Hooker Furnishings Corporation

HOFT

Consumer CyclicalFurnishings, Fixtures & AppliancesNASDAQ

$12.60

Market Cap: $135.82M

Hooker Furnishings Corporation (HOFT) Valuation Summary

Updated Apr 21, 2026 22:14

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$0.73 – $67.93	$14.05	+6.5%
Revenue DCF 10Y	$2.65 – $34.93	$4.67	-64.6%
▸ Trading Multiples
EV/Revenue	$14.73 – $30.88	$22.05	+67.2%

Valuation History

DCF Analysis

Hooker Furnishings Corporation (HOFT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$4.67

Market Price

$12.60

Upside / Downside

-62.9%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -7.8% to a target of 7.7% over 5 years, discounted at a WACC of 7.5%, Hooker Furnishings Corporation (HOFT) has an intrinsic value of $4.67 per share (range: $2.65 – $34.93).

Key Assumptions

Current Operating Margin

-7.8%

Target Operating Margin

7.7%

WACC

7.5%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

1.1%

Target CapEx/Rev

6.0%

D&A/Revenue

1.9%

Tax Rate

21.6%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	301	-1.5%	-4.7%	-14	-14	6	(5)	-3	-10	-10
2028	328	9.2%	-1.6%	-5	-5	6	(7)	7	-12	-11
2029	295	-10.0%	1.5%	5	4	6	(7)	-8	10	8
2030	266	-10.0%	4.6%	12	10	5	(8)	-7	14	11
2031	239	-10.0%	7.7%	18	14	5	(8)	-6	17	12
2032	215	-10.0%	7.7%	17	13	4	(9)	-6	14	10
2033	195	-9.2%	7.7%	15	12	4	(9)	-5	12	7
2034	183	-6.2%	7.7%	14	11	3	(9)	-3	8	5
2035	178	-3.1%	7.7%	14	11	3	(10)	-1	6	3
2036	178	-0.1%	7.7%	14	11	3	(11)	-0	3	2

Enterprise Value Bridge

Sum of PV(FCFF)37

Terminal Value (Gordon Growth at 3.0%)80

PV of Terminal Value40

Enterprise Value77

(–) Net Debt27

Equity Value50

(÷) Shares Outstanding11

Fair Value per Share$4.67

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.5%	$-5	$-2	$10	$22	$35
6.5%	$-5	$-2	$6	$16	$25
7.5%	$-5	$-2	$5	$12	$19
8.5%	$-5	$-2	$4	$10	$16
9.5%	$-5	$-2	$3	$8	$13

Current price: $12.60. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 24.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Hooker Furnishings Corporation (HOFT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$14.05

Market Price

$12.60

Upside / Downside

+11.5%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-7.8%

Target Operating Margin

7.7%

WACC

7.5%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

1.1%

Target CapEx/Rev

6.0%

D&A/Revenue

1.9%

Tax Rate

21.6%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	301	-1.5%	-4.7%	-14	-14	6	(6)	-3	-12	-11
2028	328	9.2%	-1.6%	-5	-5	6	(10)	7	-15	-14
2029	295	-10.0%	1.5%	5	4	6	(12)	-8	5	4
2030	266	-10.0%	4.6%	12	10	5	(13)	-7	9	7
2031	239	-10.0%	7.7%	18	14	5	(14)	-6	11	8

Enterprise Value Bridge

Sum of PV(FCFF)-6

Terminal Value (Gordon Growth at 3.0%)254

PV of Terminal Value184

Enterprise Value178

(–) Net Debt27

Equity Value151

(÷) Shares Outstanding11

Fair Value per Share$14.05

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.5%	$-6	$12	$31	$49	$68
6.5%	$-6	$7	$20	$33	$46
7.5%	$-6	$4	$14	$24	$35
8.5%	$-6	$2	$10	$19	$27
9.5%	$-6	$1	$8	$15	$22

Current price: $12.60. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 24.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$22.05

Market Price

$12.60

Upside / Downside

+75.0%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Hooker Furnishings Corporation (HOFT) has a fair value of $22.05 based on 9 comparable companies in the Furnishings, Fixtures & Appliances industry.

EV/Revenue Valuation — Furnishings, Fixtures & Appliances

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Hooker Furnishings CorporationHOFT	135	0.5x	0.4x
1stdibs.Com, Inc.DIBS	219	2.4x	2.5x
Lifetime Brands, Inc.LCUT	153	0.6x	0.6x
Virco Mfg. CorporationVIRC	96	0.6x	0.4x
Full House Resorts, Inc.FLL	89	1.9x	2.0x
Purple Innovation, Inc.PRPL	72	0.5x	0.5x
Unifi, Inc.UFI	67	0.3x	0.3x
The ONE Group Hospitality, Inc.STKS	53	0.9x	0.9x
Northann Corp.NCL	14	1.2x	—
GreenPower Motor Company Inc.GP	3	1.1x	0.6x
Industry Median		0.9x	0.6x
(*) Revenue		305	436
= Enterprise Value		265	262
(-) Net Debt		27	27
Equity Value		238	235
(/) Outstanding shares		11	11
Fair Price		$22	$22

Selected Fair Value (avg of trailing + forward)

$22.05

+75.0%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$0.73 – $67.93

$14.05

+6.5%

Revenue DCF 10Y

$2.65 – $34.93

$4.67

-64.6%

▸ Trading Multiples

EV/Revenue

$14.73 – $30.88

$22.05

+67.2%

DCF Analysis

Hooker Furnishings Corporation (HOFT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$4.67

Market Price

$12.60

Upside / Downside

-62.9%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-7.8%

Target Operating Margin

7.7%

WACC

7.5%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

1.1%

Target CapEx/Rev

6.0%

D&A/Revenue

1.9%

Tax Rate

21.6%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	301	-1.5%	-4.7%	-14	-14	6	(5)	-3	-10	-10
2028	328	9.2%	-1.6%	-5	-5	6	(7)	7	-12	-11
2029	295	-10.0%	1.5%	5	4	6	(7)	-8	10	8
2030	266	-10.0%	4.6%	12	10	5	(8)	-7	14	11
2031	239	-10.0%	7.7%	18	14	5	(8)	-6	17	12
2032	215	-10.0%	7.7%	17	13	4	(9)	-6	14	10
2033	195	-9.2%	7.7%	15	12	4	(9)	-5	12	7
2034	183	-6.2%	7.7%	14	11	3	(9)	-3	8	5
2035	178	-3.1%	7.7%	14	11	3	(10)	-1	6	3
2036	178	-0.1%	7.7%	14	11	3	(11)	-0	3	2

Enterprise Value Bridge

Sum of PV(FCFF)37

Terminal Value (Gordon Growth at 3.0%)80

PV of Terminal Value40

Enterprise Value77

(–) Net Debt27

Equity Value50

(÷) Shares Outstanding11

Fair Value per Share$4.67

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.5%	$-5	$-2	$10	$22	$35
6.5%	$-5	$-2	$6	$16	$25
7.5%	$-5	$-2	$5	$12	$19
8.5%	$-5	$-2	$4	$10	$16
9.5%	$-5	$-2	$3	$8	$13

Current price: $12.60. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 24.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$22.05

Market Price

$12.60

Upside / Downside

+75.0%

Verdict

Undervalued

EV/Revenue Valuation — Furnishings, Fixtures & Appliances

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Hooker Furnishings CorporationHOFT	135	0.5x	0.4x
1stdibs.Com, Inc.DIBS	219	2.4x	2.5x
Lifetime Brands, Inc.LCUT	153	0.6x	0.6x
Virco Mfg. CorporationVIRC	96	0.6x	0.4x
Full House Resorts, Inc.FLL	89	1.9x	2.0x
Purple Innovation, Inc.PRPL	72	0.5x	0.5x
Unifi, Inc.UFI	67	0.3x	0.3x
The ONE Group Hospitality, Inc.STKS	53	0.9x	0.9x
Northann Corp.NCL	14	1.2x	—
GreenPower Motor Company Inc.GP	3	1.1x	0.6x
Industry Median		0.9x	0.6x
(*) Revenue		305	436
= Enterprise Value		265	262
(-) Net Debt		27	27
Equity Value		238	235
(/) Outstanding shares		11	11
Fair Price		$22	$22

Selected Fair Value (avg of trailing + forward)

$22.05

+75.0%