RH $RH Shares Bought by Deutsche Bank AG

Key Points

• Deutsche Bank increased its RH stake by 526% in the second quarter, bringing its holdings to 19,019 shares valued at approximately $3.13 million. Institutional investors collectively own 90.17% of RH.
• RH’s latest quarterly results exceeded expectations, with revenue of $800.3 million and an adjusted loss of $1.97 per share versus forecasts of $792.6 million and a $2.12 loss. However, revenue declined 1.7% year over year and liquidity remains a concern given the company’s 0.32 quick ratio and high debt-to-equity ratio.
• Analyst sentiment is mixed, with seven Buy, ten Hold and three Sell ratings producing an average “Hold” rating and a $173.36 price target. CEO Gary Friedman sold $7.65 million in shares, while director Carlos Alberini increased his stake by 54.74% through a stock purchase.

Deutsche Bank AG increased its stake in shares of RH (NYSE:RH - Free Report) by 526.0% during the 2nd quarter, according to its most recent filing with the SEC. The institutional investor owned 19,019 shares of the company's stock after acquiring an additional 15,981 shares during the period. Deutsche Bank AG owned approximately 0.10% of RH worth $3,133,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in RH. Norges Bank acquired a new stake in RH in the fourth quarter worth about $28,092,000. K.J. Harrison & Partners Inc bought a new stake in shares of RH during the 4th quarter worth about $1,792,000. Logan Capital Management Inc. raised its position in shares of RH by 115.2% during the 4th quarter. Logan Capital Management Inc. now owns 32,716 shares of the company's stock worth $5,861,000 after buying an additional 17,516 shares in the last quarter. Quantinno Capital Management LP lifted its stake in shares of RH by 138.1% in the 1st quarter. Quantinno Capital Management LP now owns 24,999 shares of the company's stock worth $3,495,000 after acquiring an additional 14,500 shares during the period. Finally, Lodge Hill Capital LLC acquired a new stake in shares of RH in the 1st quarter worth approximately $13,283,000. 90.17% of the stock is owned by hedge funds and other institutional investors.

RH Trading Up 5.1%

NYSE:RH opened at $148.50 on Thursday. The company has a debt-to-equity ratio of 54.96, a quick ratio of 0.32 and a current ratio of 1.13. The company has a market capitalization of $2.81 billion, a P/E ratio of 28.67, a P/E/G ratio of 3.36 and a beta of 1.87. RH has a 52 week low of $106.30 and a 52 week high of $257.00. The stock's 50 day moving average price is $169.56 and its 200 day moving average price is $154.95.

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

Key RH News

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.

Insider Transactions at RH

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

Wall Street Analyst Weigh In

RH has been the topic of a number of research analyst reports. Guggenheim reiterated a "buy" rating and set a $200.00 price objective on shares of RH in a research note on Friday, June 12th. Wells Fargo & Company increased their price target on RH from $175.00 to $225.00 and gave the company an "overweight" rating in a research note on Tuesday, August 11th. JPMorgan Chase & Co. lowered their price objective on shares of RH from $225.00 to $212.00 and set an "overweight" rating on the stock in a research note on Monday, August 17th. Morgan Stanley reissued an "overweight" rating and set a $240.00 target price on shares of RH in a research note on Monday, May 11th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of RH in a research report on Friday, July 24th. Seven investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average 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.

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