RH Stock Research

Market Summary

USD248.29+4.09

Market Closed

1.67%

RH Stock Price

RH RSI Chart

RH Valuation

Market Cap

5.9B

Price/Earnings (Trailing)

10.31

Price/Sales (Trailing)

1.57

EV/EBITDA

4.96

Price/Free Cashflow

18.14

RH Price/Sales (Trailing)

RH Profitability

EBT Margin

16.47%

Return on Equity

43.96%

Return on Assets

9.67%

Free Cashflow Yield

5.51%

RH Fundamentals

RH Revenue

Revenue (TTM)

3.9B

RH Earnings

Earnings (TTM)

568.8M

Earnings Y/Y

-46.35%

Earnings Q/Q

-19.23%

Price Action

52 Week Range

207.37390.85

(Low)(High)

Last 7 days

-12.7%

Last 30 days

-23.7%

Last 90 days

-6.0%

Trailing 12 Months

-28.2%

RH Financial Health

Current Ratio

3.49

RH Investor Care

Shares Dilution (1Y)

10.17%

Diluted EPS (TTM)

26.25

Peers (Alternatives to RH)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
BBY	17.1B	47.9B	-13.42%	-22.11%	11	0.36	-8.42%	-41.38%
MID-CAP
WSM	8.0B	8.7B	-9.12%	-18.69%	6.79	0.92	8.52%	13.90%
AN	6.2B	27.0B	-7.44%	8.91%	4.49	0.23	4.41%	0.32%
LAD	5.9B	28.2B	-23.37%	-34.80%	4.69	0.21	23.46%	18.01%
RH	5.9B	3.9B	-23.73%	-28.25%	10.31	1.57	10.04%	-15.32%
GME	5.1B	6.0B	-18.99%	-22.80%	-10.02	0.86	1.29%	-231.90%
FL	4.0B	8.8B	-8.92%	36.91%	9.36	0.46	-0.59%	-53.34%
GPS	3.7B	15.6B	-28.99%	-30.03%	-18.17	0.24	-6.32%	-178.91%
SIG	3.5B	8.0B	-12.15%	-5.59%	8.38	0.43	10.91%	-41.72%
SMALL-CAP
BKE	1.8B	1.3B	-16.70%	3.82%	7.21	1.37	7.45%	6.00%
CWH	883.4M	7.0B	-18.31%	-29.13%	6.45	0.13	0.77%	-50.82%
TCS	172.4M	1.1B	-19.33%	-55.07%	3.22	0.16	-0.92%	-42.81%
CONN	167.4M	1.4B	-33.77%	-65.50%	-18.75	0.12	-9.34%	-107.10%
BBBY	124.4M	6.2B	-49.51%	-94.95%	-0.1	0.02	-26.37%	-225.93%

Financials for RH

Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2021Q4	2021Q3	2021Q2	2021Q1	2020Q4
Revenue	4.6%	3,669	3,506	3,227	2,849	2,701
Gross Profit	-	1,785	-	-	-	-
S&GA Expenses	-	892	-	-	-	-
Earnings Before Taxes	-	817	-	-	-	-
Interest Expenses	-	55.00	-	-	-	-
Net Income	-	672	-	-	-	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	0.9%	5,884	5,831	5,888	5,540	5,420
Current Assets	0.5%	3,266	3,251	3,399	3,091	3,014
Cash Equivalents	3.1%	2,150	2,085	2,243	2,178	2,199
Net PPE	1.5%	1,578	1,555	1,357	1,228	1,196
Goodwill	-0.1%	141	141	141	141	141
Liabilities	-0.5%	4,590	4,611	4,546	4,370	4,399
Current Liabilities	-2.5%	935	959	1,362	1,064	1,096
LT Debt, Current	-23.7%	2.00	2.00	4.00	14.00	19.00
Shareholder's Equity	6.0%	1,294	1,220	1,342	1,170	1,008
Retained Earnings	11.0%	993	894	772	551	404
Additional Paid-In Capital	-6.0%	314	334	576	621	603
Accumulated Depreciation	-	514	-	-	-	-
Shares Outstanding	-0.4%	24.00	24.00	25.00	22.00	21.00

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	-13.7%	464	538	607	662	687
Share Based Compensation	-4.3%	45.00	47.00	46.00	48.00	52.00
Cashflow From Investing	18.3%	-142	-174	-173	-194	-288
Cashflow From Financing	-126.0%	-370	1,426	1,576	1,607	1,708
Buy Backs	-25.0%	382	509	1,547	-	-

Risks for RH

What is the probability of a big loss on RH?

86.2%

Probability that RH stock will be more than 20% underwater in next one year

78.5%

Probability that RH stock will be more than 30% underwater in next one year.

58.5%

Probability that RH stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does RH drawdown profile look like?

Y-axis is the maximum loss one would have experienced if RH was unfortunately bought at previous high price.

Drawdowns

Returns for RH

Cumulative Returns on RH

20.8%

10-Year Cumulative Returns

30.0%

7-Year Cumulative Returns

25.5%

5-Year Cumulative Returns

25.6%

3-Year Cumulative Returns

What are the long-term rolling returns for RH?

FIve years rolling returns for RH.

Annualized Returns

Which funds bought or sold RH recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	reduced	-7.67	2,878	1,128,880	-%
2023-03-06	Rockefeller Capital Management L.P.	reduced	-88.69	-193,000	26,000	-%
2023-03-02	OLIVER LAGORE VANVALIN INVESTMENT GROUP	reduced	-21.28	-26,884	161,116	0.09%
2023-02-28	Voya Investment Management LLC	reduced	-3.73	52,347	1,198,350	-%
2023-02-27	Parallax Volatility Advisers, L.P.	reduced	-93.65	-5,412,220	400,785	-%
2023-02-24	SRS Capital Advisors, Inc.	new	-	1,069	1,069	-%
2023-02-22	TEACHERS RETIREMENT SYSTEM OF THE STATE OF KENTUCKY	added	28.26	239,000	849,000	0.01%
2023-02-21	MACQUARIE GROUP LTD	sold off	-100	-116,000	-	-%
2023-02-21	NORTHWESTERN MUTUAL WEALTH MANAGEMENT CO	reduced	-30.76	-100,539	302,461	-%
2023-02-21	KB FINANCIAL PARTNERS, LLC	unchanged	-	2,000	20,000	0.01%

Latest Funds Activity

Are funds buying RH calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own RH

No. of Funds

RH News

Schedule 13G FIlings of RH

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 14, 2023	d1 capital partners l.p.	7.4%	1,770,635	SC 13G/A
Feb 14, 2023	berkshire hathaway inc	9.9%	2,360,000	SC 13G/A
Feb 14, 2023	lone pine capital llc	7.4%	1,773,069	SC 13G/A
Feb 09, 2023	fmr llc	-	0	SC 13G/A
Feb 09, 2023	vanguard group inc	7.11%	1,702,955	SC 13G/A
Feb 01, 2023	blackrock inc.	6.9%	1,661,401	SC 13G/A
Jan 04, 2023	friedman gary g	20.2%	5,005,063	SC 13D/A
Dec 15, 2022	friedman gary g	19.0%	5,005,063	SC 13D/A
Sep 12, 2022	friedman gary g	21.49%	5,680,158	SC 13D/A
Apr 04, 2022	friedman gary g	20.82%	5,680,158	SC 13D/A

RH Fair Value

RH fair value in different scenarios

The table shows the Fair Value estimates for RH for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	342.32 37.87%	448.23 80.53%	554.91 123.49%	701.99 182.73%	1044.74 320.77%
Current Inflation	228.90 -7.81%	276.89 11.52%	363.54 46.42%	453.70 82.73%	539.30 117.21%
Very High Inflation	282.52 13.79%	355.81 43.30%	425.47 71.36%	529.28 113.17%	767.28 209.03%

Historical RH Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of RH

View All Filings

Date Filed	Form Type	Document
Mar 06, 2023	DEFR14A	DEFR14A
Feb 28, 2023	4	Insider Trading
Feb 14, 2023	SC 13G/A	Major Ownership Report
Feb 14, 2023	SC 13G/A	Major Ownership Report
Feb 14, 2023	SC 13G/A	Major Ownership Report
Feb 13, 2023	UPLOAD	UPLOAD
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 06, 2023	3	Insider Trading
Feb 03, 2023	8-K	Current Report

Latest Insider Trading transactions for RH

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-27	Krane Hilary K	sold	-41,996	306	-137	-
2023-01-25	Krane Hilary K	sold	-41,306	301	-137	-
2023-01-12	Belling Keith	sold	-159,762	319	-500	-
2023-01-11	Preston Jack M	acquired	268,433	61.3	4,379	chief financial officer
2023-01-11	Preston Jack M	sold	-3,157,520	315	-10,000	chief financial officer
2023-01-11	Belling Keith	sold	-314,637	314	-1,000	-
2023-01-10	DEMILIO MARK S	sold	-612,815	306	-2,000	-
2022-12-27	Krane Hilary K	sold	-35,955	262	-137	-
2022-12-14	FRIEDMAN GARY G	sold	-49,224,200	262	-187,200	chairman & ceo
2022-12-14	FRIEDMAN GARY G	acquired	38,628,100	75.43	512,105	chairman & ceo

About RH

Gary G. Friedman

http://www.restorationhardware.com

6500

RH, together with its subsidiaries, operates as a retailer in the home furnishings. It offers products in various categories, including furniture, lighting, textiles, bathware, dÃƒÂ©cor, outdoor and garden, and child and teen furnishings. The company provides its products through its retail galleries; and Source Books, a series of catalogs, as well as online through rh.com, rhbabyandchild.com, rhteen.com, and rhmodern.com, as well as waterworks.com. As of January 29, 2022, it operated a total of 67 RH Galleries and 38 RH outlet stores in 30 states in the District of Columbia and Canada, as well as 14 Waterworks showrooms throughout the United States and the United Kingdom. The company was formerly known as Restoration Hardware Holdings, Inc. and changed its name to RH in January 2017. RH was incorporated in 2011 and is headquartered in Corte Madera, California.

RH Income Statement

2022-10-29

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 29, 2022	Oct. 30, 2021	Oct. 29, 2022	Oct. 30, 2021
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
Net revenues	$ 869,066	$ 1,006,428	$ 2,817,978	$ 2,856,079
Cost of goods sold	448,288	501,174	1,375,399	1,456,172
Gross profit	420,778	505,254	1,442,579	1,399,907
Selling, general and administrative expenses	250,528	232,715	832,627	690,492
Income from operations	170,250	272,539	609,952	709,415
Other expenses
Interest expense-net	31,417	13,223	78,536	40,112
Loss on extinguishment of debt		18,513	169,578	21,784
Other expense-net	1,989		4,841
Total other expenses	33,406	31,736	252,955	61,896
Income before income taxes	136,844	240,803	356,997	647,519
Income tax expense (benefit)	36,162	54,391	(70,867)	99,124
Income before equity method investments	100,682	186,412	427,864	548,395
Share of equity method investments losses	(1,922)	(2,313)	(6,118)	(6,894)
Net income	$ 98,760	$ 184,099	$ 421,746	$ 541,501
Weighted-average shares used in computing basic net income per share	23,681,482	21,430,557	23,588,464	21,200,146
Basic net income per share (Note 13)	$ 4.17	$ 8.59	$ 25.07	$ 25.54
Weighted-average shares used in computing diluted net income per share	26,098,265	31,291,079	27,255,911	31,493,396
Diluted net income per share (Note 13)	$ 3.78	$ 5.88	$ 21.70	$ 17.19

RH Balance Sheet

2022-10-29

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Oct. 29, 2022	Jan. 29, 2022
Current assets:
Cash and cash equivalents	$ 2,150,466	$ 2,177,889
Restricted cash (Note 5)	3,882
Accounts receivable-net	58,563	57,914
Merchandise inventories	819,299	734,289
Prepaid expense and other current assets	234,247	121,350
Total current assets	3,266,457	3,091,442
Property and equipment-net	1,577,900	1,227,920
Operating lease right-of-use assets	536,452	551,045
Goodwill	141,021	141,100
Tradenames, trademarks and other intangible assets	74,269	73,161
Deferred tax assets	63,105	56,843
Equity method investments	97,005	100,810
Other non-current assets	127,506	298,149
Total assets	5,883,715	5,540,470
Current liabilities:
Accounts payable and accrued expenses	389,965	442,379
Deferred revenue and customer deposits	361,113	387,933
Operating lease liabilities	77,858	73,834
Other current liabilities	104,538	146,623
Total current liabilities	935,176	1,063,758
Real estate loans (Note 5)	17,912
Non-current operating lease liabilities	521,093	540,513
Non-current finance lease liabilities	656,643	560,550
Other non-current obligations	7,151	8,706
Total liabilities	4,589,768	4,370,193
Commitments and contingencies (Note 16)
Stockholders' equity:
Preferred stock-$0.0001 par value per share, 10,000,000 shares authorized, no shares issued or outstanding as of October 29, 2022 and January 29, 2022
Common stock-$0.0001 par value per share, 180,000,000 shares authorized, 23,609,536 shares issued and outstanding as of October 29, 2022; 21,506,967 shares issued and outstanding as of January 29, 2022	2	2
Additional paid-in capital	313,887	620,577
Accumulated other comprehensive loss	(12,685)	(1,410)
Retained earnings	992,743	551,108
Total stockholders' equity	1,293,947	1,170,277
Total liabilities and stockholders' equity	5,883,715	5,540,470
Term loan B
Current liabilities:
Term loan-net	1,940,701	1,953,203
Term loan B-2
Current liabilities:
Term loan-net	469,396
2023 Notes
Current liabilities:
Convertible senior notes due-net current	1,702	9,389
Convertible senior notes due-noncurrent		59,002
2024 Notes
Current liabilities:
Convertible senior notes due-net current		3,600
Convertible senior notes due-noncurrent	$ 41,696	$ 184,461