Should I Buy ETD? ETD 2026 Analysis

Should You Buy Ethan Allen Interiors Inc (ETD) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

24.540

1 Day change

2.46%

52 Week Range

31.410

Analysis Updated At

2026/02/04

Should I buy Analysis is updated weekly. For real time "Should I Buy" analysis, please sign up to get free answers.

Not a good buy right now for an impatient buyer: trend/moving averages remain bearish and recent fundamentals show declining sales/earnings.
Dividend (6.46% annualized) provides support, but it’s not enough to offset weakening demand signals and a still-negative momentum setup.
Better odds favor waiting for either (1) a pullback toward support (~23.74 or lower) or (2) a clean break above ~24.84–25.52 with improving momentum—neither is present now.

Technical Analysis

Trend: Bearish alignment (SMA_200 > SMA_20 > SMA_5) indicates the primary trend is still down despite the recent +3.79% regular-session bounce.
Momentum: MACD histogram is negative (-0.0912) though “negatively contracting,” suggesting downside momentum is easing but not reversed.
RSI: RSI(6)=57.13 (neutral) — not oversold; limited “snap-back” edge for an immediate entry.
Levels: Pivot 23.736 is the key near-term line; resistance at R1 24.836 then R2 25.516. Current post-market 24.23 sits below R1, implying upside is likely to meet supply soon.
Pattern-based forward odds: model suggests modest next-day upside (+0.83%) but flat next-week (-0.15%) and weaker next-month (-3.7%) bias—doesn’t support chasing now.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Sentiment tilt: Put/Call ratios (OI 0.44, volume 0.49) lean bullish (more calls than puts), but this looks more like mild optimism than strong conviction.
Activity: Today’s option volume (94) is below typical levels (today vs 30D avg volume ~47.72%), so the signal strength is limited.
Volatility: IV(30d) ~40.29 vs historical vol ~32.49 suggests options are priced rich to realized; IV percentile ~51 is mid-range (not extremely cheap or extremely expensive).

Technical Summary

Sell

Buy

Positive Catalysts

- Dividend catalyst: declared $0.39 quarterly dividend (high annualized yield ~6.46%), which can attract income-focused buyers and provide downside support.
- Margin control: Gross margin increased to 60.88% (+1.05% YoY), indicating pricing/promotion discipline despite softer demand.
- Options positioning mildly favors calls (bullish-leaning put/call ratios).

Neutral/Negative Catalysts

- Demand/traffic pressures: Analyst commentary highlights declines in design center traffic and contract-business pressure.
- Growth is negative: Q2 net sales and written orders came in weaker than expected (per analyst), keeping sentiment cautious.
- Macro/event drag: management cited consumer confidence impact from the government shutdown.
- Technical backdrop remains bearish (MA stack + negative MACD), increasing the risk that rallies fade near resistance.

Financial Performance

Latest quarter: 2026/Q2.
Revenue: $149.9M, down -4.67% YoY (top-line contraction).
Profitability: Net income $11.74M, down -21.73% YoY; EPS $0.46, down -22.03% YoY (earnings deterioration faster than sales).
Offset: Gross margin 60.88%, up +1.05% YoY (execution improving, but not enough to prevent EPS decline).

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Recent trend: Telsey Advisory maintained Market Perform and trimmed price target to $27 from $28 (a small downward revision).
Wall Street pros: strong gross margin control, disciplined promotions, shareholder-friendly dividend.
Wall Street cons: weaker-than-expected sales/orders, declining design center traffic, and contract channel pressure—supports a neutral stance rather than an aggressive buy.
Influential/political flows: No recent congress trading data available; hedge funds and insiders show neutral recent activity.

2 Analyst Rating

Wall Street analysts forecast ETD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ETD is 28 USD with a low forecast of 28 USD and a high forecast of 28 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

0 Buy

2 Hold

0 Sell

Hold

Current: 23.950

Low

Averages

High

Current: 23.950

Low

Averages

High

Telsey Advisory

Market Perform

downgrade

$28 -> $27

AI Analysis

2026-01-29

Reason

Telsey Advisory

Price Target

$28 -> $27

AI Analysis

2026-01-29

downgrade

Market Perform

Reason

Telsey Advisory lowered the firm's price target on Ethan Allen to $27 from $28 and keeps a Market Perform rating on the shares post the fiscal Q2 report. The company's sales and written orders were lower than expected, the analyst tells investors in a research note. The firm views the quarter as mixed, saying that while Ethan Allen is controlling promotions and managing gross margin well, it continues to experience declines in traffic to its design centers and pressures in its contract business.

Telsey Advisory

Market Perform

downgrade

$28 -> $27

2026-01-29

Reason

Telsey Advisory

Price Target

$28 -> $27

2026-01-29

downgrade

Market Perform

Reason

Telsey Advisory lowered the firm's price target on Ethan Allen to $27 from $28 and keeps a Market Perform rating on the shares. The firm views Q2 results as "mixed," with the company controlling promotions and managing its gross margin well but experiencing declines in traffic to design centers, the analyst tells investors.

Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for ETD

Unlock Now

ETD Should I Buy

ETD Should I Buy

Should You Buy Ethan Allen Interiors Inc (ETD) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

People Also Watch