RH (NYSE:RH) Shares Down 6% – Here’s Why

RH (NYSE:RH) was down 6% on Friday . The stock traded as low as $147.00 and last traded at $149.7490. Approximately 594,811 shares were traded during mid-day trading, a decline of 48% from the average daily volume of 1,143,033 shares. The stock had previously closed at $159.32.

Key RH News

Here are the key news stories impacting RH this week:

• Positive Sentiment: RH posted stronger-than-expected Q1 results, with revenue of $800.3 million and EPS of -$1.97, both ahead of Wall Street estimates, and several analysts responded by raising forecasts or reiterating bullish views. Article Title
• Positive Sentiment: The company raised FY2026 sales guidance to 4.5%–8% growth and now expects $3.6 billion to $3.7 billion in revenue for the year, which supports the longer-term turnaround story. Article Title
• Positive Sentiment: Guggenheim reaffirmed a Buy rating and set a $200 price target, suggesting meaningful upside if RH can execute on its recovery plan. Article Title
• Neutral Sentiment: Robert W. Baird raised its price target to $150 while keeping a Neutral rating, reflecting improved expectations but continued caution on the stock’s valuation and near-term execution. Article Title
• Neutral Sentiment: RH’s Q2 revenue guidance came in below consensus, and management said tariff-related sourcing changes are delaying deliveries into future periods, creating near-term uncertainty. Article Title
• Negative Sentiment: Investors are also weighing a GAAP net loss and ongoing margin pressure, which is overshadowing the better Q1 print and keeping sentiment cautious. Article Title
• Negative Sentiment: Zacks added RH to its Strong Sell list, adding another bearish signal that may be pressuring the shares. Article Title

Analyst Ratings Changes

Several equities analysts have recently weighed in on RH shares. Guggenheim restated a “buy” rating and issued a $200.00 price objective on shares of RH in a report on Friday. Stifel Nicolaus raised their price objective on RH from $110.00 to $130.00 and gave the company a “hold” rating in a report on Friday. The Goldman Sachs Group decreased their price objective on RH from $101.00 to $88.00 and set a “sell” rating for the company in a report on Tuesday, April 7th. Barclays decreased their price objective on RH from $283.00 to $202.00 and set an “overweight” rating for the company in a report on Thursday, April 2nd. Finally, Morgan Stanley restated an “overweight” rating and issued a $240.00 price objective on shares of RH in a report on Monday, May 11th. Seven research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $171.47.

RH Price Performance

The company has a debt-to-equity ratio of 51.28, a quick ratio of 0.31 and a current ratio of 1.19. The company has a market cap of $2.90 billion, a P/E ratio of 29.57, a PEG ratio of 2.81 and a beta of 1.91. The company has a fifty day moving average price of $135.22 and a two-hundred day moving average price of $162.79.

RH (NYSE:RH) last posted its quarterly earnings results on Thursday, June 11th. The company reported ($1.97) EPS for the quarter, topping analysts’ consensus estimates of ($2.13) by $0.16. RH had a return on equity of 1,102.95% and a net margin of 3.01%.The business had revenue of $800.33 million during the quarter, compared to analysts’ expectations of $792.55 million. During the same quarter last year, the company posted $0.13 earnings per share. RH’s quarterly revenue was down 1.7% on a year-over-year basis. On average, sell-side analysts anticipate that RH will post 5.35 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Eri Chaya sold 11,000 shares of RH stock in a transaction dated Tuesday, March 31st. The stock was sold at an average price of $137.92, for a total transaction of $1,517,120.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders sold a total of 25,000 shares of company stock worth $3,370,440 in the last three months. Company insiders own 26.90% of the company’s stock.

Hedge Funds Weigh In On RH

A number of hedge funds and other institutional investors have recently bought and sold shares of RH. Clearstead Advisors LLC grew its holdings in RH by 713.3% during the third quarter. Clearstead Advisors LLC now owns 122 shares of the company’s stock worth $25,000 after purchasing an additional 107 shares during the period. Huntington National Bank grew its holdings in RH by 87.8% during the third quarter. Huntington National Bank now owns 139 shares of the company’s stock worth $28,000 after purchasing an additional 65 shares during the period. Harvest Fund Management Co. Ltd bought a new position in RH during the third quarter worth about $30,000. Wilmington Savings Fund Society FSB grew its holdings in RH by 200.0% during the fourth quarter. Wilmington Savings Fund Society FSB now owns 174 shares of the company’s stock worth $31,000 after purchasing an additional 116 shares during the period. Finally, Advisory Services Network LLC bought a new position in RH during the third quarter worth about $31,000. 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.