RH (NYSE:RH) Posts Earnings Results, Misses Expectations By $0.42 EPS

RH (NYSE:RH) posted its quarterly earnings results on Thursday. The company reported $1.71 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.13 by ($0.42), Zacks reports. The business had revenue of $883.81 million during the quarter, compared to the consensus estimate of $883.65 million. RH had a negative return on equity of 113.58% and a net margin of 3.20%.

RH Price Performance

Shares of NYSE RH traded down $3.64 during mid-day trading on Thursday, hitting $153.58. The company’s stock had a trading volume of 2,367,477 shares, compared to its average volume of 1,222,442. RH has a one year low of $123.03 and a one year high of $457.26. The stock has a market cap of $2.88 billion, a price-to-earnings ratio of 28.60, a price-to-earnings-growth ratio of 0.75 and a beta of 2.09. The company’s fifty day simple moving average is $169.36 and its 200-day simple moving average is $194.45.

Insider Transactions at RH

In related news, Director Mark S. Demilio sold 2,000 shares of the business’s stock in a transaction on Friday, September 19th. The shares were sold at an average price of $236.13, for a total value of $472,260.00. Following the sale, the director directly owned 24,616 shares of the company’s stock, valued at approximately $5,812,576.08. The trade was a 7.51% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 27.00% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Durable Capital Partners LP raised its stake in shares of RH by 125.1% during the second quarter. Durable Capital Partners LP now owns 646,097 shares of the company’s stock valued at $122,119,000 after acquiring an additional 359,101 shares during the last quarter. Alliancebernstein L.P. grew its position in shares of RH by 66.1% during the 3rd quarter. Alliancebernstein L.P. now owns 573,666 shares of the company’s stock worth $116,546,000 after buying an additional 228,229 shares during the period. Two Sigma Investments LP grew its holdings in RH by 40.9% in the third quarter. Two Sigma Investments LP now owns 359,093 shares of the company’s stock worth $72,953,000 after purchasing an additional 104,154 shares during the period. Alyeska Investment Group L.P. grew its stake in RH by 200.5% in the third quarter. Alyeska Investment Group L.P. now owns 297,694 shares of the company’s stock valued at $60,480,000 after acquiring an additional 198,615 shares during the period. Finally, Scopus Asset Management L.P. acquired a new position in shares of RH during the second quarter valued at about $30,457,000. 90.17% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on RH. Wells Fargo & Company raised their price target on RH from $275.00 to $295.00 and gave the stock an “overweight” rating in a report on Monday, September 8th. Weiss Ratings reissued a “hold (c-)” rating on shares of RH in a research note on Wednesday, October 8th. Zacks Research upgraded RH from a “strong sell” rating to a “hold” rating in a report on Monday, December 1st. Barclays reduced their price target on shares of RH from $436.00 to $385.00 and set an “overweight” rating for the company in a research report on Friday, September 12th. Finally, Citigroup increased their price target on shares of RH from $200.00 to $233.00 and gave the stock a “neutral” rating in a research report on Wednesday, September 3rd. Ten research analysts have rated the stock with a Buy rating, eight have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $259.69.

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.