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Tag: AFI STOCK

  • New Developments: Armstrong Flooring Inc. (AFI) Leaps Further After Hours

    New Developments: Armstrong Flooring Inc. (AFI) Leaps Further After Hours

    On December 31, the company announced amendments to ABL and term loan facilities along with the sale process of the company. Consequently, Armstrong Flooring Inc. (AFI) jumped higher in the after hours.

    During the regular session, the stock saw a slight gain of 1.54% at its closing price of $1.98 with 4.03M shares exchanging. Following the announcement, AFI stock took a leap of a hug 52.02% in the after-hours at 3.91M shares. Hence, the stock was trading at $3.01 apiece in the after hours.

    Founded in 1860, the flooring company, AFI has a market capitalization of $42.98 million. Currently, the company has 21.71 million shares outstanding in the market.

    AFI’s Recent Announcement

    As per December 31’s announcement, the company amended its ABL Credit Facility and Term Loan Facility. Moreover, the amendments were passed after receiving unanimous support from its ABL and Term Loan lenders. Furthermore, under the AFI’s ABL and Term Loan facilities, these amendments will provide some covenant modifications through June 30, 2022.

    Moreover, the company also received $35 million additional aggregate principal amount of term loans. These loans were provided by its current term loan lender, Pathlight Capital LP for pursuing operational and strategic goals.

    In addition, AFI announced the developments in its sale process as well. Houlihan Lokey Capital Inc. will be assisting the company with the process of the sale of AFI. Furthermore, the firm will also assist AFI in the consideration of other strategic alternatives. As per the board of directors, the sale of AFI and another strategic transaction will add to the company’s stockholders’ value.

    Further, the company will provide details on the amendments in its loan facilities in a current report on Form 8-K. AFI expects to file the report on Monday, January 3, 2022, with the U.S. Securities and Exchange Commission.

    GOOD DESIGN® Awards

    On December 22, 2021, the company announced that its four products received the GOOD DESIGN 2020 Award. These products include ExchangeTM Luxury Flooring, TheoremTM Luxury Flooring, EmpowerTM Rigid Core, and Rest & RefugeTM Rigid Core. Moreover, all of these products have Diamond 10® Technology, which makes them resistant to scratch, stain, and scuff.

    AFI’s Financial Highlights

    AFI declared its third-quarter financial results on November 05, 2021. In the third quarter of 2021, the company generated net sales of $168.5 million with a net loss of $29.7 million. The net sales showed a growth of 8% year-over-year.

  • This rise in the market trend is still far from over: Armstrong Flooring Inc. [AFI]

    This rise in the market trend is still far from over: Armstrong Flooring Inc. [AFI]

    During the past week, the stock was up 6.60% for Armstrong Flooring Inc., and for the previous month, it was down 5.16%. Its price is 5.76% year-to-date and 45.85% over the past year. The Company had short interest amounting to 0.47 million shares as of Jan 14, 2021. On Feb 11, 2021, short interest fell -5.61% to 25640.0 shares. Days to cover were 2.5. The company had nearly 0.44 million shares short a month ago.

    A leader in the global manufacture of flooring, Armstrong Flooring is a celebrated and trusted brand in the flooring industry. By consistently delivering on its mission to create a stronger future for customers through adaptive and innovative solutions, the company has built on its 1500-year legacy of resilience. Operating eight manufacturing facilities safely and responsibly, Armstrong Flooring is headquartered in Lancaster, Pennsylvania.

    WHAT’s NEW

    February 26, 2021, the company announced it has entered into a definitive agreement concluding the sale of its South Gate, California warehouse and manufacturing plant to an Overton Moore Properties affiliate for an amount of $76.7 million cash. An estimated $65 million will be received from Armstrong Flooring in cash, net of the fees and expenses on the deal, plus $10.5 million held in an environmental escrow account. Under customary closing conditions, the transaction is anticipated to close in the first quarter of 2021.

    Armstrong Flooring will receive considerable financial and operational benefits from this acquisition. As previously announced, the Company is planning to sell the South Gate property and has taken steps to ensure a smooth transition. The company plans to close the factory in December 2020 in order to increase its tile manufacturing footprint. Two plants located in Illinois and Mississippi are producing products formerly manufactured at South Gate. In addition, the company’s warehouse in Southern California, which has started shipping to customers, has been expanded to 100,000 square feet. South Gate property is being replaced with the new warehouse, which will be sold in the transaction, and leased from the buyer for two months after closing. Investments in modernizing the Company’s five remaining facilities as well as the optimization of the manufacturing network are expected to result in increased efficiencies, lower costs, and higher capacity utilization.

    Finally,

    Wall Street analysts are certainly watching closely the recommendations of Armstrong Flooring Inc. According to current analyst evaluations, AFI has a Hold rating. A simple metric referring to the brokerage firm shows a current average recommendation of 2.00 for the stock. The value below 2 indicates a Buy recommendation, whereas those in the range of 2 to 3 suggest a Hold recommendation, and those above 3 advise investors to sell the stock.