RH $RH Holdings Raised by BlackRock Inc.

Key Points

• BlackRock increased its RH stake by 41.7% in the second quarter, adding 581,710 shares to own 1.98 million shares, or approximately 10.47% of the company. Institutional investors collectively hold 90.17% of RH.
• RH’s latest quarterly results beat expectations, with revenue of $800.3 million and an adjusted loss of $1.97 per share, but revenue declined 1.7% year over year and profitability remained weak.
• RH shares opened at $148.50, below the 50-day moving average, while analysts maintain a consensus “Hold” rating and a $173.36 price target. Balance-sheet concerns include a 0.32 quick ratio and debt-to-equity ratio of 54.96.

BlackRock Inc. boosted its stake in shares of RH (NYSE:RH - Free Report) by 41.7% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 1,978,271 shares of the company's stock after buying an additional 581,710 shares during the period. BlackRock Inc. owned about 10.47% of RH worth $325,881,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of RH. United Services Automobile Association purchased a new stake in RH in the 1st quarter worth about $231,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of RH by 6.2% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 38,622 shares of the company's stock worth $9,053,000 after purchasing an additional 2,244 shares in the last quarter. Prudential Financial Inc. boosted its holdings in shares of RH by 24.4% during the second quarter. Prudential Financial Inc. now owns 1,593 shares of the company's stock worth $301,000 after purchasing an additional 312 shares during the period. Federated Hermes Inc. lifted its position in RH by 30.1% in the 2nd quarter. Federated Hermes Inc. now owns 1,137 shares of the company's stock worth $215,000 after buying an additional 263 shares in the last quarter. Finally, California Public Employees Retirement System grew its holdings in shares of RH by 9.5% during the 2nd quarter. California Public Employees Retirement System now owns 19,049 shares of the company's stock valued at $3,600,000 after acquiring an additional 1,650 shares in the last quarter. 90.17% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at RH

In related news, CEO Gary G. Friedman sold 48,238 shares of the business's stock in a transaction dated Wednesday, July 8th. The stock was sold at an average price of $158.66, for a total value of $7,653,441.08. Following the completion of the transaction, the chief executive officer owned 3,226,337 shares of the company's stock, valued at $511,890,628.42. The trade was a 1.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Carlos Alberini purchased 11,388 shares of the firm's stock in a transaction dated Monday, June 29th. The stock was acquired at an average price of $160.90 per share, for a total transaction of $1,832,329.20. Following the purchase, the director owned 32,190 shares in the company, valued at approximately $5,179,371. The trade was a 54.74% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last ninety days, insiders sold 132,749 shares of company stock worth $21,856,812. Company insiders own 26.90% of the company's stock.

RH Stock Performance

Shares of RH opened at $148.50 on Thursday. The firm has a fifty day simple moving average of $169.56 and a 200 day simple moving average of $154.95. RH has a 12 month low of $106.30 and a 12 month high of $257.00. The company has a current ratio of 1.13, a quick ratio of 0.32 and a debt-to-equity ratio of 54.96. The stock has a market capitalization of $2.81 billion, a price-to-earnings ratio of 28.67, a PEG ratio of 3.36 and a beta of 1.87.

RH (NYSE:RH - Get Free Report) last posted its quarterly earnings results on Thursday, June 11th. The company reported ($1.97) earnings per share for the quarter, beating analysts' consensus estimates of ($2.12) by $0.15. RH had a return on equity of 423.79% and a net margin of 3.01%.The firm had revenue of $800.33 million during the quarter, compared to the consensus estimate of $792.55 million. During the same period last year, the company earned $0.13 earnings per share. The business's revenue was down 1.7% compared to the same quarter last year. Research analysts forecast that RH will post 4.2 EPS for the current fiscal year.

Key Headlines Impacting RH

Here are the key news stories impacting RH this week:

• Neutral Sentiment: RH’s latest reported quarter showed revenue of $800.3 million, slightly above analyst expectations of $792.6 million, while its adjusted loss of $1.97 per share was narrower than the expected $2.12 loss. However, revenue declined 1.7% year over year and profitability remained weak.
• Neutral Sentiment: The stock remains volatile, with a beta of 1.87, and trades below its 50-day moving average while remaining near its 200-day average. This suggests investor sentiment is still cautious despite the quarterly earnings beat.
• Negative Sentiment: RH’s low quick ratio of 0.32 and substantial debt-to-equity ratio indicate balance-sheet and liquidity risks that may remain concerns for investors, particularly if the luxury home-furnishings market weakens.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on RH. KeyCorp reiterated a "sector weight" rating on shares of RH in a report on Friday, June 12th. Morgan Stanley reiterated an "overweight" rating and set a $240.00 price target on shares of RH in a report on Monday, May 11th. Wells Fargo & Company increased their price objective on RH from $175.00 to $225.00 and gave the stock an "overweight" rating in a report on Tuesday, August 11th. Robert W. Baird increased their target price on shares of RH from $125.00 to $150.00 and gave the stock a "neutral" rating in a research report on Friday, June 12th. Finally, Guggenheim reissued a "buy" rating and issued a $200.00 price target on shares of RH in a research report on Friday, June 12th. Seven equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $173.36.

RH Company Profile

RH, formerly Restoration Hardware, is a design-driven luxury retailer specializing in high-end home furnishings, décor, textiles, lighting and outdoor living products. The company offers a curated collection of furniture pieces—including seating, casegoods, beds and dining items—alongside rugs, art and decorative accessories. RH's product lines are organized into distinct collections, each reflecting a cohesive design philosophy and premium craftsmanship aimed at the residential and hospitality markets.

Founded in 1979 in Eureka, California, by Stephen Gordon, Restoration Hardware began as a small warehouse in Northern California.

Want to see what other hedge funds are holding RH? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for RH (NYSE:RH - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source