Haverty Furniture Companies (NYSE:HVT) - Share price, News & Analysis

Q: What is the Fair Price of HVT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

HVT ($28.93) is trading above our estimate of [[fair value]] ($20.85)

HVT fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	2/6
Financial Health	6/6
Dividends	4/6

HVT Stock Overview

Haverty Furniture Companies, Inc. operates as a specialty retailer of residential furniture and accessories in the United States.

Rewards

Price-To-Earnings ratio (5.3x) is below the US market (15.7x)

Earnings have grown 34.3% per year over the past 5 years

Risk Analysis

Earnings are forecast to decline by an average of 16.6% per year for the next 3 years

High level of non-cash earnings

Unstable dividend track record

Significant insider selling over the past 3 months

Haverty Furniture Companies Competitors

Aaron's Company

NYSE:AAN

US$410.0m

Sleep Number

NasdaqGS:SNBR

US$952.1m

Arhaus

NasdaqGS:ARHS

US$841.8m

NYSE:RH

US$7.1b

Price History & Performance

Summary of all time highs, changes and price drops for Haverty Furniture Companies
Historical stock prices
Current Share Price	US$28.93
52 Week High	US$38.92
52 Week Low	US$22.77
Beta	1.36
1 Month Change	18.52%
3 Month Change	6.36%
1 Year Change	-20.74%
3 Year Change	60.19%
5 Year Change	19.05%
Change since IPO	707.35%

Recent News & Updates

Aug 02

Haverty Furniture Q2 GAAP EPS, revenue up

Haverty Furniture press release (NYSE:HVT): Q2 GAAP EPS of $1.27 (vs. $1.21 Y/Y). Revenue of $253.2M (+1.3% Y/Y). Shares +3.5% AH.

Jun 23

Under The Bonnet, Haverty Furniture Companies' (NYSE:HVT) Returns Look Impressive

There are a few key trends to look for if we want to identify the next multi-bagger. Typically, we'll want to notice a...

Shareholder Returns

	HVT	US Specialty Retail	US Market
7D	5.9%	3.9%	1.0%
1Y	-20.7%	-30.9%	-12.9%

Return vs Industry: HVT exceeded the US Specialty Retail industry which returned -29.8% over the past year.

Return vs Market: HVT underperformed the US Market which returned -12.8% over the past year.

Price Volatility

Is HVT's price volatile compared to industry and market?
HVT volatility
HVT Average Weekly Movement	5.5%
Specialty Retail Industry Average Movement	8.8%
Market Average Movement	7.9%
10% most volatile stocks in US Market	17.1%
10% least volatile stocks in US Market	3.2%

Stable Share Price: HVT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: HVT's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1885	2,845	Clarence Smith	https://www.havertys.com

Haverty Furniture Companies, Inc. operates as a specialty retailer of residential furniture and accessories in the United States. The company offers furniture merchandise under the Havertys brand name. It also provides custom upholstery products and eclectic looks; and mattress product lines under the Sealy, Stearns and Foster, Tempur-Pedic, and Serta names, as well as private label Skye name.

Haverty Furniture Companies Fundamentals Summary

How do Haverty Furniture Companies's earnings and revenue compare to its market cap?
HVT fundamental statistics
Market Cap	US$472.78m
Earnings (TTM)	US$89.61m
Revenue (TTM)	US$1.02b

5.3x

P/E Ratio

0.5x

P/S Ratio

Is HVT overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
HVT income statement (TTM)
Revenue	US$1.02b
Cost of Revenue	US$432.82m
Gross Profit	US$585.66m
Other Expenses	US$496.05m
Earnings	US$89.61m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	5.49
Gross Margin	57.50%
Net Profit Margin	8.80%
Debt/Equity Ratio	0%

How did HVT perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

20%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is HVT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HVT?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for HVT. This is calculated by dividing HVT's market cap by their current preferred multiple.
What is HVT's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$472.78m

HVT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.6x
Enterprise Value/EBITDA	4.2x
PEG Ratio	-0.3x

Price to Earnings Ratio vs Peers

How does HVT's PE Ratio compare to its peers?

HVT PE Ratio vs Peers

The above table shows the PE ratio for HVT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	11.3x
AAN Aaron's Company	7.2x	26.9%	US$410.0m
SNBR Sleep Number	9.3x	6.1%	US$952.1m
ARHS Arhaus	25.3x	28.0%	US$841.8m
RH RH	7.8x	-2.1%	US$7.1b
HVT Haverty Furniture Companies	5.3x	-16.6%	US$472.8m

Price-To-Earnings vs Peers: HVT is good value based on its Price-To-Earnings Ratio (5.3x) compared to the peer average (11.3x).

Price to Earnings Ratio vs Industry

How does HVT's PE Ratio compare vs other companies in the US Specialty Retail Industry?

Price-To-Earnings vs Industry: HVT is good value based on its Price-To-Earnings Ratio (5.3x) compared to the US Specialty Retail industry average (6.4x)

Price to Earnings Ratio vs Fair Ratio

What is HVT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HVT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	5.3x
Fair PE Ratio	5.8x

Price-To-Earnings vs Fair Ratio: HVT is good value based on its Price-To-Earnings Ratio (5.3x) compared to the estimated Fair Price-To-Earnings Ratio (5.8x).

Share Price vs Fair Value

What is the Fair Price of HVT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HVT ($28.93) is trading above our estimate of fair value ($20.85)

Significantly Below Fair Value: HVT is trading above our estimate of fair value.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

Discover undervalued companies

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-16.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: HVT's earnings are forecast to decline over the next 3 years (-16.6% per year).

Earnings vs Market: HVT's earnings are forecast to decline over the next 3 years (-16.6% per year).

High Growth Earnings: HVT's earnings are forecast to decline over the next 3 years.

Revenue vs Market: HVT's revenue is expected to decline over the next 3 years (-1.3% per year).

High Growth Revenue: HVT's revenue is forecast to decline over the next 3 years (-1.3% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if HVT's Return on Equity is forecast to be high in 3 years time

Discover growth companies

Past Performance

How has Haverty Furniture Companies performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

34.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: HVT has a high level of non-cash earnings.

Growing Profit Margin: HVT's current net profit margins (8.8%) are lower than last year (9.1%).

Past Earnings Growth Analysis

Earnings Trend: HVT's earnings have grown significantly by 34.3% per year over the past 5 years.

Accelerating Growth: HVT's earnings growth over the past year (4.3%) is below its 5-year average (34.3% per year).

Earnings vs Industry: HVT earnings growth over the past year (4.3%) underperformed the Specialty Retail industry 30.3%.

Return on Equity

High ROE: HVT's Return on Equity (33.6%) is considered high.

Discover strong past performing companies

Financial Health

How is Haverty Furniture Companies's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: HVT's short term assets ($309.4M) exceed its short term liabilities ($208.5M).

Long Term Liabilities: HVT's short term assets ($309.4M) exceed its long term liabilities ($219.1M).

Debt to Equity History and Analysis

Debt Level: HVT is debt free.

Reducing Debt: HVT had no debt 5 years ago.

Debt Coverage: HVT has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: HVT has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

Discover healthy companies

Dividend

What is Haverty Furniture Companies's current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

3.87%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: HVT's dividend (3.87%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: HVT's dividend (3.87%) is low compared to the top 25% of dividend payers in the US market (4.09%).

Stability and Growth of Payments

Stable Dividend: HVT's dividend payments have been volatile in the past 10 years.

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

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (19.9%), HVT's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (62.6%), HVT's dividend payments are covered by cash flows.

Discover strong dividend paying companies

Management

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

4.7yrs

Average management tenure

CEO

Clarence Smith (71 yo)

20.58yrs

Tenure

US$3,161,832

Compensation

Mr. Clarence H. Smith has been an Independent Director at Oxford Industries, Inc. since November 4, 2003. Mr. Smith serves as a Trustee of Marist School. Mr. Smith served as President of Haverty Furniture...

CEO Compensation Analysis

Compensation vs Market: Clarence's total compensation ($USD3.16M) is about average for companies of similar size in the US market ($USD2.70M).

Compensation vs Earnings: Clarence's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: HVT's management team is considered experienced (4.7 years average tenure).

Board Members

Experienced Board: HVT's board of directors are seasoned and experienced ( 19.8 years average tenure).

Ownership

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

Insider Trading Volume

Insider Buying: HVT insiders have only sold shares in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/08/06 00:00
End of Day Share Price	2022/08/05 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31