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Restoration Hardware (RH) Gains But Lags Market: What You Should Know
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In the latest trading session, Restoration Hardware (RH - Free Report) closed at $638.60, marking a +0.09% move from the previous day. The stock lagged the S&P 500's daily gain of 0.19%.
Heading into today, shares of the furniture and housewares company had lost 10.44% over the past month, lagging the Retail-Wholesale sector's loss of 2.67% and the S&P 500's gain of 0.37% in that time.
Investors will be hoping for strength from RH as it approaches its next earnings release. In that report, analysts expect RH to post earnings of $4.14 per share. This would mark year-over-year growth of 225.98%. Our most recent consensus estimate is calling for quarterly revenue of $752.13 million, up 55.75% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.92 per share and revenue of $3.37 billion, which would represent changes of +17.33% and +18.4%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for RH. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% lower. RH is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, RH is holding a Forward P/E ratio of 30.5. Its industry sports an average Forward P/E of 17.9, so we one might conclude that RH is trading at a premium comparatively.
Meanwhile, RH's PEG ratio is currently 2.05. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Home Furnishings was holding an average PEG ratio of 2 at yesterday's closing price.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Restoration Hardware (RH) Gains But Lags Market: What You Should Know
In the latest trading session, Restoration Hardware (RH - Free Report) closed at $638.60, marking a +0.09% move from the previous day. The stock lagged the S&P 500's daily gain of 0.19%.
Heading into today, shares of the furniture and housewares company had lost 10.44% over the past month, lagging the Retail-Wholesale sector's loss of 2.67% and the S&P 500's gain of 0.37% in that time.
Investors will be hoping for strength from RH as it approaches its next earnings release. In that report, analysts expect RH to post earnings of $4.14 per share. This would mark year-over-year growth of 225.98%. Our most recent consensus estimate is calling for quarterly revenue of $752.13 million, up 55.75% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.92 per share and revenue of $3.37 billion, which would represent changes of +17.33% and +18.4%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for RH. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% lower. RH is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, RH is holding a Forward P/E ratio of 30.5. Its industry sports an average Forward P/E of 17.9, so we one might conclude that RH is trading at a premium comparatively.
Meanwhile, RH's PEG ratio is currently 2.05. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Home Furnishings was holding an average PEG ratio of 2 at yesterday's closing price.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.