NYSE:KNL

Stock Analysis Report

Executive Summary

Knoll, Inc., together with its subsidiaries, designs, manufactures, markets, and sells commercial and residential furniture, accessories, and coverings for the workplace and residential markets in the United States, Canada, Europe, and internationally.


Snowflake Analysis

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has Knoll's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KNL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-16.2%

KNL

-1.0%

US Commercial Services

0.06%

US Market


1 Year Return

0.6%

KNL

20.5%

US Commercial Services

19.3%

US Market

Return vs Industry: KNL underperformed the US Commercial Services industry which returned 20.5% over the past year.

Return vs Market: KNL underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

KNLIndustryMarket
7 Day-16.2%-1.0%0.06%
30 Day-15.6%2.4%1.7%
90 Day-21.5%8.0%9.0%
1 Year3.5%0.6%24.7%20.5%21.8%19.3%
3 Year4.5%-4.1%63.4%52.6%49.5%39.9%
5 Year16.0%1.4%102.3%80.8%73.1%54.1%

Price Volatility Vs. Market

How volatile is Knoll's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Knoll undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KNL ($21.52) is trading below our estimate of fair value ($56.92)

Significantly Below Fair Value: KNL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KNL is good value based on its PE Ratio (12.9x) compared to the Commercial Services industry average (26.6x).

PE vs Market: KNL is good value based on its PE Ratio (12.9x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: KNL is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: KNL is overvalued based on its PB Ratio (2.6x) compared to the US Commercial Services industry average (1.8x).


Next Steps

Future Growth

How is Knoll forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

16.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KNL's forecast earnings growth (16.7% per year) is above the savings rate (1.7%).

Earnings vs Market: KNL's earnings (16.7% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: KNL's earnings are forecast to grow, but not significantly.

Revenue vs Market: KNL's revenue (4.5% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: KNL's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KNL's Return on Equity is forecast to be high in 3 years time (20.6%)


Next Steps

Past Performance

How has Knoll performed over the past 5 years?

9.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KNL has high quality earnings.

Growing Profit Margin: KNL's current net profit margins (5.8%) are lower than last year (6.4%).


Past Earnings Growth Analysis

Earnings Trend: KNL's earnings have grown by 9.4% per year over the past 5 years.

Accelerating Growth: KNL's earnings growth over the past year (0.3%) is below its 5-year average (9.4% per year).

Earnings vs Industry: KNL earnings growth over the past year (0.3%) exceeded the Commercial Services industry -0.6%.


Return on Equity

High ROE: Whilst KNL's Return on Equity (20.11%) is high, this metric is skewed due to their high level of debt.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Knoll's financial position?


Financial Position Analysis

Short Term Liabilities: KNL's short term assets ($341.9M) exceed its short term liabilities ($294.8M).

Long Term Liabilities: KNL's short term assets ($341.9M) do not cover its long term liabilities ($653.5M).


Debt to Equity History and Analysis

Debt Level: KNL's debt to equity ratio (114.7%) is considered high.

Reducing Debt: KNL's debt to equity ratio has increased from 109.2% to 114.7% over the past 5 years.

Debt Coverage: KNL's debt is well covered by operating cash flow (30.6%).

Interest Coverage: KNL's interest payments on its debt are well covered by EBIT (6.3x coverage).


Balance Sheet

Inventory Level: KNL has a high level of physical assets or inventory.

Debt Coverage by Assets: KNL's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

What is Knoll's current dividend yield, its reliability and sustainability?

3.16%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Knoll before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company3.2%marketbottom25%1.4%markettop25%3.7%industryaverage1.5%forecastin3Years3.2%

Current dividend yield vs market & industry

Notable Dividend: KNL's dividend (3.16%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: KNL's dividend (3.16%) is low compared to the top 25% of dividend payers in the US market (3.71%).


Stability and Growth of Payments

Stable Dividend: KNL's dividends per share have been stable in the past 10 years.

Growing Dividend: KNL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.3%), KNL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KNL's dividends in 3 years are forecast to be well covered by earnings (27.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.5yrs

Average management tenure


CEO

Andrew Cogan (56yo)

18.8yrs

Tenure

US$4,496,563

Compensation

Mr. Andrew B. Cogan has been the Chief Executive Officer of Knoll, Inc. since April 2001 and as its Acting President since April 10, 2015 until April 2019. Mr. Cogan has been the Chairman of Knoll, Inc. si ...


CEO Compensation Analysis

Compensation vs Market: Andrew's total compensation ($USD4.50M) is above average for companies of similar size in the US market ($USD2.48M).

Compensation vs Earnings: Andrew's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Andrew Cogan
Chairman & CEO18.8yrsUS$4.50m0.85% $9.0m
Charles Rayfield
Senior VP & CFO2.7yrsUS$902.44k0.059% $619.1k
Michael Pollner
Senior VP2.1yrsUS$824.44k0.091% $959.3k
Benjamin Pardo
Executive VP & Director of Design14.4yrsUS$916.44k0.068% $716.8k
David Schutte
Executive Vice President of Lifestyle13.1yrsUS$1.00m0.079% $826.9k
Scott Cameron
Senior Vice President of Operations2.6yrsno datano data
Usman Waheed
Chief Information & Technology Officer0yrsno datano data
David Bright
Senior Vice President of Communications0yrsno datano data
Roxanne Klein
Senior Vice President of Human Resources4.3yrsno data0.047% $490.9k
Christopher Baldwin
COO & President of Knoll Office1.3yrsno data0.034% $355.1k

3.5yrs

Average Tenure

54yo

Average Age

Experienced Management: KNL's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Andrew Cogan
Chairman & CEO18.8yrsUS$4.50m0.85% $9.0m
Jeffrey Harris
Lead Independent Director0yrsUS$155.00k0.21% $2.2m
Stephen Fisher
Independent Director14.2yrsUS$140.00k0.10% $1.1m
John Maypole
Independent Director15.2yrsUS$155.00k0.093% $982.9k
Christopher Kennedy
Independent Director5.3yrsUS$140.00k0.072% $757.8k
Daniel Dienst
Independent Director2.5yrsUS$140.00k0.021% $222.6k
Ron Kass
Independent Director1.6yrsUS$76.06k0.015% $155.4k
Sarah Nash
Independent Director13.4yrsUS$140.00k0.064% $675.9k
Stephanie Stahl
Independent Director6.5yrsUS$140.00k0.046% $481.9k

5.9yrs

Average Tenure

62yo

Average Age

Experienced Board: KNL's board of directors are considered experienced (5.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Knoll, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Knoll, Inc.
  • Ticker: KNL
  • Exchange: NYSE
  • Founded: 1938
  • Industry: Office Services and Supplies
  • Sector: Commercial Services
  • Market Cap: US$1.052b
  • Shares outstanding: 48.88m
  • Website: https://www.knoll.com

Number of Employees


Location

  • Knoll, Inc.
  • 1235 Water Street
  • East Greenville
  • Pennsylvania
  • 18041
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KNLNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2004
KK6DB (Deutsche Boerse AG)YesCommon StockDEEURDec 2004

Biography

Knoll, Inc., together with its subsidiaries, designs, manufactures, markets, and sells commercial and residential furniture, accessories, and coverings for the workplace and residential markets in the United States, Canada, Europe, and internationally. The company operates through Office and Lifestyle segments. It offers systems furniture, including integrated panels or table desks, work surfaces and storage units, power and data systems, and lighting products; office seating products comprising various work chairs; and files and storage products, such as lateral files, mobile pedestals and other storage units, bookcases, and overhead cabinets. The company also provides a range of adjustable tables, as well as meeting, conference, training, dining, stand-alone, and table desks; technology support accessories, desktop organizational tools, and lighting and storage products; lounge furniture; side, café, and dining chairs; training, conference, dining, and occasional tables; and lighting, rugs, textiles, fabrics, felt, leather, upholstery, drapery, and related architectural products. It serves companies, governmental agencies, and other medium to large sized organizations in various industries, including financial, legal, accounting, education, healthcare, and hospitality through its direct sales force and showrooms, distribution partners, and independent dealers and retailers, as well as online. Knoll, Inc. was founded in 1938 and is headquartered in East Greenville, Pennsylvania. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:15
End of Day Share Price2020/02/20 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.