Added to YB: 2026-09-29
Pitch date: 2026-09-24
RH [bullish]
RH
-3.68%
current return
Author Info
M Squared Capital is a former sell-side analyst in the Retail/Consumer industry sharing analysis on retail/consumer stocks. Sign up for the newsletter.
Company Info
RH, together with its subsidiaries, operates as a retailer and lifestyle brand in the home furnishings market in the United States, Canada, the United Kingdom, Germany, Belgium, and Spain.
Market Cap
$2.4B
Pitch Price
$122.37
Price Target
N/A
Dividend
N/A
EV/EBITDA
10.11
P/E
21.93
EV/Sales
1.84
Sector
Specialty Retail
Category
value
Restoration Hardware: Upon Further Review – Post 2Q26 Thoughts
RH (earnings): A reasonable 2026 EPS range is $5-$7 versus roughly $5.40 consensus. Customer deposits reached their highest level since 1Q22, while inventory days fell to their lowest since 2022. A path to $4B of 2027 revenue, near-10% EBIT margins and roughly $9 of earnings power looks attractive at the current valuation, but increasing international profitability drag and structural business-model challenges limit upside.
Read full article (3 min)