As a primarily U.S. based manufacturer and retailer of residential furniture, we argue that Bassett Furniture is well positioned to capitalize on its competitive advantage relative to peers that depend largely on imported products. While the operating environment remains challenging given the backdrop of a still soft housing market, we think revenue growth will benefit from price increases and new product introductions and other initiatives. Along with two planned store openings in F2026 and store remodels, we estimate overall revenue will increase 3.1% in F2026 and another 3.3% in F2027. Together with projected operating margin expansion, we anticipate EPS of $1.23 in F2026 and $1.58 in F2027, after estimated EPS of $0.81 in F2025. Our moderate risk rating factors in our expectation of Bassett's earnings growth, solid balance sheet and projected free cash flow generation.