RH (NYSE:RH) Trading Down 10.2% – Here’s Why

RH (NYSE:RH)’s stock price dropped 10.2% on Monday . The stock traded as low as $236.91 and last traded at $235.57. Approximately 328,811 shares were traded during trading, a decline of 47% from the average daily volume of 617,832 shares. The stock had previously closed at $262.43.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on RH shares. Stifel Nicolaus upped their target price on shares of RH from $420.00 to $500.00 and gave the stock a “buy” rating in a research note on Monday, December 16th. Guggenheim increased their price objective on shares of RH from $425.00 to $550.00 and gave the company a “buy” rating in a research note on Friday, December 13th. Wedbush restated an “outperform” rating and issued a $500.00 target price on shares of RH in a research note on Tuesday, February 18th. StockNews.com raised RH from a “sell” rating to a “hold” rating in a research report on Tuesday. Finally, Telsey Advisory Group raised RH from a “market perform” rating to an “outperform” rating and boosted their price objective for the stock from $485.00 to $500.00 in a research report on Thursday, December 19th. One investment analyst has rated the stock with a sell rating, five have given a hold rating and eleven have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $431.60.

RH Stock Down 1.2 %

The firm’s 50-day moving average price is $381.86 and its 200-day moving average price is $354.06. The company has a market cap of $4.29 billion, a P/E ratio of 66.29, a price-to-earnings-growth ratio of 2.65 and a beta of 2.50.

RH (NYSE:RH) last issued its earnings results on Thursday, December 12th. The company reported $2.48 EPS for the quarter, missing the consensus estimate of $2.67 by ($0.19). The company had revenue of $811.73 million during the quarter, compared to the consensus estimate of $812.19 million. RH had a negative return on equity of 35.72% and a net margin of 2.25%. The firm’s revenue for the quarter was up 8.1% compared to the same quarter last year. During the same quarter in the prior year, the business earned ($0.42) EPS. As a group, analysts forecast that RH will post 4.39 earnings per share for the current year.

Insider Activity at RH

In other RH news, Director Keith Belling sold 500 shares of the business’s stock in a transaction on Tuesday, December 17th. The shares were sold at an average price of $415.00, for a total value of $207,500.00. Following the completion of the sale, the director now directly owns 5,470 shares of the company’s stock, valued at $2,270,050. The trade was a 8.38 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Eri Chaya sold 25,000 shares of the stock in a transaction dated Tuesday, January 14th. The shares were sold at an average price of $426.41, for a total value of $10,660,250.00. The disclosure for this sale can be found here. Over the last quarter, insiders sold 66,880 shares of company stock valued at $29,129,879. Company insiders own 28.10% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in RH. FMR LLC increased its position in RH by 0.7% during the 4th quarter. FMR LLC now owns 2,790,314 shares of the company’s stock valued at $1,098,240,000 after purchasing an additional 18,040 shares during the period. Vanguard Group Inc. increased its stake in RH by 1.3% during the 4th quarter. Vanguard Group Inc. now owns 1,402,010 shares of the company’s stock valued at $551,817,000 after purchasing an additional 18,389 shares in the last quarter. Anomaly Capital Management LP raised its holdings in RH by 9.6% in the fourth quarter. Anomaly Capital Management LP now owns 481,111 shares of the company’s stock worth $189,360,000 after buying an additional 41,986 shares during the last quarter. Alliancebernstein L.P. lifted its stake in shares of RH by 1,960.8% in the fourth quarter. Alliancebernstein L.P. now owns 363,698 shares of the company’s stock worth $143,148,000 after buying an additional 346,050 shares in the last quarter. Finally, Senvest Management LLC grew its holdings in shares of RH by 35.6% during the fourth quarter. Senvest Management LLC now owns 315,368 shares of the company’s stock valued at $124,126,000 after buying an additional 82,742 shares during the last quarter. Institutional investors own 90.17% of the company’s stock.

RH Company Profile

RH, together with its subsidiaries, operates as a retailer in the home furnishings market. The company offers products in various categories, including furniture, lighting, textiles, bathware, décor, outdoor and garden, baby, child, and teen furnishings. It provides its products through rh.com, rhbabyandchild.com, rhteen.com, rhmodern.com, and waterworks.com online channels, as well as operates RH Galleries, RH outlet stores, RH Guesthouse, and Waterworks showrooms in the United States, Canada, the United Kingdom, and Germany.