Forensic Analysis · Durable Goods, Textiles & Apparel · as of Aug 11, 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
2367.3
P / E (ttm)
3.0%
ROE
$3.5B
Market cap
2.86%
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). 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→FY2026
Accruals ratio (% of NOA).Net operating assets grew +85.9% relative to their own average in FY2026 — scaled by NOA itself, not total assets (see the Forensic Screens card's differently-scaled Sloan Accrual Ratio for that read). Accruals are building sharply — a large slice of profit sits in operating assets, not cash; Richardson/Sloan link high accruals to weaker future returns as they reverse. The build is led by inventory up +145% against +11% in cost of sales. The cash-flow cross-check is more mixed: reported earnings ran behind operating cash by 11% of net operating assets, diverging from the balance-sheet accrual read.
104d
FY2024→FY2026
Inventory days.Days inventory outstanding moved from 48 to 104 FY2024→FY2026 (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. FY2024 and FY2026 aren't consecutive filed years here, so FY2026's opening balance can't be taken from FY2024 — both figures are measured on period-end balances rather than the beginning-plus-ending average, which keeps the two endpoints comparable to each other.
2.3%
FY2026
Return on invested capital.Return on invested capital is 2.3% in the latest fiscal year and slipping from 13% — well below its ~9% cost of capital, so reinvested dollars may be destroying value, not building it.
+3.8%/yr
FY2022–FY2026
Share-count dilution.Diluted share count changed +16% over the last 4 years to FY2026 (+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 FY2022 has been diluted ~14%.
Key fundamentals
Latest Revenue$2.84B
Revenue Growth YoY+12.4%
Revenue CAGR (3yr)+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 Aug 11, 2026. Forensic signals flag probability, not certainty.
0.9% of rev
FY2026
Stock-based comp load.Stock-based compensation ran 0.9% of revenue and 12% of free cash flow in FY2026 — about $0.51 per diluted share. The cost of it is not in the cash flow — no cash left the business — it is in the count: holders gave up about 3.4% of the company a year, and that rate is not falling. That is the figure to weigh, not the share of free cash flow.
$62M
FY2020–FY2023
Goodwill impairments.Took $62M of goodwill writedowns across 3 years (FY2020 ($28M), FY2021 ($6M), FY2023 ($28M)) — about 23% of net income over the span. Writedowns mean past acquisitions underperformed what was paid for them.