RH (NYSE:RH) Hits New 12-Month Low – Should You Sell?

Shares of RH (NYSE:RH) reached a new 52-week low during mid-day trading on Thursday . The company traded as low as $212.04 and last traded at $214.47, with a volume of 942547 shares changing hands. The stock had previously closed at $241.02.

Wall Street Analyst Weigh In

RH has been the topic of a number of research reports. Wells Fargo & Company upped their price target on RH from $425.00 to $500.00 and gave the stock an “overweight” rating in a report on Friday, December 13th. StockNews.com upgraded RH from a “sell” rating to a “hold” rating in a research report on Tuesday. Telsey Advisory Group upgraded shares of RH from a “market perform” rating to an “outperform” rating and boosted their price objective for the stock from $485.00 to $500.00 in a research report on Thursday, December 19th. Barclays upgraded shares of RH from an “equal weight” rating to an “overweight” rating and raised their target price for the company from $383.00 to $515.00 in a report on Wednesday, January 8th. Finally, Morgan Stanley raised shares of RH from an “equal weight” rating to an “overweight” rating and upped their price target for the company from $435.00 to $530.00 in a report on Monday, January 13th. One investment analyst has rated the stock with a sell rating, five have issued a hold rating and eleven have given a buy rating to the stock. Based on data from MarketBeat.com, RH presently has a consensus rating of “Moderate Buy” and an average price target of $431.60.

RH Stock Performance

The company’s fifty day moving average price is $371.63 and its two-hundred day moving average price is $351.94. The firm has a market capitalization of $4.19 billion, a PE ratio of 64.67, a price-to-earnings-growth ratio of 2.65 and a beta of 2.50.

RH (NYSE:RH) last announced its quarterly earnings results on Thursday, December 12th. The company reported $2.48 earnings per share for the quarter, missing analysts’ consensus estimates of $2.67 by ($0.19). The company had revenue of $811.73 million during the quarter, compared to analyst estimates of $812.19 million. RH had a net margin of 2.25% and a negative return on equity of 35.72%. The firm’s revenue for the quarter was up 8.1% compared to the same quarter last year. During the same quarter last year, the business earned ($0.42) EPS. On average, equities analysts expect that RH will post 4.39 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Keith Belling sold 500 shares of the stock in a transaction on Tuesday, December 17th. The stock was sold at an average price of $415.00, for a total value of $207,500.00. Following the completion of the sale, the director now directly owns 5,470 shares in the company, valued at approximately $2,270,050. This represents a 8.38 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Christina Hargarten sold 5,280 shares of the business’s 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 position. The disclosure for this sale can be found here. Insiders sold 66,880 shares of company stock worth $29,129,879 over the last three months. 28.10% of the stock is owned by insiders.

Institutional Investors Weigh In On RH

Several hedge funds have recently modified their holdings of the stock. Crossmark Global Holdings Inc. raised its stake in shares of RH by 16.4% during the third quarter. Crossmark Global Holdings Inc. now owns 1,138 shares of the company’s stock valued at $380,000 after purchasing an additional 160 shares during the period. GSA Capital Partners LLP purchased a new stake in RH during the 3rd quarter worth $311,000. KBC Group NV lifted its holdings in RH by 25.8% in the 3rd quarter. KBC Group NV now owns 454 shares of the company’s stock worth $152,000 after buying an additional 93 shares in the last quarter. Quest Partners LLC boosted its position in RH by 57.5% in the 3rd quarter. Quest Partners LLC now owns 898 shares of the company’s stock valued at $300,000 after buying an additional 328 shares during the last quarter. Finally, Landscape Capital Management L.L.C. acquired a new stake in shares of RH during the third quarter valued at about $201,000. 90.17% of the stock is currently owned by hedge funds and other institutional investors.

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.