Virco Mfg. Corporation (VIRC) AI Stock Analysis

Founded in 1950 and based in Torrance, California, Virco Mfg. Corporation designs, manufactures, and distributes furniture solutions across the United States. The company specializes in seating products, such as 4-leg chairs, tablet armchairs, stools, and ergonomic options for schools, convention centers, arenas, government buildings, and places of worship. It also produces folding, activity, office, and computer tables, alongside desks, workstations, storage cabinets, and specialty educational units like chair desks and lab furniture. Virco reaches its customer base through an extensive network of sales teams and dealers.

Between FY2021 and FY2026, Virco delivered a 5-year revenue CAGR of 5.5%. Annual revenue grew from $184.8M in FY2022 to a peak of $269.1M in FY2024, before edging down 1.1% in FY2025 to $266.2M and falling 25.0% to $199.7M in FY2026. Gross margin shifted from 33.0% in FY2022 to 40.7% in FY2026, while operating margin fell from 11.8% in FY2024 to 1.8% in FY2026. Net income reached $2.6M in FY2026, down from $21.6M in FY2025. In the latest quarter ended July 31, 2026, quarterly revenue fell 5.0% year-over-year and quarterly earnings dropped 15.4%, bringing trailing twelve month revenue to $192.0M.

As of July 31, 2026, Virco held $9.2M in cash and short-term investments against $37.0M in total debt, resulting in net debt of $27.8M. Total assets stood at $192.2M and shareholders' equity was $110.5M, supported by a current ratio of 2.53 and a debt-to-equity ratio of 0.34. In FY2026, operating cash flow was -$841,000, while free cash flow stood at -$6.7M. Capital allocation in FY2026 consisted of $5.9M in capital expenditures, $4.0M in share buybacks, and $1.6M in dividends paid.

At a share price of $6.47, Virco has a market capitalization of $102.0M and an enterprise value of $131.6M. Its forward P/E ratio of 12.8x sits below the 14.1x median of its US-listed Consumer Cyclical peers. The stock trades at a price-to-sales ratio of 0.5x versus the peer median of 0.7x, but its EV/EBITDA of 62.4x is above the peer median of 11.1x. Over the past year, Virco shares fell 6.1%, trailing the S&P 500 return of 16.8%, though its 5-year return of 99.2% outpaced the index return of 83.0%.

Virco pays a quarterly dividend with an annual forward rate of $0.10, yielding 1.55%. The company has paid dividends for 4 consecutive years and reports a payout ratio of 62.5%. Its latest ex-dividend date was September 18, 2026, following $1.6M in dividends paid during FY2026.

Wall Street analyst coverage shows 1 Hold rating, with 0 Strong Buy, Buy, Sell, or Strong Sell ratings. The mean price target is $6.70, representing a 3.6% premium over the last closing price of $6.47. For the fiscal year ending January 31, 2027, consensus estimates project revenue of $194.4M and EPS of $0.18, representing 12.5% EPS growth. For the following fiscal year, 1 analyst models revenue of $196.8M and EPS of $0.22. Virco beat EPS estimates in 1 of the last 4 quarters.

This page is an AI-written research summary of Virco Mfg. Corporation (VIRC). 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: VIRC income statement, VIRC balance sheet, VIRC key metrics, VIRC analyst forecast, VIRC chart. See the VIRC stock overview for the latest quote and news.