Culp, Inc. (CULP) AI Stock Analysis

Culp, Inc. is a manufacturer and distributor of mattress fabrics, sewn covers, and cut and sewn kits for bedding products worldwide. It operates in two segments: Mattress Fabrics and Upholstery Fabrics. The Mattress Fabrics segment produces woven jacquard, knitted, and converted fabrics for mattresses, box springs, foundations, and top-of-bed components. The Upholstery Fabrics segment supplies materials including jacquard woven fabrics, velvets, micro denier suedes, woven dobbies, knitted fabrics, and polyurethane fabrics for residential and commercial furniture, office seating, and window treatments. The company also provides installation services in hospitality and commercial markets.

Culp saw revenue drop from $268.6M in FY2022 to $190.0M in FY2025, reflecting a 5-year revenue CAGR of -7.5%. In FY2026, revenue increased 7.1% to $203.5M, and gross margin improved to 12.4% from 1.8% in FY2025. Still, operating margin was -4.7% and net income registered -$10.2M in FY2026, representing an EPS of -$1.00. For the trailing twelve months ending July 31, 2026, revenue stood at $206.8M with a profit margin of -1.9% and an operating margin of -0.5%. In the latest quarter, quarterly revenue rose 6.5% year-over-year, while quarterly earnings declined 63.4%.

As of July 31, 2026, Culp held $11.8M in cash and short-term investments against total debt of $15.0M, resulting in net debt of $3.2M. The company maintains a current ratio of 1.81, debt-to-equity of 0.28, and shareholders' equity of $54.2M out of $108.5M in total assets. During FY2026, free cash flow was -$10.0M and operating cash flow was -$9.4M. For cash deployment, Culp spent $596,000 on capital expenditures and $76,000 on share buybacks in FY2026.

At $3.72 per share, Culp has a market cap of $47.4M and an enterprise value of $48.8M. It trades at a forward P/E of 10.6x, compared to 14.1x for the median of its US-listed Consumer Cyclical peers. The stock's price-to-sales of 0.2x and price-to-book of 0.9x sit below the peer median price-to-sales of 0.7x, while its EV/EBITDA of 21.4x is higher than the peer median of 11.1x. Over the past year, Culp fell 10.6%, trailing the S&P 500 (SPY) return of 16.8%.

Wall Street coverage shows a mean price target of $8.00, representing 115.1% upside over the last close of $3.72. For the fiscal year ending April 30, 2027, the consensus revenue estimate is $209.9M with an EPS estimate of -$0.19, reflecting an 81.0% growth improvement. For the next fiscal year, 1 analyst expects revenue of $213.6M and EPS of $0.01. Culp has beaten EPS estimates in 1 of the last 4 quarters, and its next earnings date is December 9, 2026.

This page is an AI-written research summary of Culp, Inc. (CULP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: CULP income statement, CULP balance sheet, CULP key metrics, CULP analyst forecast, CULP chart. See the CULP stock overview for the latest quote and news.