RH (RH) Fundamental Analysis & Valuation

NYSE:RH • US74967X1037

Current stock price

129.97 USD
-1.99 (-1.51%)
At close:
130.5 USD
+0.53 (+0.41%)
After Hours:

This RH fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. RH Profitability Analysis

1.1 Basic Checks

  • In the past year RH was profitable.
  • In the past year RH had a positive cash flow from operations.
  • RH had positive earnings in each of the past 5 years.
  • Each year in the past 5 years RH had a positive operating cash flow.
RH Yearly Net Income VS EBIT VS OCF VS FCFRH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 200M -200M 400M 600M 800M

1.2 Ratios

  • RH has a Return On Assets of 2.58%. This is comparable to the rest of the industry: RH outperforms 56.91% of its industry peers.
  • RH's Return On Equity of 205.92% is amongst the best of the industry. RH outperforms 100.00% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 8.18%, RH is in the better half of the industry, outperforming 70.73% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for RH is below the industry average of 13.24%.
Industry RankSector Rank
ROA 2.58%
ROE 205.92%
ROIC 8.18%
ROA(3y)2.42%
ROA(5y)5.93%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.28%
ROIC(5y)11.11%
RH Yearly ROA, ROE, ROICRH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 500 1K

1.3 Margins

  • The Profit Margin of RH (3.63%) is better than 69.11% of its industry peers.
  • In the last couple of years the Profit Margin of RH has declined.
  • With an excellent Operating Margin value of 11.16%, RH belongs to the best of the industry, outperforming 85.37% of the companies in the same industry.
  • In the last couple of years the Operating Margin of RH has declined.
  • RH has a Gross Margin of 44.07%. This is in the better half of the industry: RH outperforms 70.73% of its industry peers.
  • RH's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 11.16%
PM (TTM) 3.63%
GM 44.07%
OM growth 3Y-17.64%
OM growth 5Y-7.4%
PM growth 3Y-37.31%
PM growth 5Y-17.58%
GM growth 3Y-4.42%
GM growth 5Y-1.08%
RH Yearly Profit, Operating, Gross MarginsRH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 10 20 30 40 50

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. RH Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RH is creating some value.
  • The number of shares outstanding for RH has been increased compared to 1 year ago.
  • Compared to 5 years ago, RH has less shares outstanding
  • RH has a better debt/assets ratio than last year.
RH Yearly Shares OutstandingRH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10M 20M 30M 40M
RH Yearly Total Debt VS Total AssetsRH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B 4B 5B

2.2 Solvency

  • Based on the Altman-Z score of 1.22, we must say that RH is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of RH (1.22) is worse than 69.11% of its industry peers.
  • RH has a debt to FCF ratio of 12.65. This is a negative value and a sign of low solvency as RH would need 12.65 years to pay back of all of its debts.
  • RH has a Debt to FCF ratio (12.65) which is in line with its industry peers.
  • A Debt/Equity ratio of 51.28 is on the high side and indicates that RH has dependencies on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 51.28, RH is doing worse than 82.93% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 51.28
Debt/FCF 12.65
Altman-Z 1.22
ROIC/WACC1.06
WACC7.69%
RH Yearly LT Debt VS Equity VS FCFRH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 1B 2B 3B

2.3 Liquidity

  • RH has a Current Ratio of 1.19. This is a normal value and indicates that RH is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of RH (1.19) is worse than 61.79% of its industry peers.
  • A Quick Ratio of 0.31 indicates that RH may have some problems paying its short term obligations.
  • RH has a worse Quick ratio (0.31) than 78.05% of its industry peers.
Industry RankSector Rank
Current Ratio 1.19
Quick Ratio 0.31
RH Yearly Current Assets VS Current LiabilitesRH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. RH Growth Analysis

3.1 Past

  • RH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.76%, which is quite good.
  • The earnings per share for RH have been decreasing by -18.42% on average. This is quite bad
  • RH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.14%.
  • RH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.84% yearly.
EPS 1Y (TTM)17.76%
EPS 3Y-36.33%
EPS 5Y-18.42%
EPS Q2Q%-3.16%
Revenue 1Y (TTM)8.14%
Revenue growth 3Y-1.42%
Revenue growth 5Y3.84%
Sales Q2Q%3.72%

3.2 Future

  • The Earnings Per Share is expected to grow by 41.96% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, RH will show a quite strong growth in Revenue. The Revenue will grow by 8.15% on average per year.
EPS Next Y4.63%
EPS Next 2Y28.03%
EPS Next 3Y29.61%
EPS Next 5Y41.96%
Revenue Next Year4.4%
Revenue Next 2Y6.89%
Revenue Next 3Y7.19%
Revenue Next 5Y8.15%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
RH Yearly Revenue VS EstimatesRH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B
RH Yearly EPS VS EstimatesRH Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20 40 60

More info and screens

Find the best growth stocksShow best growing peers

5

4. RH Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 20.63, RH is valued on the expensive side.
  • Based on the Price/Earnings ratio, RH is valued a bit cheaper than 66.67% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.64. RH is valued slightly cheaper when compared to this.
  • RH is valuated rather expensively with a Price/Forward Earnings ratio of 19.72.
  • RH's Price/Forward Earnings is on the same level as the industry average.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 21.36, RH is valued at the same level.
Industry RankSector Rank
PE 20.63
Fwd PE 19.72
RH Price Earnings VS Forward Price EarningsRH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • RH's Enterprise Value to EBITDA is on the same level as the industry average.
  • RH's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RH is cheaper than 81.30% of the companies in the same industry.
Industry RankSector Rank
P/FCF 9.82
EV/EBITDA 10.51
RH Per share dataRH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100 150

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The decent profitability rating of RH may justify a higher PE ratio.
  • RH's earnings are expected to grow with 29.61% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.46
PEG (5Y)N/A
EPS Next 2Y28.03%
EPS Next 3Y29.61%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. RH Dividend Analysis

5.1 Amount

  • No dividends for RH!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

RH Fundamentals: All Metrics, Ratios and Statistics

RH

NYSE:RH (5/1/2026, 8:04:00 PM)

After market: 130.5 +0.53 (+0.41%)

129.97

-1.99 (-1.51%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Industry Strength11.8
Industry Growth36.02
Earnings (Last)04-01
Earnings (Next)06-10
Inst Owners94.5%
Inst Owner Change0.08%
Ins Owners18.44%
Ins Owner Change0.57%
Market Cap2.45B
Revenue(TTM)3.44B
Net Income(TTM)124.79M
Analysts70
Price Target154.34 (18.75%)
Short Float %35.59%
Short Ratio3.87
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-28.09%
Min EPS beat(2)-32.99%
Max EPS beat(2)-23.18%
EPS beat(4)1
Avg EPS beat(4)43.86%
Min EPS beat(4)-32.99%
Max EPS beat(4)242.76%
EPS beat(8)2
Avg EPS beat(8)-8.06%
EPS beat(12)4
Avg EPS beat(12)-17.81%
EPS beat(16)7
Avg EPS beat(16)-9.76%
Revenue beat(2)0
Avg Revenue beat(2)-4.39%
Min Revenue beat(2)-5.88%
Max Revenue beat(2)-2.9%
Revenue beat(4)0
Avg Revenue beat(4)-3.92%
Min Revenue beat(4)-5.88%
Max Revenue beat(4)-2.9%
Revenue beat(8)0
Avg Revenue beat(8)-3.56%
Revenue beat(12)0
Avg Revenue beat(12)-3.51%
Revenue beat(16)2
Avg Revenue beat(16)-2.84%
PT rev (1m)-26.99%
PT rev (3m)-23.17%
EPS NQ rev (1m)-556.33%
EPS NQ rev (3m)-488.48%
EPS NY rev (1m)-38.66%
EPS NY rev (3m)-38.64%
Revenue NQ rev (1m)-10.21%
Revenue NQ rev (3m)-10.32%
Revenue NY rev (1m)-4.31%
Revenue NY rev (3m)-4.29%
Valuation
Industry RankSector Rank
PE 20.63
Fwd PE 19.72
P/S 0.71
P/FCF 9.82
P/OCF 5.41
P/B 40.39
P/tB N/A
EV/EBITDA 10.51
EPS(TTM)6.3
EY4.85%
EPS(NY)6.59
Fwd EY5.07%
FCF(TTM)13.24
FCFY10.19%
OCF(TTM)24.02
OCFY18.48%
SpS182.66
BVpS3.22
TBVpS-8.68
PEG (NY)4.46
PEG (5Y)N/A
Graham Number21.3586 (-83.57%)
Profitability
Industry RankSector Rank
ROA 2.58%
ROE 205.92%
ROCE 9.83%
ROIC 8.18%
ROICexc 8.26%
ROICexgc 8.77%
OM 11.16%
PM (TTM) 3.63%
GM 44.07%
FCFM 7.25%
ROA(3y)2.42%
ROA(5y)5.93%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.28%
ROIC(5y)11.11%
ROICexc(3y)8.45%
ROICexc(5y)15.87%
ROICexgc(3y)9.02%
ROICexgc(5y)17.23%
ROCE(3y)9.95%
ROCE(5y)13.36%
ROICexgc growth 3Y-26.5%
ROICexgc growth 5Y-17.78%
ROICexc growth 3Y-26.08%
ROICexc growth 5Y-16.78%
OM growth 3Y-17.64%
OM growth 5Y-7.4%
PM growth 3Y-37.31%
PM growth 5Y-17.58%
GM growth 3Y-4.42%
GM growth 5Y-1.08%
F-Score6
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 51.28
Debt/FCF 12.65
Debt/EBITDA 5.84
Cap/Depr 136.66%
Cap/Sales 5.9%
Interest Coverage 1.77
Cash Conversion 84.95%
Profit Quality 199.78%
Current Ratio 1.19
Quick Ratio 0.31
Altman-Z 1.22
F-Score6
WACC7.69%
ROIC/WACC1.06
Cap/Depr(3y)180.1%
Cap/Depr(5y)178.66%
Cap/Sales(3y)7.35%
Cap/Sales(5y)6.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.76%
EPS 3Y-36.33%
EPS 5Y-18.42%
EPS Q2Q%-3.16%
EPS Next Y4.63%
EPS Next 2Y28.03%
EPS Next 3Y29.61%
EPS Next 5Y41.96%
Revenue 1Y (TTM)8.14%
Revenue growth 3Y-1.42%
Revenue growth 5Y3.84%
Sales Q2Q%3.72%
Revenue Next Year4.4%
Revenue Next 2Y6.89%
Revenue Next 3Y7.19%
Revenue Next 5Y8.15%
EBIT growth 1Y22.57%
EBIT growth 3Y-18.81%
EBIT growth 5Y-3.84%
EBIT Next Year40.36%
EBIT Next 3Y25.75%
EBIT Next 5Y25.55%
FCF growth 1Y216.66%
FCF growth 3Y2.71%
FCF growth 5Y-8.55%
OCF growth 1Y2545.46%
OCF growth 3Y3.86%
OCF growth 5Y-2.02%

RH / RH Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for RH?

ChartMill assigns a fundamental rating of 4 / 10 to RH.


Can you provide the valuation status for RH?

ChartMill assigns a valuation rating of 5 / 10 to RH (RH). This can be considered as Fairly Valued.


What is the profitability of RH stock?

RH (RH) has a profitability rating of 6 / 10.


What is the financial health of RH (RH) stock?

The financial health rating of RH (RH) is 2 / 10.