Herman Miller Inc. (MLHR) shares are trading at higher $25.89 and the avg recommendation for the stock is Strong Buy. while the current analyst price target stands at $31.50.
To add more color to this target, the company’s high over the last year is $49.87 and the low is $14.39. Over the last 52 weeks, MLHR is down -41.87% while the S&P 500 is up 12.59%. The catalyst for this interesting swing was the company’s recent earnings report.
A Notable Earnings Report
In the last quarter, MLHR reported a profit of $165.8 million. Herman Miller Inc. also saw revenues increase to $475.8 million. In addition, MLHR has free cash flow of $152.8 million as of 05-2020. The company’s EBITDA came in at -$191.5 million which compares well with its peers.
MLHR booked profit margins of -0.40%, its Return on Equity (ROE) is -1.20%, and its Return on Assets is -0.50%. All told, it is clear that, MLHR needs to be on your watchlist.
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Of course, we must look beyond the financials and question how well those numbers represent the sustainable earnings power of the business. Investors need to know how sustainable this current run. MLHR has a short ratio of 3.98 and outstanding shares of 58.77M.
MLHR has seen increased volume after this news and investors are putting their support behind the value proposition. Traders will also note the company’s earnings per share came in at -0.18. Herman Miller Inc. MLHR also noted assets of $2.05 billion at the end of the last quarter. Investors should also keep an eye on sector updates as MLHR has historically followed its peers on positive news.
All told, Herman Miller Inc. MLHR has strung together solid data and demonstrated underlying fundamentals. At its current valuation, MLHR represents an interesting risk/reward case. Traders should stay tuned to see if this recent report will push the stock to test recent resistance levels.
Herman Miller Inc. MLHR is now commanding a market cap of 1.49B and a float of 58.46M. MLHR is increasing its credibility in this sector and that could lead to more upside down the line. Sign-up for continuing coverage on shares of MLHR stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!
Disclosure: we hold no position in MLHR, either long or short, and we have not been compensated for this article.