RH (NYSE:RH) Receives "Buy" Rating from Guggenheim

Key Points

• Guggenheim reiterated a Buy rating on RH with a $200 price target, implying about a 45.4% upside from the stock's current level.
• RH missed the quarter with EPS of $1.53 vs. estimates of $2.21 and revenue of $842.6M vs. $873.5M, reporting a negative return on equity and thin net margins while shares opened around $137.55.
• Analyst opinion is mixed (7 Buys, 8 Holds, 5 Sells) with an average price target of $176.47, and insiders sold 25,000 shares last quarter (11,000 by Eri Chaya), while insiders own about 27% of the stock.

RH (NYSE:RH - Get Free Report)'s stock had its "buy" rating restated by Guggenheim in a research report issued to clients and investors on Monday,Benzinga reports. They presently have a $200.00 price target on the stock. Guggenheim's price target indicates a potential upside of 45.40% from the stock's current price.

RH has been the topic of a number of other reports. TD Cowen dropped their price objective on RH from $265.00 to $200.00 and set a "buy" rating on the stock in a research note on Monday, March 30th. UBS Group cut their price target on RH from $188.00 to $160.00 and set a "neutral" rating for the company in a report on Tuesday, March 17th. Zelman & Associates restated an "outperform" rating on shares of RH in a research note on Thursday, January 29th. Jefferies Financial Group reissued a "hold" rating on shares of RH in a report on Tuesday, January 27th. Finally, Zacks Research lowered shares of RH from a "hold" rating to a "strong sell" rating in a research report on Thursday, April 2nd. Seven analysts have rated the stock with a Buy rating, eight have issued a Hold rating and five have issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $176.47.

RH Trading Up 0.0%

Shares of NYSE RH opened at $137.55 on Monday. The company has a current ratio of 1.19, a quick ratio of 0.31 and a debt-to-equity ratio of 51.28. RH has a one year low of $106.30 and a one year high of $257.00. The business has a 50-day moving average price of $145.69 and a two-hundred day moving average price of $169.71. The firm has a market capitalization of $2.59 billion, a PE ratio of 21.80, a PEG ratio of 2.06 and a beta of 2.10.

RH (NYSE:RH - Get Free Report) last issued its quarterly earnings data on Tuesday, March 31st. The company reported $1.53 earnings per share for the quarter, missing analysts' consensus estimates of $2.21 by ($0.68). RH had a negative return on equity of 567.82% and a net margin of 3.63%.The firm had revenue of $842.62 million during the quarter, compared to analyst estimates of $873.48 million. During the same quarter in the previous year, the firm posted $1.58 earnings per share. RH's quarterly revenue was up 3.7% compared to the same quarter last year. As a group, analysts predict that RH will post 6.54 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Eri Chaya sold 11,000 shares of the firm's stock in a transaction that occurred on Tuesday, March 31st. The shares were sold at an average price of $137.92, for a total transaction of $1,517,120.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders have sold 25,000 shares of company stock worth $3,370,440 over the last quarter. 27.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On RH

Large investors have recently bought and sold shares of the business. Clearstead Advisors LLC boosted its stake in RH by 713.3% in the third quarter. Clearstead Advisors LLC now owns 122 shares of the company's stock worth $25,000 after purchasing an additional 107 shares in the last quarter. Huntington National Bank raised its holdings in shares of RH by 87.8% in the third quarter. Huntington National Bank now owns 139 shares of the company's stock valued at $28,000 after buying an additional 65 shares during the last quarter. Harvest Fund Management Co. Ltd bought a new position in shares of RH in the third quarter valued at about $30,000. Wilmington Savings Fund Society FSB lifted its position in RH by 200.0% during the 4th quarter. Wilmington Savings Fund Society FSB now owns 174 shares of the company's stock worth $31,000 after buying an additional 116 shares in the last quarter. Finally, Advisory Services Network LLC bought a new stake in RH during the 3rd quarter worth about $31,000. 90.17% of the stock is currently owned by institutional investors.

About RH

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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