3 Reasons Growth Investors Will Love HNI (HNI)

Core Viewpoint - Growth investors are increasingly focused on identifying stocks with above-average financial growth, which can lead to solid returns, but finding such stocks is challenging due to their inherent risks and volatility [1] Group 1: Company Overview - HNI is identified as a promising growth stock, supported by a favorable Growth Score and a top Zacks Rank [2] - The company is a manufacturer of office furniture and fireplaces, making it a relevant player in its industry [3] Group 2: Earnings Growth - HNI has a historical EPS growth rate of 10.6%, with projected EPS growth of 14.2% this year, significantly outperforming the industry average of 2.1% [5] Group 3: Cash Flow Growth - HNI's year-over-year cash flow growth stands at 19.1%, well above the industry average of 4.9%, indicating strong financial health [6] - The company's annualized cash flow growth rate over the past 3-5 years is 6.2%, compared to an industry average of -4% [7] Group 4: Earnings Estimate Revisions - The current-year earnings estimates for HNI have been revised upward, with the Zacks Consensus Estimate increasing by 7.2% over the past month, suggesting positive momentum [9] Group 5: Investment Positioning - HNI has achieved a Growth Score of B and a Zacks Rank of 2, positioning it well for potential outperformance in the market, making it an attractive option for growth investors [11]