The Goldman Sachs Group Upgrades RH (NYSE:RH) to Neutral

RH (NYSE:RH) was upgraded by investment analysts at The Goldman Sachs Group from a “sell” rating to a “neutral” rating in a report released on Thursday,Finviz reports. The firm currently has a $374.00 price target on the stock, up from their previous price target of $261.00. The Goldman Sachs Group’s target price suggests a potential downside of 11.61% from the company’s current price.

RH has been the subject of a number of other research reports. Stifel Nicolaus boosted their target price on shares of RH from $420.00 to $500.00 and gave the stock a “buy” rating in a research report on Monday, December 16th. BNP Paribas reissued an “underperform” rating and issued a $253.00 price objective on shares of RH in a research report on Wednesday, November 13th. Barclays raised shares of RH from an “equal weight” rating to an “overweight” rating and boosted their target price for the stock from $383.00 to $515.00 in a research report on Wednesday, January 8th. Wells Fargo & Company increased their price target on shares of RH from $425.00 to $500.00 and gave the company an “overweight” rating in a report on Friday, December 13th. Finally, Loop Capital boosted their price objective on shares of RH from $320.00 to $450.00 and gave the stock a “hold” rating in a report on Monday, December 16th. Two investment analysts have rated the stock with a sell rating, four have given a hold rating and eleven have given a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $431.60.

RH Price Performance

RH opened at $423.11 on Thursday. The company has a market capitalization of $7.87 billion, a PE ratio of 121.58, a price-to-earnings-growth ratio of 10.14 and a beta of 2.43. RH has a fifty-two week low of $212.43 and a fifty-two week high of $457.26. The business has a 50-day moving average of $402.49 and a 200-day moving average of $335.34.

RH (NYSE:RH) last announced its quarterly earnings results on Thursday, December 12th. The company reported $2.48 EPS for the quarter, missing the consensus estimate of $2.67 by ($0.19). The business had revenue of $811.73 million for the quarter, compared to analyst estimates of $812.19 million. RH had a negative return on equity of 35.72% and a net margin of 2.25%. The business’s revenue for the quarter was up 8.1% compared to the same quarter last year. During the same quarter last year, the company earned ($0.42) EPS. On average, equities research analysts expect that RH will post 4.37 earnings per share for the current fiscal year.

Insider Transactions at RH

In related news, insider Eri Chaya sold 25,000 shares of the company’s stock in a transaction on Tuesday, January 21st. The shares were sold at an average price of $450.45, for a total value of $11,261,250.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CAO Christina Hargarten sold 5,280 shares of RH stock in a transaction dated Friday, January 17th. The stock was sold at an average price of $447.20, for a total value of $2,361,216.00. Following the transaction, the chief accounting officer now owns 484 shares in the company, valued at approximately $216,444.80. This represents a 91.60 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 66,880 shares of company stock worth $29,129,879 in the last three months. Insiders own 28.10% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of RH. UMB Bank n.a. increased its stake in RH by 125.8% in the 4th quarter. UMB Bank n.a. now owns 70 shares of the company’s stock valued at $28,000 after buying an additional 39 shares during the last quarter. Versant Capital Management Inc increased its position in shares of RH by 7,000.0% in the fourth quarter. Versant Capital Management Inc now owns 71 shares of the company’s stock valued at $28,000 after acquiring an additional 70 shares during the last quarter. GAMMA Investing LLC raised its holdings in RH by 533.3% during the fourth quarter. GAMMA Investing LLC now owns 76 shares of the company’s stock worth $30,000 after acquiring an additional 64 shares in the last quarter. Blue Trust Inc. boosted its position in RH by 308.3% during the third quarter. Blue Trust Inc. now owns 98 shares of the company’s stock valued at $33,000 after purchasing an additional 74 shares during the last quarter. Finally, Golden State Wealth Management LLC bought a new position in RH in the fourth quarter valued at approximately $68,000. 90.17% of the stock is owned by institutional investors and hedge funds.

About RH

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.