NEW YORK, Jan. 31, 2011 /PRNewswire/ -- Ethan Allen Interiors (ETH: $22) has been picked by Standard & Poor's Equity Research as its Focus Stock of the Week. ETH carries S&P's highest investment recommendation of 5-STARS, or Strong Buy.

"We estimate that the company will generate sales of $672 million in fiscal year 2011, which ends in June, and $712 million in fiscal year 2012, as consumers likely resume more-normal shopping patterns following the recession," said Erik Kolb, Equity Analyst at Standard & Poor's Equity Research. "The company's results should benefit from increased manufacturing efficiencies, as it has significantly streamlined operations over the past few years. Our recommendation is based on the company's business model, which focuses on the cost efficiencies associated with a vertically integrated production model, incremental sales gains and better fixed-cost leverage, what we see as a solid balance sheet with modest net debt, and our view that ETH stock has compelling appreciation potential."

To view a video of Mr. Kolb discussing ETH paste the following link into your browser.

http://link.delvenetworks.com/media/?mediaId=d04d18f06a694452bffb98729beb059a&width=480&height=411&playerForm=DelvePlayer

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