Flexsteel Industries, Inc (NASDAQ: FLXS) has experienced a rise in its stock price by 30.81 compared to its previous closing price of 48.20. However, the company has seen a gain of 26.68% in its stock price over the last five trading days. seekingalpha.com reported 2025-02-04 that Flexsteel Industries, Inc.’s fiscal Q2 2025 results show 8.5% revenue growth and 45% operating income growth, driven by door penetration and big-box sales, despite gross margin challenges. Despite strong performance, Flexsteel’s 16x earnings multiple is unjustified for a small, tariff-exposed, cyclical consumer discretionary company. I maintain a Hold rating. Gross margins fell 90bps, with most sales being ’empty calories’ due to higher freight costs and competitive retail environments.
Is It Worth Investing in Flexsteel Industries, Inc (NASDAQ: FLXS) Right Now?
The price-to-earnings ratio for Flexsteel Industries, Inc (NASDAQ: FLXS) is above average at 17.61x. The 36-month beta value for FLXS is also noteworthy at 0.32. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 0 rating it as “overweight,” 0 rating it as “hold,” and 0 rating it as “sell.”
The public float for FLXS is 3.41M, and at present, short sellers hold a 2.02% of that float. The average trading volume of FLXS on February 05, 2025 was 30.47K shares.
FLXS’s Market Performance
The stock of Flexsteel Industries, Inc (FLXS) has seen a 26.68% increase in the past week, with a 18.47% rise in the past month, and a 8.30% gain in the past quarter. The volatility ratio for the week is 8.00%, and the volatility levels for the past 30 days are at 4.66% for FLXS. The simple moving average for the past 20 days is 23.69% for FLXS’s stock, with a 42.80% simple moving average for the past 200 days.
Analysts’ Opinion of FLXS
Many brokerage firms have already submitted their reports for FLXS stocks, with Singular Research repeating the rating for FLXS by listing it as a “Buy.” The predicted price for FLXS in the upcoming period, according to Singular Research is $50 based on the research report published on October 26, 2015 of the previous year 2015.
Singular Research, on the other hand, stated in their research note that they expect to see FLXS reach a price target of $42.50. The rating they have provided for FLXS stocks is “Buy” according to the report published on January 21st, 2014.
FLXS Trading at 13.05% from the 50-Day Moving Average
After a stumble in the market that brought FLXS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -4.28% of loss for the given period.
Volatility was left at 4.66%, however, over the last 30 days, the volatility rate increased by 8.00%, as shares surge +18.74% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +8.78% upper at present.
During the last 5 trading sessions, FLXS rose by +26.68%, which changed the moving average for the period of 200-days by +68.22% in comparison to the 20-day moving average, which settled at $50.97. In addition, Flexsteel Industries, Inc saw 16.03% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at FLXS starting from McClaflin Michael Joseph, who sale 3,012 shares at the price of $58.00 back on Nov 04 ’24. After this action, McClaflin Michael Joseph now owns 29,485 shares of Flexsteel Industries, Inc, valued at $174,696 using the latest closing price.
McClaflin Michael Joseph, the Chief Information Officer of Flexsteel Industries, Inc, sale 2,039 shares at $57.00 during a trade that took place back on Nov 01 ’24, which means that McClaflin Michael Joseph is holding 32,497 shares at $116,223 based on the most recent closing price.
Stock Fundamentals for FLXS
Current profitability levels for the company are sitting at:
- 0.07 for the present operating margin
- 0.21 for the gross margin
The net margin for Flexsteel Industries, Inc stands at 0.05. The total capital return value is set at 0.13. Equity return is now at value 13.04, with 7.32 for asset returns.
Currently, EBITDA for the company is 21.1 million with net debt to EBITDA at -0.39. When we switch over and look at the enterprise to sales, we see a ratio of 0.74. The receivables turnover for the company is 11.86for trailing twelve months and the total asset turnover is 1.59. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.93.
Conclusion
In summary, Flexsteel Industries, Inc (FLXS) has had a better performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
