Interface (TILE) AI Stock Analysis

• Market Cap: $1.51B
• Dividend Yield: 0.19%
• Average Volume (3M): 431.68K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.91
• Revenue Growth: 5.11%
• EPS Growth: 34.02%
• Country: US
• Employees: 3,636
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.61
• Shares Outstanding: 58,390,617
• 10 Day Avg. Volume: 441,309
• 30 Day Avg. Volume: 431,678
• PEG Ratio: 0.17
• Price to Book (P/B): 2.92
• Price to Sales (P/S): 1.09
• P/FCF Ratio: 12.46
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 1.82
• Enterprise Value/Gross Profit: 4.69
• Enterprise Value/Ebitda: 11.78
• 1Y Price Target: $32.00
• Price Target Upside: 24.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.71
• Revenue Forecast (FY): $1.38B

• Rating: 66 Neutral
• Price Target: $27.00 ▲(4.73% Upside)

Interface's overall stock score is driven by strong earnings call performance and solid financials, despite technical indicators suggesting bearish momentum. The company's strategic investments and raised guidance indicate potential for future growth, though modest revenue growth and cash flow challenges remain.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage enhances financial stability and provides flexibility for future investments and growth opportunities.

Healthcare Segment Growth

Significant growth in the healthcare segment indicates successful expansion efforts and positions Interface well in a robust market sector.

Nora Rubber Division Growth

The strong performance of the Nora Rubber division reflects effective strategic initiatives and product demand, supporting long-term revenue growth.

Negative Factors

Declining Free Cash Flow

Declining free cash flow growth could impact future liquidity and limit the company's ability to invest in growth opportunities or weather economic downturns.

Education Segment Decline

The decline in the education segment may indicate challenges in this market, potentially affecting overall revenue growth if not addressed.

Tariff Impact on Profit

Tariff impacts on gross profit margins could pressure profitability, especially if trade tensions persist, affecting long-term financial performance.

Interface Business Overview & Revenue Model

Company Description

Interface, Inc., a modular flooring company, designs, produces, and sells modular carpet products primarily in the Americas, Europe, and the Asia-Pacific. The company offers modular carpets under the Interface and FLOR brand names; carpet tiles under the GlasBacRE name for use in commercial interiors, including offices, healthcare facilities, airports, educational and other institutions, hospitality spaces, and retail facilities, as well as residential interiors; modular resilient flooring products; rubber flooring under the norament and noraplan brand names; and luxury vinyl tile products. It also produces and sells an adapted version of its carpet tile for the healthcare facilities market; and two-meter roll goods that are structure-backed for use in education, healthcare, and government markets, as well as carpet replacement, installation, and maintenance services. In addition, the company sells and licenses a proprietary antimicrobial chemical compound under the Intersept name for use in interior finishes; sells TacTiles, a carpet tile installation system, as well as various adhesives and products; and provides turnkey project management services for global accounts and other customers through its InterfaceSERVICES business. It sells its products directly to end-users, as well as indirectly through independent contractors or distributors, and FLOR line of products through Internet sales and commercial sales force. The company has product showrooms or design studios in the United States, Canada, Mexico, England, France, Germany, Spain, the Netherlands, India, Australia, Norway, the United Arab Emirates, Russia, Singapore, Hong Kong, Thailand, China, and others. Interface, Inc. was incorporated in 1973 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Interface generates revenue primarily through the sale of modular carpet tiles and resilient flooring products. The company's revenue model is driven by direct sales to commercial clients, as well as through partnerships with distributors and retailers. Key revenue streams include large-scale contracts with businesses and government entities for flooring installations, as well as smaller orders from individual consumers and interior designers. Additionally, Interface benefits from significant partnerships with architects and design firms, which help drive product adoption in various projects. The company's commitment to sustainability also appeals to a growing market segment that prioritizes environmentally friendly products, potentially increasing customer loyalty and repeat business.

Interface Financial Statement Overview

Summary

Interface demonstrates strong profitability and operational efficiency, with a solid balance sheet characterized by low leverage. However, modest revenue growth and declining free cash flow growth may pose challenges. Overall, the company maintains a stable financial position with potential for improvement in cash flow generation.

Income Statement

Interface's income statement shows a stable gross profit margin of 38.24% TTM, indicating efficient cost management. The net profit margin improved to 8.27% TTM, reflecting enhanced profitability. However, revenue growth is modest at 1.99% TTM, suggesting limited expansion. EBIT and EBITDA margins are healthy at 7.46% and 12.14% TTM, respectively, demonstrating strong operational efficiency.

Balance Sheet

The balance sheet reveals a favorable debt-to-equity ratio of 0.29 TTM, indicating low leverage and financial stability. Return on equity is robust at 15.61% TTM, showcasing effective use of equity. The equity ratio is 100% TTM, suggesting a strong equity base. Overall, the balance sheet reflects a solid financial position with manageable debt levels.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth at -3.78% TTM, which could be a concern for future liquidity. The operating cash flow to net income ratio is 0.65 TTM, indicating adequate cash generation relative to net income. The free cash flow to net income ratio is 0.75 TTM, suggesting a reasonable conversion of earnings into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2019	Dec 2018	Dec 2017
Income Statement
Total Revenue	1.04B	1.32B	1.26B	1.34B	1.18B	996.44M
Gross Profit	402.57M	482.95M	441.07M	532.97M	424.36M	386.02M
EBITDA	160.41M	181.43M	141.71M	178.31M	172.75M	149.13M
Net Income	91.71M	86.95M	44.52M	79.20M	50.25M	53.25M
Balance Sheet
Total Assets	1.33B	1.17B	1.23B	1.42B	1.28B	800.60M
Cash, Cash Equivalents and Short-Term Investments	187.35M	99.23M	110.50M	81.30M	80.99M	87.04M
Total Debt	390.04M	383.14M	515.45M	703.94M	618.58M	229.93M
Total Liabilities	709.57M	681.67M	804.15M	1.05B	929.98M	470.51M
Stockholders Equity	620.95M	489.15M	425.95M	368.20M	354.66M	330.09M
Cash Flow
Free Cash Flow	93.12M	114.64M	115.93M	67.12M	36.91M	72.88M
Operating Cash Flow	118.60M	148.43M	142.03M	141.77M	91.77M	103.35M
Investing Cash Flow	-25.48M	-30.37M	-19.51M	-74.22M	-455.69M	-31.09M
Financing Cash Flow	-13.99M	-125.23M	-111.56M	-66.68M	361.53M	-156.98M

Interface Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 25.78
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TILE, the sentiment is Neutral. The current price of 25.78 is below the 20-day moving average (MA) of 26.91, below the 50-day MA of 27.64, and above the 200-day MA of 22.84, indicating a neutral trend. The MACD of -0.46 indicates Positive momentum. The RSI at 39.69 is Neutral, neither overbought nor oversold. The STOCH value of 34.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TILE.

Interface Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TILE	66 Neutral	$1.51B	13.50	20.20%	0.19%	5.11%	34.02%
MBC	64 Neutral	$1.60B	16.96	6.19%	―	1.77%	-44.11%
LZB	64 Neutral	$1.30B	14.47	9.09%	2.82%	2.18%	-22.35%
LEG	62 Neutral	$1.21B	5.55	26.20%	2.27%	-6.03%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MLKN	55 Neutral	$1.05B	―	-1.18%	4.39%	5.37%	-127.27%
HOFT	42 Neutral	$97.72M	―	-6.33%	9.90%	-6.46%	-1110.82%

Interface Corporate Events

Interface Inc. Reports Strong Earnings Amid Challenges

Interface Inc. recently held its earnings call, revealing a generally positive sentiment with strong financial performance and growth in key segments. The company demonstrated significant profitability improvements and received industry recognition, although it acknowledged challenges such as a decline in the education segment and the impact of tariffs amid a challenging macroeconomic environment.

Interface Reports Strong Q3 2025 Financial Results

Interface, Inc. reported strong financial results for the third quarter of 2025, with net sales reaching $364.5 million, a 5.9% increase year-over-year. The company’s ‘One Interface’ strategy has been instrumental in driving growth and profitability, with significant gains in the Americas and EAAA regions. The strategy’s effectiveness is reflected in a 62.5% increase in GAAP earnings per diluted share and a 27.1% rise in adjusted earnings per diluted share. The company has also raised its full-year guidance, underscoring its robust competitive position and commitment to long-term growth.

The most recent analyst rating on (TILE) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Interface stock, see the TILE Stock Forecast page.