Morgan Stanley Upgrades RH (NYSE:RH) to “Overweight”

RH (NYSE:RH) was upgraded by stock analysts at Morgan Stanley from an “equal weight” rating to an “overweight” rating in a research report issued to clients and investors on Monday, MarketBeat.com reports. The brokerage currently has a $530.00 target price on the stock, up from their previous target price of $435.00. Morgan Stanley’s price target indicates a potential upside of 27.18% from the stock’s previous close.

A number of other research firms also recently commented on RH. StockNews.com downgraded RH from a “hold” rating to a “sell” rating in a report on Saturday, December 21st. Barclays upgraded shares of RH from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $383.00 to $515.00 in a research note on Wednesday, January 8th. Loop Capital raised their price target on shares of RH from $320.00 to $450.00 and gave the company a “hold” rating in a report on Monday, December 16th. Telsey Advisory Group upgraded shares of RH from a “market perform” rating to an “outperform” rating and upped their price objective for the stock from $485.00 to $500.00 in a report on Thursday, December 19th. Finally, JPMorgan Chase & Co. cut their target price on RH from $345.00 to $338.00 and set an “overweight” rating on the stock in a report on Monday, September 16th. Three equities research analysts have rated the stock with a sell rating, three have issued a hold rating and eleven have assigned a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $421.73.

RH Stock Down 0.7 %

Shares of NYSE:RH opened at $416.72 on Monday. The firm has a fifty day moving average of $380.99 and a two-hundred day moving average of $322.23. RH has a 12-month low of $212.43 and a 12-month high of $457.26. The firm has a market capitalization of $7.75 billion, a P/E ratio of 119.75, a price-to-earnings-growth ratio of 2.73 and a beta of 2.43.

RH (NYSE:RH) last released its quarterly earnings data on Thursday, December 12th. The company reported $2.48 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.67 by ($0.19). RH had a net margin of 2.25% and a negative return on equity of 32.76%. The firm had revenue of $811.73 million for the quarter, compared to analyst estimates of $812.19 million. During the same period in the previous year, the business posted ($0.42) EPS. RH’s revenue for the quarter was up 8.1% on a year-over-year basis. Equities research analysts expect that RH will post 5.63 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, Director Keith Belling sold 500 shares of RH stock in a transaction dated Tuesday, December 17th. The stock was sold at an average price of $415.00, for a total transaction of $207,500.00. Following the sale, the director now directly owns 5,470 shares of the company’s stock, valued at $2,270,050. This trade represents a 8.38 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Edward T. Lee sold 2,000 shares of the company’s stock in a transaction that occurred on Friday, October 18th. The shares were sold at an average price of $353.57, for a total value of $707,140.00. The disclosure for this sale can be found here. Insiders have sold a total of 13,000 shares of company stock valued at $5,286,265 in the last three months. Company insiders own 28.10% of the company’s stock.

Institutional Trading of RH

Several institutional investors have recently modified their holdings of RH. Versant Capital Management Inc increased its stake in RH by 7,000.0% in the fourth quarter. Versant Capital Management Inc now owns 71 shares of the company’s stock valued at $28,000 after acquiring an additional 70 shares during the period. GAMMA Investing LLC boosted its holdings in RH by 533.3% during the fourth quarter. GAMMA Investing LLC now owns 76 shares of the company’s stock valued at $30,000 after purchasing an additional 64 shares in the last quarter. Blue Trust Inc. grew its stake in shares of RH by 308.3% in the 3rd quarter. Blue Trust Inc. now owns 98 shares of the company’s stock valued at $33,000 after purchasing an additional 74 shares during the period. Centaurus Financial Inc. acquired a new position in shares of RH in the 3rd quarter worth approximately $100,000. Finally, Ameliora Wealth Management Ltd. bought a new position in shares of RH during the third quarter valued at $110,000. Institutional investors and hedge funds own 90.17% of the company’s stock.

RH Company Profile

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.