What's Going On With RH Stock Today?

RH RH shares are trading lower Friday after the company reported financial results and issued weak guidance.

RH said first-quarter revenue increased 11% year-over-year to $957.29 million, which beat the estimate of $924.81 million, according to data from Benzinga Pro. The company reported quarterly earnings of $7.78 per share, which beat the estimate of $5.38 per share. 

"Despite our record financial performance in the first quarter, we have experienced softening demand trends which began at the time of the Russian invasion of Ukraine and have further slowed during the market disruption over the past several months," said Gary Friedman, CEO of RH.

RH said it expects second-quarter net revenue to be down 1% to 3%. The company expects full-year revenue growth to be flat to up 2%. 

Analyst Assessment:

• Telsey Advisory Group analyst Joseph Feldman maintained RH with an Outperform rating and lowered the price target from $400 to $375.
• Wells Fargo analyst Zachary Fadem maintained RH with an Overweight rating and lowered the price target from $500 to $400.
• Morgan Stanley analyst Simeon Gutman maintained RH with an Equal-Weight rating and lowered the price target from $400 to $385.
• Cowen & Co. analyst Max Rakhlenko maintained RH with an Outperform rating and lowered the price target from $550 to $450.

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RH Price Action: RH shares have traded between $236.29 and $744.56 over a 52-week period.

The stock was down 3.04% at $292.86 at press time.

Photo: khiem tran from Pixabay.