How MillerKnoll’s (MLKN) ESOP Share Offering Could Shape Its Investment Story

• On October 17, 2025, MillerKnoll, Inc. filed a shelf registration for up to 3,400,000 shares of common stock valued at approximately US$56.92 million, specifically for its Employee Stock Ownership Plan (ESOP).
• This move signals a significant step in the company's approach to corporate finance and employee ownership, with potential implications for both capital structure and workforce engagement.
• We'll explore how the ESOP-related share offering could influence MillerKnoll's investment narrative and future business direction.

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MillerKnoll Investment Narrative Recap

To own MillerKnoll as a shareholder, you need to believe in the company’s ability to balance its recovery momentum, cost controls, and execution in a challenging macroeconomic setting. The recent ESOP-related shelf registration likely does not materially impact the short-term catalyst around improving retail segment performance or change the principal risk, which remains tied to macro pressures and ongoing asset impairments. Of all the recent company updates, MillerKnoll’s first-quarter FY2026 earnings showed encouraging year-on-year improvements in sales and net income, which aligns directly with the key catalyst of retail expansion and international market growth. However, the ESOP share offering does not shift the importance of stabilizing margins and sustaining profitability, especially as management focuses on margins amid tariffs and trade policy volatility. But what some investors are missing is that, while retail expansion signals growth, the persistent risks of asset impairments and margin pressures remain critical information that investors should be aware of...

Read the full narrative on MillerKnoll (it's free!)

MillerKnoll's outlook foresees $4.0 billion in revenue and $293.0 million in earnings by 2028. This is based on a projected annual revenue growth rate of 3.2% and an earnings increase of $329.9 million from current earnings of -$36.9 million.

Uncover how MillerKnoll's forecasts yield a $35.00 fair value, a 108% upside to its current price.

Exploring Other Perspectives

The Simply Wall St Community offers 1 fair value estimate for MillerKnoll, all clustering at US$35 per share. While the outlook on retail segment recovery is positive, keep in mind that asset-related risks may shape future performance for those considering different scenarios.

Explore another fair value estimate on MillerKnoll - why the stock might be worth over 2x more than the current price!

Build Your Own MillerKnoll Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your MillerKnoll research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free MillerKnoll research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate MillerKnoll's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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