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Restoration Hardware (RH) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Restoration Hardware (RH - Free Report) closed at $616.31, marking a -1.88% move from the previous day. This change lagged the S&P 500's 0.29% loss on the day.
Prior to today's trading, shares of the furniture and housewares company had lost 1.24% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 4.2% and the S&P 500's loss of 1.27% in that time.
Investors will be hoping for strength from RH as it approaches its next earnings release. On that day, RH is projected to report earnings of $4.12 per share, which would represent year-over-year growth of 224.41%. Our most recent consensus estimate is calling for quarterly revenue of $752.13 million, up 55.75% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.92 per share and revenue of $3.37 billion, which would represent changes of +17.33% and +18.4%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for RH. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.22% lower. RH is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, RH is currently trading at a Forward P/E ratio of 30.02. This valuation marks a premium compared to its industry's average Forward P/E of 18.04.
It is also worth noting that RH currently has a PEG ratio of 2.02. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Home Furnishings was holding an average PEG ratio of 1.69 at yesterday's closing price.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Restoration Hardware (RH) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Restoration Hardware (RH - Free Report) closed at $616.31, marking a -1.88% move from the previous day. This change lagged the S&P 500's 0.29% loss on the day.
Prior to today's trading, shares of the furniture and housewares company had lost 1.24% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 4.2% and the S&P 500's loss of 1.27% in that time.
Investors will be hoping for strength from RH as it approaches its next earnings release. On that day, RH is projected to report earnings of $4.12 per share, which would represent year-over-year growth of 224.41%. Our most recent consensus estimate is calling for quarterly revenue of $752.13 million, up 55.75% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.92 per share and revenue of $3.37 billion, which would represent changes of +17.33% and +18.4%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for RH. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.22% lower. RH is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, RH is currently trading at a Forward P/E ratio of 30.02. This valuation marks a premium compared to its industry's average Forward P/E of 18.04.
It is also worth noting that RH currently has a PEG ratio of 2.02. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Home Furnishings was holding an average PEG ratio of 1.69 at yesterday's closing price.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.