Brokerages Set RH (NYSE:RH) Price Target at $173.36

Shares of RH (NYSE:RH) have been given an average recommendation of “Hold” by the twenty analysts that are presently covering the firm, Marketbeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, ten have assigned a hold recommendation and seven have assigned a buy recommendation to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $173.3571.

A number of brokerages have weighed in on RH. Stifel Nicolaus increased their target price on shares of RH from $110.00 to $130.00 and gave the stock a “hold” rating in a report on Friday, June 12th. Bank of America initiated coverage on shares of RH in a report on Monday, August 3rd. They issued an “underperform” rating and a $156.00 price target for the company. Weiss Ratings reaffirmed a “sell (d)” rating on shares of RH in a research report on Friday, July 24th. Citigroup increased their price objective on shares of RH from $150.00 to $166.00 and gave the stock a “neutral” rating in a research note on Monday, June 15th. Finally, Morgan Stanley reissued an “overweight” rating and issued a $240.00 target price on shares of RH in a report on Monday, May 11th.

RH Trading Down 2.7%

Shares of NYSE RH opened at $144.60 on Friday. The company has a quick ratio of 0.32, a current ratio of 1.13 and a debt-to-equity ratio of 54.96. The stock’s 50 day moving average price is $169.49 and its two-hundred day moving average price is $154.48. RH has a 52-week low of $106.30 and a 52-week high of $257.00. The stock has a market capitalization of $2.73 billion, a P/E ratio of 27.91, a PEG ratio of 3.53 and a beta of 1.87.

RH (NYSE:RH) last issued its 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 return on equity of 423.79% and a net margin of 3.01%.The company had revenue of $800.33 million during the quarter, compared to analyst estimates of $792.55 million. During the same quarter last year, the firm earned $0.13 EPS. The business’s revenue was down 1.7% on a year-over-year basis. On average, analysts anticipate that RH will post 4.2 earnings per share for the current fiscal year.

Key Stories Impacting RH

Here are the key news stories impacting RH this week:

• Positive Sentiment: RH’s latest quarterly results exceeded expectations: its adjusted loss of $1.97 per share was better than the $2.12 consensus estimate, while revenue of $800.3 million topped estimates of $792.6 million.
• Neutral Sentiment: The company’s shares remain highly volatile, with a beta of 1.87, and are trading below their 50-day moving average, suggesting continued investor caution.
• Negative Sentiment: Revenue declined 1.7% year over year, and RH swung to a quarterly loss from earnings of $0.13 per share in the prior-year period. The weaker sales trend and pressure on profitability may be weighing on sentiment despite the earnings beat.
• Negative Sentiment: RH’s quick ratio of 0.32 and debt-to-equity ratio of 54.96 indicate a relatively leveraged balance sheet and limited liquid-asset coverage, which could amplify concerns if demand remains soft.

Insider Transactions at RH

In other news, Director Carlos Alberini purchased 11,388 shares of the 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 completion of the transaction, the director owned 32,190 shares of the company’s stock, valued at approximately $5,179,371. The trade was a 54.74% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Gary G. Friedman sold 48,238 shares of the stock in a transaction dated 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 directly owned 3,226,337 shares in the company, valued at approximately $511,890,628.42. This trade represents a 1.47% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 132,749 shares of company stock worth $21,856,812. 26.90% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. California State Teachers Retirement System raised its holdings in shares of RH by 16,138.1% during the second quarter. California State Teachers Retirement System now owns 2,835,168 shares of the company’s stock valued at $467,037,000 after buying an additional 2,817,708 shares during the last quarter. BlackRock Inc. increased its position in RH by 41.7% in the 2nd quarter. BlackRock Inc. now owns 1,978,271 shares of the company’s stock valued at $325,881,000 after acquiring an additional 581,710 shares during the period. Alyeska Investment Group L.P. raised its stake in RH by 4.4% during the 2nd quarter. Alyeska Investment Group L.P. now owns 1,708,997 shares of the company’s stock valued at $281,523,000 after acquiring an additional 72,674 shares in the last quarter. Senvest Management LLC raised its stake in RH by 30.1% during the 4th quarter. Senvest Management LLC now owns 842,577 shares of the company’s stock valued at $150,948,000 after acquiring an additional 194,773 shares in the last quarter. Finally, Durable Capital Partners LP boosted its position in RH by 125.1% during the 2nd quarter. Durable Capital Partners LP now owns 646,097 shares of the company’s stock worth $122,119,000 after acquiring an additional 359,101 shares during the period. Institutional investors own 90.17% of the company’s stock.

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.