RH (NYSE:RH) Given Average Rating of "Hold" by Brokerages

Key Points

• Analyst consensus: Twenty analysts give RH an average recommendation of "Hold" (5 sell, 8 hold, 7 buy) with a 12‑month average target of $176.47, and several major brokers have recently trimmed price targets.
• Recent results and risks: RH missed quarterly estimates (EPS $1.53 vs. $2.21; revenue $842.6M vs. $873.5M), issued cautious fiscal‑2026 guidance, and faces legal scrutiny and notable insider selling, while heavy short interest (~35.6% of the float) has driven volatile short‑covering moves.
• Institutional positioning: Institutional investors own about 90.17% of RH, and several hedge funds (Senvest, Durable Capital, AllianceBernstein, Two Sigma, Morgan Stanley) have recently increased their stakes, indicating active repositioning by large holders.

Shares of RH (NYSE:RH - Get Free Report) have received an average recommendation of "Hold" from the twenty analysts that are presently covering the company, Marketbeat Ratings reports. Five investment analysts have rated the stock with a sell rating, eight have given a hold rating and seven have issued a buy rating on the company. The average 12 month target price among analysts that have issued a report on the stock in the last year is $176.4667.

Several research firms have issued reports on RH. Guggenheim decreased their price objective on shares of RH from $275.00 to $200.00 and set a "buy" rating for the company in a research note on Wednesday, April 1st. Zelman & Associates restated an "outperform" rating on shares of RH in a research note on Thursday, January 29th. TD Cowen decreased their price objective on shares of RH from $265.00 to $200.00 and set a "buy" rating for the company in a research note on Monday, March 30th. Barclays decreased their price objective on shares of RH from $283.00 to $202.00 and set an "overweight" rating for the company in a research note on Thursday, April 2nd. Finally, JPMorgan Chase & Co. decreased their price objective on shares of RH from $275.00 to $225.00 and set an "overweight" rating for the company in a research note on Friday, December 19th.

Insider Buying and Selling at RH

In other news, insider Eri Chaya sold 11,000 shares of the stock in a transaction dated Tuesday, March 31st. The shares were sold at an average price of $137.92, for a total transaction of $1,517,120.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders have sold a total of 25,000 shares of company stock worth $3,370,440 in the last three months. 27.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On RH

Several hedge funds have recently made changes to their positions in the business. Senvest Management LLC boosted its stake in shares of RH by 30.1% during the fourth quarter. Senvest Management LLC now owns 842,577 shares of the company's stock worth $150,948,000 after buying an additional 194,773 shares during the period. Durable Capital Partners LP boosted its stake 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 worth $122,119,000 after buying an additional 359,101 shares during the period. Alliancebernstein L.P. boosted its stake in shares of RH by 66.1% during the third quarter. Alliancebernstein L.P. now owns 573,666 shares of the company's stock worth $116,546,000 after buying an additional 228,229 shares during the period. Two Sigma Investments LP boosted its stake in shares of RH by 40.9% during the third quarter. Two Sigma Investments LP now owns 359,093 shares of the company's stock worth $72,953,000 after buying an additional 104,154 shares during the period. Finally, Morgan Stanley boosted its stake in shares of RH by 0.8% during the fourth quarter. Morgan Stanley now owns 353,996 shares of the company's stock worth $63,419,000 after buying an additional 2,658 shares during the period. Institutional investors and hedge funds own 90.17% of the company's stock.

RH Stock Performance

NYSE RH opened at $140.67 on Friday. The company has a debt-to-equity ratio of 51.28, a current ratio of 1.19 and a quick ratio of 0.31. RH has a 1 year low of $106.30 and a 1 year high of $257.00. The company has a market capitalization of $2.65 billion, a PE ratio of 22.29, a P/E/G ratio of 1.77 and a beta of 2.10. The company has a fifty day moving average of $152.15 and a two-hundred day moving average of $172.33.

RH (NYSE:RH - Get Free Report) last released its quarterly earnings data on Tuesday, March 31st. The company reported $1.53 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.21 by ($0.68). RH had a net margin of 3.63% and a negative return on equity of 567.82%. The company had revenue of $842.62 million during the quarter, compared to analyst estimates of $873.48 million. During the same quarter in the prior year, the company earned $1.58 EPS. The business's revenue was up 3.7% on a year-over-year basis. As a group, analysts expect that RH will post 4.39 earnings per share for the current year.

Trending Headlines about RH

Here are the key news stories impacting RH this week:

• Positive Sentiment: Short-covering/technical rebound: elevated short interest (reported ~35.6% of the float) created a setup where outsized upside can occur when sentiment stabilizes or bargain hunters step in; that dynamic appears to be the main driver of the bounce. Read More.
• Neutral Sentiment: Momentum/bargain-hunting vs fundamentals: some investors are likely buying after the steep pullback (technical recovery), but there’s no clear new positive company announcement underpinning a sustained fundamental turnaround. Read More.
• Negative Sentiment: Ongoing legal/claims risk: Pomerantz LLP has launched an investor investigation related to RH, which raises the prospect of litigation or settlements that can pressure the stock and increase uncertainty. Read More.
• Negative Sentiment: Recent weak results and cautious guidance: RH reported a disappointing quarter and issued a cautious fiscal‑2026 outlook (low single‑digit revenue growth and margin targets), prompting analyst downgrades and driving the earlier selloff that created today’s short-covering rally. Read More.
• Negative Sentiment: Insider selling/positioning: recent insider sales and heavy bearish institutional positioning indicate continued skepticism among some stakeholders, which could limit the upside if fundamentals don’t improve. Read More.

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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