Note: RH FY'24 ended on February 1, 2025
RH (NYSE:RH) shares surged almost 20% premarket after the luxury furniture store's first quarter earnings impressed investors and it reaffirmed its full-year outlook despite challenges in the housing market and tariff uncertainty. The company posted earnings per share of $0.13 for the quarter, an improvement from a loss per share of $0.40 and significantly beating estimates of a loss per share of $0.07.
RH (NYSE:RH ) Q1 2025 Earnings Conference Call June 12, 2025 5:00 PM ET Company Participants Eri Chaya - President, Co-Chief Merchandising & Creative Officer and Director Gary G. Friedman - Chairman & CEO Jack M.
RH shares jumped as the company said it is taking steps to offset the effects of tariffs. The company topped Wall Street's first-quarter earnings expectations but missed sales estimates.
RH's fiscal first-quarter results are likely to reflect revenue growth, driven by product expansion and global rollout, despite margin headwinds.
Get a deeper insight into the potential performance of RH (RH) for the quarter ended April 2025 by going beyond Wall Street's top -and-bottom-line estimates and examining the estimates for some of its key metrics.
RH's transformation into a luxury lifestyle brand is underappreciated by the market, creating long-term growth potential and eventual re-rating. Short-term risks like tariffs, European expansion challenges, and macro headwinds are manageable, with management focused on strategic capital allocation. Innovative concepts—such as flagship galleries, hospitality, and branded residences—differentiate RH from typical furniture retailers and build brand equity.
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RH (RH) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
In the latest trading session, RH (RH) closed at $178.19, marking a +0.83% move from the previous day.
RH stock is risky due to high debt and cyclical exposure, but offers potential upside if management executes expansion plans well. The company faces macroeconomic headwinds, especially from interest rates and housing market weakness, yet expects 10-13% revenue growth through innovation and expansion. RH's valuation appears attractive at 10x forward PE, with potential for 10% CAGR if management delivers and the economic environment improves.
The latest trading day saw RH (RH) settling at $184.14, representing a +0.16% change from its previous close.