Barclays Has Lowered Expectations for RH (NYSE:RH) Stock Price

Key Points

• Barclays has revised its price target for RH stock, lowering it from $436.00 to $385.00 while maintaining an "overweight" rating, which implies a potential upside of 68.90% from the current price.
• Various analysts have differing outlooks on RH, with some increasing target prices and others reducing ratings, leading to a consensus rating of "Hold" and an average target of $268.41.
• RH's recent earnings report revealed a miss on EPS estimates, with a reported $2.93 compared to the expected $3.22, highlighting a challenging performance against market expectations.

RH (NYSE:RH - Get Free Report) had its price target decreased by investment analysts at Barclays from $436.00 to $385.00 in a research note issued to investors on Friday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Barclays's target price indicates a potential upside of 68.90% from the stock's current price.

Other equities analysts have also recently issued reports about the stock. Robert W. Baird boosted their target price on shares of RH from $215.00 to $230.00 and gave the company a "neutral" rating in a research report on Monday, June 16th. Telsey Advisory Group cut shares of RH from an "outperform" rating to a "market perform" rating and set a $220.00 target price for the company. in a research report on Friday. The Goldman Sachs Group cut shares of RH from a "neutral" rating to a "sell" rating and dropped their target price for the company from $199.00 to $179.00 in a research report on Tuesday, June 24th. Zelman & Associates dropped their target price on shares of RH from $305.00 to $251.00 and set an "outperform" rating for the company in a research report on Wednesday, July 9th. Finally, Wells Fargo & Company boosted their target price on shares of RH from $275.00 to $295.00 and gave the company an "overweight" rating in a research report on Monday. Nine investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat, RH currently has a consensus rating of "Hold" and an average target price of $268.41.

RH Stock Down 0.4%

Shares of RH stock opened at $227.94 on Friday. RH has a twelve month low of $123.03 and a twelve month high of $457.26. The company has a 50-day simple moving average of $218.13 and a two-hundred day simple moving average of $210.04. The stock has a market capitalization of $4.27 billion, a price-to-earnings ratio of 54.27, a price-to-earnings-growth ratio of 0.66 and a beta of 2.15.

RH (NYSE:RH - Get Free Report) last issued its quarterly earnings data on Thursday, September 11th. The company reported $2.93 earnings per share for the quarter, missing the consensus estimate of $3.22 by ($0.29). RH had a negative return on equity of 67.71% and a net margin of 2.57%.The business had revenue of $899.15 million during the quarter, compared to analyst estimates of $906.58 million. During the same quarter last year, the firm earned $1.69 EPS. RH's revenue for the quarter was up 8.4% compared to the same quarter last year. RH has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, sell-side analysts anticipate that RH will post 4.39 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in shares of RH by 0.6% in the first quarter. Vanguard Group Inc. now owns 1,409,962 shares of the company's stock valued at $330,509,000 after buying an additional 7,952 shares in the last quarter. Senvest Management LLC lifted its stake in shares of RH by 54.6% in the second quarter. Senvest Management LLC now owns 733,894 shares of the company's stock valued at $138,713,000 after buying an additional 259,200 shares in the last quarter. Durable Capital Partners LP lifted its position in shares of RH by 125.1% during the second quarter. Durable Capital Partners LP now owns 646,097 shares of the company's stock valued at $122,119,000 after purchasing an additional 359,101 shares in the last quarter. Atreides Management LP lifted its position in shares of RH by 69.1% during the first quarter. Atreides Management LP now owns 473,321 shares of the company's stock valued at $110,951,000 after purchasing an additional 193,404 shares in the last quarter. Finally, Geode Capital Management LLC lifted its position in shares of RH by 0.7% during the second quarter. Geode Capital Management LLC now owns 265,762 shares of the company's stock valued at $50,240,000 after purchasing an additional 1,829 shares in the last quarter. 90.17% of the stock is owned by institutional investors.

RH Company Profile

RH, together with its subsidiaries, operates as a retailer in the home furnishings market. The company offers products in various categories, including furniture, lighting, textiles, bathware, décor, outdoor and garden, baby, child, and teen furnishings. It provides its products through rh.com, rhbabyandchild.com, rhteen.com, rhmodern.com, and waterworks.com online channels, as well as operates RH Galleries, RH outlet stores, RH Guesthouse, and Waterworks showrooms in the United States, Canada, the United Kingdom, and Germany.

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