HNI Corporation (HNI) Powers Ahead with Steelcase Deal and Analyst Confidence
HNI Corporation (NYSE:HNI) is considered one of the best cheap stocks to buy for 2026, according to Benchmark Co. which recently raised its price target for the company to $75 per share from $60. The firm maintained a Buy recommendation for the stock, citing positive outlooks for the company’s future performance.
The price target revision came following HNI Corp’s announcement in August 2025 regarding its planned acquisition of Steelcase Inc., a deal valued at approximately $2.2 billion. Management projections suggest that the merger will result in annual cost synergies of around $120 million once integration is complete. Additionally, guidance indicates that the transaction could boost HNI’s earnings per share by $0.50 to $0.60 by fiscal year 2027.
Benchmark Co. also highlighted HNI as a top choice for 2026 due to its current undervalued status. The firm noted that the stock is trading below its historical values and presents clear opportunities for profit growth in a market that appears to be stabilizing. With a price-to-earnings ratio of 13.35 and a track record of consistent dividend payments spanning over 55 years, HNI stands out as an attractive investment option.
In unrelated news, HNI announced plans to close its manufacturing facility in Wayland, New York by 2027, affecting approximately 135 jobs at the site. The facility, which has been in operation since 1902 and acquired by HNI in 1989, produces wood furniture under the Gunlocke brand. HNI assured that products currently manufactured at the plant will be relocated to other facilities without any changes to the product lineup or quality standards. The company estimates annual cost savings of $7.5 million to $8 million following the consolidation.
HNI Corporation specializes in workplace furnishings and residential building products. Its workplace segment offers furniture systems, seating, storage, and architectural products to offices, institutions, and hospitality clients. The residential building segment produces gas, wood, and electric fireplaces, stoves, and outdoor fire pits distributed through various channels.
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In summary, HNI Corporation’s recent developments and strategic initiatives position the company for future growth and profitability. Investors may consider HNI as a potential addition to their portfolio, given its attractive valuation and promising outlook for the coming years.
