RH (NYSE:RH) Releases Quarterly Earnings Results, Beats Estimates By $2.32 EPS

RH (NYSE:RH) announced its quarterly earnings data on Thursday. The company reported $2.70 EPS for the quarter, beating the consensus estimate of $0.38 by $2.32, FiscalAI reports. The firm had revenue of $922.15 million during the quarter, compared to analyst estimates of $915.09 million. RH had a net margin of 3.01% and a return on equity of 423.79%.

RH Price Performance

Shares of NYSE RH traded down $5.48 during mid-day trading on Thursday, reaching $133.89. The company’s stock had a trading volume of 1,983,694 shares, compared to its average volume of 1,027,047. The stock has a 50-day moving average of $167.71 and a two-hundred day moving average of $150.72. 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 stock has a market capitalization of $2.53 billion, a P/E ratio of 25.85, a P/E/G ratio of 3.39 and a beta of 1.85. RH has a 1-year low of $106.30 and a 1-year high of $248.44.

Key Stories Impacting RH

Here are the key news stories impacting RH this week:

• Positive Sentiment: RH projected fiscal 2026 revenue of $3.6 billion to $3.7 billion, above the analyst consensus of approximately $3.5 billion. The stronger full-year outlook supports management’s expectations for improvement later in the year. RH Reports Second Quarter Fiscal 2026 Results
• Neutral Sentiment: RH released its fiscal second-quarter 2026 results for the period ended August 1 and scheduled an investor conference call to discuss the results, guidance, margins and demand trends. The company did not provide an EPS figure in the reported guidance update. RH Reports Second Quarter Fiscal 2026 Results
• Negative Sentiment: RH forecast third-quarter fiscal 2026 revenue of $928.0 million to $936.8 million, below the consensus estimate of roughly $964.0 million. The shortfall suggests near-term sales may be weaker than analysts expected and was likely the main source of selling pressure.
• Negative Sentiment: The stock entered the earnings release after falling sharply over the prior month, with analysts focused on margin pressure and whether CEO Gary Friedman’s second-half recovery plan would gain traction. The below-consensus third-quarter outlook increases the risk that investors will remain cautious despite the improved full-year revenue target.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the stock. The Goldman Sachs Group raised shares of RH from a “sell” rating to a “neutral” rating and raised their price target for the stock from $86.00 to $155.00 in a report on Wednesday, July 8th. Zacks Research upgraded RH from a “strong sell” rating to a “hold” rating in a research note on Tuesday, June 16th. Robert W. Baird boosted their price target on RH from $125.00 to $150.00 and gave the company a “neutral” rating in a research note on Friday, June 12th. TD Cowen reissued a “buy” rating on shares of RH in a report on Tuesday, September 1st. Finally, Guggenheim reaffirmed a “buy” rating and set a $200.00 target price on shares of RH in a report on Friday, June 12th. Seven analysts have rated the stock with a Buy rating, ten have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $173.36.

Insider Activity

In other news, Director Mark S. Demilio sold 3,102 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $144.00, for a total value of $446,688.00. Following the completion of the transaction, the director owned 25,830 shares of the company’s stock, valued at approximately $3,719,520. This trade represents a 10.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Gary G. Friedman sold 69,069 shares of the company’s stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $169.48, for a total transaction of $11,705,814.12. Following the sale, the chief executive officer directly owned 3,282,268 shares in the company, valued at approximately $556,278,780.64. The trade was a 2.06% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 132,749 shares of company stock valued at $21,856,812 in the last quarter. Insiders own 26.90% of the company’s stock.

Institutional Trading of RH

A number of large investors have recently modified their holdings of the stock. Harvest Fund Management Co. Ltd purchased a new position in RH in the third quarter valued at $30,000. Advisory Services Network LLC acquired a new stake in RH in the 3rd quarter valued at about $31,000. Wilmington Savings Fund Society FSB boosted its stake in shares of RH by 200.0% in the 4th quarter. Wilmington Savings Fund Society FSB now owns 174 shares of the company’s stock valued at $31,000 after buying an additional 116 shares during the period. Federation des caisses Desjardins du Quebec grew its position in shares of RH by 3,800.0% during the fourth quarter. Federation des caisses Desjardins du Quebec now owns 312 shares of the company’s stock worth $56,000 after buying an additional 304 shares in the last quarter. Finally, Quadrant Capital Group LLC acquired a new position in shares of RH during the third quarter worth about $77,000. Hedge funds and other institutional investors own 90.17% of the company’s stock.

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.