M)) — about 56% of net income over the span. A large writedown means an acquisition turned out worth far less than was paid — a real mark against M&A discipline.
0.9% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 0.9% of revenue and 12% of free cash flow in FY2025 — about $0.51 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 3.8% a year, and the rate is falling. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.