# MillerKnoll (MLKN.US)

Canonical: https://gigainvestors.com/s/MLKN

Analysis as of: 2026-10-16T07:30:15.973Z. Financial observations: FY1997–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $21.68 per share; close as of 2026-10-15.

Estimated value: low $18.35 per share, central $20.68 per share, high $23.78 per share. Buy at or below the central value $20.68 per share. Valuation as of 2026-10-16T07:30:15.973Z; scenarios are not confidence intervals.

Expected annual return: 9.6% at the stated quote. About 9.6% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 3

- Operating margin variation: 0.31×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.09×

- FY2018: 0.08×

- FY2019: 0.08×

- FY2020: 0.08×

- FY2021: 0.10×

- FY2022: 0.04×

- FY2023: 0.03×

- FY2024: 0.06×

- FY2025: 0.06×

- FY2026: 0.06×

### moat: fail

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 18.0%

- ROIC, second-lowest year: 6.0%

- Typical minus recent gross margin: -1.5 pp

- Typical gross margin (annual median): 37.3%

- Recent gross margin (lower of latest and 3-year median): 38.8%

- Years with nonpositive capital: 0

- Capital spending / revenue: 2.9%

- ROIC including acquisitions, ten-year median: 4.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 37.2%

- FY2018: 32.8%

- FY2019: 32.4%

- FY2020: 25.2%

- FY2021: 30.9%

- FY2022: 6.0%

- FY2023: 6.0%

- FY2024: 10.8%

- FY2025: 10.1%

- FY2026: 8.8%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 3.00×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $455M

- Net income, five-year total: $152M

- Return on incremental invested capital: 10.5%

- Working capital / revenue, annual change: 0.9 pp

- Working capital / revenue, change between three-year averages: 5.8 pp

- Working capital / revenue, final three-year average: 14.9%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: -2.54×

- FY2023: 2.71×

- FY2024: 1.93×

- FY2025: 0.11×

- FY2026: 1.28×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 32.8% vs 10.1%

- Per-share earnings: 2.12 to 1.11 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- five-year and ten-year diluted share growth both above threshold

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.4%

- Ordinary dilution, 5-year annual growth: 3.1%

- Market cap gain: -$781M

- Cumulative retained earnings: $185M

- Diluted shares, 10-year annual growth: 1.4%

- Diluted shares, 5-year annual growth: 3.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: -7.8%

- Per-share value change: -$1.01

- Per-share value, starting three-year median: $2.12

- Per-share value, ending three-year median: $1.11

- Buybacks concentrated in cheaper years (correlation): -0.14

- Average buyback yield: 2.6%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: $1.2B

- Cumulative net income, 10 years: $730M

- ROIC, first three-year median: 32.8%

- ROIC, last three-year median: 10.1%

Chart: Earnings per share; fiscal year observations.

- FY2017: $2.05

- FY2018: $2.12

- FY2019: $2.70

- FY2020: -$0.15

- FY2021: $2.94

- FY2022: -$0.37

- FY2023: $0.55

- FY2024: $1.11

- FY2025: -$0.53

- FY2026: $1.32

### accounting: pass

- restructuring or one-time charges in at least three of five years

- Sloan accruals: -2.7%

- Receivables to sales index (DSRI): 0.95×

- Restructuring years, last five: 5

- Stock compensation / operating cash flow: 13.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.18×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 1.19×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -6.0%

- FY2018: -2.6%

- FY2019: -3.6%

- FY2020: -11.3%

- FY2021: -7.6%

- FY2022: -0.3%

- FY2023: -2.8%

- FY2024: -6.7%

- FY2025: -6.2%

- FY2026: -2.7%

## Holders

- [Richard Pzena](https://gigainvestors.com/PIM): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [C.T. Fitzpatrick](https://gigainvestors.com/VVP): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 45% since Dec 2021 · "MLKN Q3 Deep Dive: Margin Strength Offsets Softer Revenue and Lowered Outlook" (finance.yahoo.com, Sep 2026) · sales +4.7%

Story as of 2026-10-16T09:59:10.484Z; price observation 2026-10-15.

Price needs cash profits to grow 1.5% a year for ten years

- 2025-06-26: MillerKnoll sees tariff headwinds subsiding in H2, sets upbeat outlook for FQ1 ([seekingalpha.com](https://seekingalpha.com/news/4462686-millerknoll-sees-tariff-headwinds-subsiding-in-h2-sets-upbeat-outlook-for-fq1?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-09-23: MillerKnoll shares slip as orders decline, tariff costs weigh on margins ([seekingalpha.com](https://seekingalpha.com/news/4498156-millerknoll-shares-slip-as-orders-decline-tariff-costs-weigh-on-margins?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-12-18: MillerKnoll Issues Cautious Guidance in 2026, Continues to Offset Tariff Costs ([finance.yahoo.com](https://finance.yahoo.com/news/millerknoll-issues-cautious-guidance-2026-160800540.html))

- 2026-03-26: MillerKnoll misses top-line and bottom-line estimates; introduces Q4 outlook ([seekingalpha.com](https://seekingalpha.com/news/4569014-millerknoll-misses-top-line-and-bottom-line-estimates-introduces-q4-outlook?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2026-06-24: MillerKnoll’s (NASDAQ:MLKN) Q2 CY2026 Sales Beat Estimates, Full-Year Outlook Exceeds Expectations ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/millerknoll-nasdaq-mlkn-q2-cy2026-201730487.html))

- 2026-09-23: MLKN Q3 Deep Dive: Margin Strength Offsets Softer Revenue and Lowered Outlook ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/mlkn-q3-deep-dive-margin-073302891.html))

### Sales · FY2025–2026

sales +4.7%; source https://www.sec.gov/Archives/edgar/data/66382/000006638226000092/mlkn-20260530.htm; observed 2026-07-20.

- FY2017: $2.3B 

- FY2018: $2.4B 

- FY2019: $2.6B 

- FY2020: $2.5B 

- FY2021: $2.5B 

- FY2022: $3.9B 

- FY2023: $4.1B 

- FY2024: $3.6B 

- FY2025: $3.7B 

- FY2026: $3.8B 

### Gross margin · FY2026

gross margin 38.8%; source https://www.sec.gov/Archives/edgar/data/66382/000006638226000092/mlkn-20260530.htm; observed 2026-07-20.

- FY2017: 37.9% 

- FY2018: 36.7% 

- FY2019: 36.2% 

- FY2020: 36.6% 

- FY2021: 38.6% 

- FY2022: 34.3% 

- FY2023: 35.0% 

- FY2024: 39.1% 

- FY2025: 38.8% 

- FY2026: 38.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in furnishings, fixtures & appliances; annual sales are USD 3.8 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2026: revenue 3841700000; grossProfit 1488800000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); MLKN.US: MillerKnoll, Inc. researches, designs, manufactures, sells, and distributes interior furnishings worldwide. It operates through North America Contract, International Contract, and Global Retail segments. The company also provides seating products, furniture systems, other freestanding furniture elements, textiles, leather, felt, home furnishings and related services; and casegoods, storage products, and acoustic products and related services, as well as residential, education, and healthcare furniture solutions. It offers its products under the MillerKnoll, Herman Miller, Knoll, Maharam, Geiger, Design Within Reach, HAY, NaughtOne, Colebrook Bosson Saunders, Holly Hunt, Muuto, FilzFelt, Edelman, Spinneybeck, and KnollTextiles brand names. The company offers its products through independent contract furniture dealers, direct contract sales, owned and independent retailers, direct-mail catalogs, and e-commerce platforms. Its products are used in institutional, health/science, industrial and educational settings, and residential and other environments. The company was formerly known as Herman Miller, Inc. and changed its name to MillerKnoll, Inc. in November 2021. MillerKnoll, Inc. was incorporated in 1905 and is headquartered in Zeeland, Michigan.

### Why customers stay

Margins ranged from 38.8% to 39.1% during 2024–26; it earns 18% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2024: grossProfit / revenue = 39.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2025: grossProfit / revenue = 38.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2026: grossProfit / revenue = 38.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); 10-year return on capital observations [[2017,0.3722627920318048],[2018,0.3282614372582911],[2019,0.32384006372026525],[2020,0.2520805147665402],[2021,0.3091243322963233],[2022,0.06023591967373909],[2023,0.0601027638048259],[2024,0.10820826199670161],[2025,0.10142045128322903],[2026,0.08831146763674538]]; median 0.1801443883816209. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back USD 16.3 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2017: growth capex 1557892.963176161; upkeep 85742107.03682384; cash acquisitions 0; owner earnings 97057892.96317616. Growth capex plus acquisitions / owner earnings = 0.016051172301537877.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2018: growth capex 3700000; upkeep 66900000; cash acquisitions 0; owner earnings 128100000. Growth capex plus acquisitions / owner earnings = 0.02888368462138954.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2019: growth capex 18500000; upkeep 72100000; cash acquisitions 0; owner earnings 160500000. Growth capex plus acquisitions / owner earnings = 0.11526479750778816.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2020: growth capex 0; upkeep 69000000; owner earnings 1400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2021: growth capex 0; upkeep 59800000; cash acquisitions 0; owner earnings 202000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2022: growth capex 0; upkeep 94700000; cash acquisitions 1088500000; owner earnings 68800000. Growth capex plus acquisitions / owner earnings = 15.821220930232558.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2023: growth capex 0; upkeep 83300000; cash acquisitions 0; owner earnings 113900000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2024: growth capex 0; upkeep 78400000; cash acquisitions 0; owner earnings 159000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2026: growth capex 0; upkeep 122300000; cash acquisitions 0; owner earnings 117500000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); Dividend observations: [[2017,39400000],[2018,42400000],[2019,45600000],[2020,36400000],[2021,34500000],[2022,54500000],[2023,57100000],[2024,55600000],[2025,51700000],[2026,51100000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); FY2026: cash repurchases 16300000 USD.

### Are managers owners

Insiders own 4.7% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); MLKN.US SharesStats.PercentInsiders = 4.6690000000000005 percentage points; cache date 2026-10-15.

### What the price says

The price assumes cash profits grow 1.5% yearly over ten years; actual decline was 1.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-20); Ten-year compound average after fade. Initial solved rate 0.009046746428823395. Price 21.68; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 1.9462337192847894 → FY2026 1.694996892818249. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $27.80 per share

- 2016-11: $32.50 per share

- 2016-12: $34.20 per share

- 2017-01: $31.20 per share

- 2017-02: $29.80 per share

- 2017-03: $31.55 per share

- 2017-04: $33.10 per share

- 2017-05: $31.55 per share

- 2017-06: $30.40 per share

- 2017-07: $33.67 per share

- 2017-08: $33.65 per share

- 2017-09: $35.90 per share

- 2017-10: $33.60 per share

- 2017-11: $35.75 per share

- 2017-12: $40.05 per share

- 2018-01: $40.50 per share

- 2018-02: $35.90 per share

- 2018-03: $31.95 per share

- 2018-04: $30.70 per share

- 2018-05: $32.75 per share

- 2018-06: $33.90 per share

- 2018-07: $37.85 per share

- 2018-08: $38.30 per share

- 2018-09: $38.40 per share

- 2018-10: $32.95 per share

- 2018-11: $33.86 per share

- 2018-12: $30.25 per share

- 2019-01: $34.23 per share

- 2019-02: $36.68 per share

- 2019-03: $35.18 per share

- 2019-04: $38.82 per share

- 2019-05: $35.49 per share

- 2019-06: $44.70 per share

- 2019-07: $45.34 per share

- 2019-08: $42.28 per share

- 2019-09: $46.09 per share

- 2019-10: $46.50 per share

- 2019-11: $47.78 per share

- 2019-12: $41.65 per share

- 2020-01: $38.65 per share

- 2020-02: $34.24 per share

- 2020-03: $22.20 per share

- 2020-04: $22.54 per share

- 2020-05: $23.02 per share

- 2020-06: $23.61 per share

- 2020-07: $23.43 per share

- 2020-08: $23.83 per share

- 2020-09: $30.16 per share

- 2020-10: $30.47 per share

- 2020-11: $35.64 per share

- 2020-12: $33.80 per share

- 2021-01: $34.25 per share

- 2021-02: $38.35 per share

- 2021-03: $41.15 per share

- 2021-04: $41.50 per share

- 2021-05: $47.80 per share

- 2021-06: $47.14 per share

- 2021-07: $43.15 per share

- 2021-08: $42.03 per share

- 2021-09: $37.66 per share

- 2021-10: $38.92 per share

- 2021-11: $37.94 per share

- 2021-12: $39.19 per share

- 2022-01: $38.62 per share

- 2022-02: $38.88 per share

- 2022-03: $34.56 per share

- 2022-04: $31.73 per share

- 2022-05: $30.20 per share

- 2022-06: $26.27 per share

- 2022-07: $30.11 per share

- 2022-08: $27.68 per share

- 2022-09: $15.60 per share

- 2022-10: $21.18 per share

- 2022-11: $20.39 per share

- 2022-12: $21.01 per share

- 2023-01: $23.88 per share

- 2023-02: $23.87 per share

- 2023-03: $20.45 per share

- 2023-04: $17.01 per share

- 2023-05: $13.55 per share

- 2023-06: $14.78 per share

- 2023-07: $19.57 per share

- 2023-08: $19.10 per share

- 2023-09: $24.45 per share

- 2023-10: $23.50 per share

- 2023-11: $25.80 per share

- 2023-12: $26.68 per share

- 2024-01: $26.59 per share

- 2024-02: $30.55 per share

- 2024-03: $24.76 per share

- 2024-04: $25.43 per share

- 2024-05: $27.58 per share

- 2024-06: $26.49 per share

- 2024-07: $31.02 per share

- 2024-08: $29.45 per share

- 2024-09: $24.76 per share

- 2024-10: $22.36 per share

- 2024-11: $25.14 per share

- 2024-12: $22.59 per share

- 2025-01: $22.44 per share

- 2025-02: $21.50 per share

- 2025-03: $19.14 per share

- 2025-04: $16.40 per share

- 2025-05: $16.87 per share

- 2025-06: $19.42 per share

- 2025-07: $18.98 per share

- 2025-08: $21.11 per share

- 2025-09: $17.74 per share

- 2025-10: $15.62 per share

- 2025-11: $15.83 per share

- 2025-12: $18.28 per share

- 2026-01: $20.08 per share

- 2026-02: $20.14 per share

- 2026-03: $14.46 per share

- 2026-04: $16.08 per share

- 2026-05: $16.18 per share

- 2026-06: $20.46 per share

- 2026-07: $22.52 per share

- 2026-08: $22.59 per share

- 2026-09: $19.66 per share

- 2026-10: $21.68 per share

## Annual estimated value (USD per share)

- FY2017: low $18.50 per share, central $20.91 per share, high $24.13 per share

- FY2018: low $22.38 per share, central $25.08 per share, high $28.69 per share

- FY2019: low $27.98 per share, central $33.39 per share, high $38.58 per share

- FY2020: low $30.97 per share, central $34.28 per share, high $38.68 per share

- FY2021: low $31.95 per share, central $37.54 per share, high $42.76 per share

- FY2022: low $33.78 per share, central $38.16 per share, high $43.98 per share

- FY2023: low $19.32 per share, central $23.11 per share, high $26.62 per share

- FY2024: low $18.21 per share, central $21.89 per share, high $25.18 per share

- FY2025: low $17.95 per share, central $20.18 per share, high $23.16 per share

- FY2026: low $18.19 per share, central $20.52 per share, high $23.62 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/66382/000006638226000092/mlkn-20260530.htm); period 2026-05-30, filed 2026-07-20.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.