RH shares tumble on Q2 results, tariff woes

Core Insights - The company reported an adjusted earnings of $2.93, but revenue of $899 million fell short of the expected $95 million [1] - The company anticipates a $30 million impact from tariffs, which is a significant concern for its outlook [1] - Shares of the company have declined by approximately 15% due to detailed discussions about tariff impacts and uncertainties surrounding new tariffs [3] Industry Context - The company is facing additional scrutiny as President Trump has announced an investigation into furniture makers, steel, and aluminum industries [2] - The company is adapting by reducing reliance on China and shifting operations to North Carolina [3] - The overall outlook for the industry appears to be becoming more uncertain due to potential new tariffs and ongoing investigations [3]