RH (NYSE:RH) Shares Gap Up – Here’s Why

RH (NYSE:RH)’s stock price gapped up prior to trading on Wednesday . The stock had previously closed at $323.68, but opened at $339.45. RH shares last traded at $338.42, with a volume of 112,731 shares trading hands.

Wall Street Analyst Weigh In

A number of research firms recently commented on RH. Telsey Advisory Group reaffirmed a “market perform” rating and set a $290.00 price objective on shares of RH in a research note on Tuesday, September 10th. Barclays decreased their price objective on shares of RH from $340.00 to $320.00 and set an “equal weight” rating for the company in a research note on Monday, September 16th. Stifel Nicolaus lifted their price objective on RH from $315.00 to $375.00 and gave the stock a “buy” rating in a report on Monday, September 16th. JPMorgan Chase & Co. lowered their target price on shares of RH from $345.00 to $338.00 and set an “overweight” rating for the company in a research note on Monday, September 16th. Finally, Citigroup boosted their target price on shares of RH from $340.00 to $355.00 and gave the company a “buy” rating in a research note on Friday, September 13th. Three analysts have rated the stock with a sell rating, six have issued a hold rating and seven have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, RH has an average rating of “Hold” and a consensus price target of $326.14.

RH Trading Up 2.4 %

The stock has a market capitalization of $6.36 billion, a price-to-earnings ratio of 202.78, a PEG ratio of 1.83 and a beta of 2.43. The company’s 50-day simple moving average is $329.94 and its 200-day simple moving average is $284.94.

RH (NYSE:RH) last posted its quarterly earnings results on Thursday, September 12th. The company reported $1.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.56 by $0.13. RH had a negative return on equity of 11.29% and a net margin of 1.13%. The firm had revenue of $829.66 million for the quarter, compared to analysts’ expectations of $824.52 million. During the same period in the prior year, the business earned $3.93 EPS. The company’s revenue for the quarter was up 3.6% compared to the same quarter last year. On average, equities research analysts expect that RH will post 5.66 earnings per share for the current fiscal year.

Insider Transactions at RH

In other news, insider Edward T. Lee sold 2,000 shares of the stock in a transaction that occurred on Friday, October 18th. The stock was sold at an average price of $353.57, for a total transaction of $707,140.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Stefan Duban sold 4,285 shares of RH stock in a transaction that occurred on Thursday, September 19th. The stock was sold at an average price of $346.37, for a total value of $1,484,195.45. Following the completion of the sale, the insider now owns 78 shares in the company, valued at approximately $27,016.86. This represents a 98.21 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 8,285 shares of company stock worth $2,871,935. 28.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On RH

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Lazard Asset Management LLC increased its stake in RH by 68.7% in the 1st quarter. Lazard Asset Management LLC now owns 13,660 shares of the company’s stock worth $4,757,000 after buying an additional 5,565 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its position in RH by 10.3% during the first quarter. Price T Rowe Associates Inc. MD now owns 665,383 shares of the company’s stock valued at $231,728,000 after purchasing an additional 62,198 shares during the last quarter. Bamco Inc. NY increased its holdings in shares of RH by 128.3% in the 1st quarter. Bamco Inc. NY now owns 94,998 shares of the company’s stock worth $33,084,000 after buying an additional 53,395 shares during the last quarter. Caxton Associates LP lifted its holdings in shares of RH by 221.1% in the 1st quarter. Caxton Associates LP now owns 8,327 shares of the company’s stock valued at $2,900,000 after acquiring an additional 5,734 shares during the last quarter. Finally, Bayesian Capital Management LP purchased a new position in RH in the first quarter worth about $3,274,000. 90.17% of the stock is owned by institutional investors.

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.