Company Performance - RH's stock closed at $184.14, showing a slight increase of +0.16% from the previous day, but underperformed compared to the S&P 500's gain of 0.4% [1] - Over the past month, RH's shares experienced a loss of 0.1%, lagging behind the Consumer Staples sector's gain of 1.13% and the S&P 500's gain of 6.69% [1] Earnings Forecast - The upcoming earnings report for RH is expected to show an EPS of -$0.09, which represents a significant increase of 77.5% compared to the same quarter last year [2] - Revenue is forecasted to be $818.86 million, indicating a growth of 12.64% year-over-year [2] Full Year Projections - For the full year, earnings are projected at $10.74 per share and revenue at $3.53 billion, reflecting increases of +99.26% and +11.08% respectively from the previous year [3] - Recent adjustments to analyst estimates for RH indicate a positive outlook, suggesting optimism regarding the company's business and profitability [3] Valuation Metrics - RH's current Forward P/E ratio stands at 17.12, which is lower than the industry average Forward P/E of 20.29, indicating a potential valuation discount [6] - The company has a PEG ratio of 0.55, significantly lower than the Consumer Products - Staples industry's average PEG ratio of 3.52, suggesting favorable growth expectations relative to its valuation [7] Industry Context - The Consumer Products - Staples industry, which includes RH, has a Zacks Industry Rank of 171, placing it in the bottom 31% of over 250 industries [8] - Historical data shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1, highlighting the competitive landscape within the sector [8]
RH (RH) Increases Yet Falls Behind Market: What Investors Need to Know