RH (RH) Stock Fundamental Analysis

NYSE:RH • US74967X1037

184.01 USD
-6.39 (-3.36%)
At close: Feb 25, 2026
181.07 USD
-2.94 (-1.6%)
After Hours: 2/25/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

RH gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 123 industry peers in the Specialty Retail industry. There are concerns on the financial health of RH while its profitability can be described as average. RH has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year RH was profitable.
  • In the past year RH had a positive cash flow from operations.
  • In the past 5 years RH has always been profitable.
  • RH had a positive operating cash flow in each of the past 5 years.
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 0 200M -200M 400M 600M 800M

1.2 Ratios

  • RH has a Return On Assets (2.29%) which is comparable to the rest of the industry.
  • RH has a Return On Equity of 3285.39%. This is amongst the best in the industry. RH outperforms 100.00% of its industry peers.
  • RH has a Return On Invested Capital of 8.26%. This is in the better half of the industry: RH outperforms 71.54% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for RH is in line with the industry average of 11.89%.
Industry RankSector Rank
ROA 2.29%
ROE 3285.39%
ROIC 8.26%
ROA(3y)4.87%
ROA(5y)7.29%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.73%
ROIC(5y)14.31%
RH Yearly ROA, ROE, ROICRH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500 1K

1.3 Margins

  • Looking at the Profit Margin, with a value of 3.22%, RH is in the better half of the industry, outperforming 69.92% of the companies in the same industry.
  • RH's Profit Margin has declined in the last couple of years.
  • With an excellent Operating Margin value of 10.49%, RH belongs to the best of the industry, outperforming 84.55% of the companies in the same industry.
  • RH's Operating Margin has declined in the last couple of years.
  • The Gross Margin of RH (44.50%) is better than 70.73% of its industry peers.
  • In the last couple of years the Gross Margin of RH has remained more or less at the same level.
Industry RankSector Rank
OM 10.49%
PM (TTM) 3.22%
GM 44.5%
OM growth 3Y-26.37%
OM growth 5Y-6.4%
PM growth 3Y-50.1%
PM growth 5Y-22.84%
GM growth 3Y-3.41%
GM growth 5Y1.47%
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 0 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • RH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, RH has more shares outstanding
  • 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 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 1B 2B 3B 4B 5B

2.2 Solvency

  • RH has an Altman-Z score of 1.31. This is a bad value and indicates that RH is not financially healthy and even has some risk of bankruptcy.
  • The Altman-Z score of RH (1.31) is worse than 65.04% of its industry peers.
  • RH has a debt to FCF ratio of 25.66. This is a negative value and a sign of low solvency as RH would need 25.66 years to pay back of all of its debts.
  • The Debt to FCF ratio of RH (25.66) is comparable to the rest of the industry.
  • RH has a Debt/Equity ratio of 944.39. This is a high value indicating a heavy dependency on external financing.
  • Looking at the Debt to Equity ratio, with a value of 944.39, RH is doing worse than 79.67% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 944.39
Debt/FCF 25.66
Altman-Z 1.31
ROIC/WACC0.81
WACC10.21%
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 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.
  • Looking at the Current ratio, with a value of 1.19, RH is doing worse than 60.16% of the companies in the same industry.
  • A Quick Ratio of 0.26 indicates that RH may have some problems paying its short term obligations.
  • RH has a Quick ratio of 0.26. This is in the lower half of the industry: RH underperforms 78.05% of its industry peers.
Industry RankSector Rank
Current Ratio 1.19
Quick Ratio 0.26
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 1B 2B 3B

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

6

3. Growth

3.1 Past

  • RH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.43%, which is quite impressive.
  • RH shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -14.46% yearly.
  • The Revenue has grown by 9.74% in the past year. This is quite good.
  • Measured over the past years, RH shows a small growth in Revenue. The Revenue has been growing by 3.74% on average per year.
EPS 1Y (TTM)41.43%
EPS 3Y-41.01%
EPS 5Y-14.46%
EPS Q2Q%-31.05%
Revenue 1Y (TTM)9.74%
Revenue growth 3Y-5.41%
Revenue growth 5Y3.74%
Sales Q2Q%8.88%

3.2 Future

  • RH is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 45.55% yearly.
  • Based on estimates for the next years, RH will show a quite strong growth in Revenue. The Revenue will grow by 8.19% on average per year.
EPS Next Y36.4%
EPS Next 2Y41.79%
EPS Next 3Y40.1%
EPS Next 5Y45.55%
Revenue Next Year8.46%
Revenue Next 2Y8.69%
Revenue Next 3Y8.43%
Revenue Next 5Y8.19%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • 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

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Find the best growth stocksShow best growing peers

6

4. Valuation

4.1 Price/Earnings Ratio

  • RH is valuated quite expensively with a Price/Earnings ratio of 28.98.
  • Compared to the rest of the industry, the Price/Earnings ratio of RH indicates a somewhat cheap valuation: RH is cheaper than 62.60% of the companies listed in the same industry.
  • RH is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.05, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 17.11, which indicates a rather expensive current valuation of RH.
  • 69.11% of the companies in the same industry are more expensive than RH, based on the Price/Forward Earnings ratio.
  • When comparing the Price/Forward Earnings ratio of RH to the average of the S&P500 Index (28.03), we can say RH is valued slightly cheaper.
Industry RankSector Rank
PE 28.98
Fwd PE 17.11
RH Price Earnings VS Forward Price EarningsRH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • RH's Enterprise Value to EBITDA ratio is in line with the industry average.
  • Based on the Price/Free Cash Flow ratio, RH is valued a bit cheaper than 62.60% of the companies in the same industry.
Industry RankSector Rank
P/FCF 27.66
EV/EBITDA 13.24
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 low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The decent profitability rating of RH may justify a higher PE ratio.
  • RH's earnings are expected to grow with 40.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.8
PEG (5Y)N/A
EPS Next 2Y41.79%
EPS Next 3Y40.1%

More info and screens

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

0

5. Dividend

5.1 Amount

  • RH does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

RH

NYSE:RH (2/25/2026, 8:04:00 PM)

After market: 181.07 -2.94 (-1.6%)

184.01

-6.39 (-3.36%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)12-11
Earnings (Next)06-10
Inst Owners88.19%
Inst Owner Change9.58%
Ins Owners18.46%
Ins Owner Change0.64%
Market Cap3.46B
Revenue(TTM)3.41B
Net Income(TTM)109.93M
Analysts70
Price Target211.4 (14.89%)
Short Float %21.22%
Short Ratio3.07
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)-17.17%
Min EPS beat(2)-23.18%
Max EPS beat(2)-11.15%
EPS beat(4)1
Avg EPS beat(4)47.13%
Min EPS beat(4)-23.18%
Max EPS beat(4)242.76%
EPS beat(8)2
Avg EPS beat(8)-11.2%
EPS beat(12)4
Avg EPS beat(12)-16.41%
EPS beat(16)7
Avg EPS beat(16)-7.8%
Revenue beat(2)0
Avg Revenue beat(2)-3.2%
Min Revenue beat(2)-3.5%
Max Revenue beat(2)-2.9%
Revenue beat(4)0
Avg Revenue beat(4)-3.68%
Min Revenue beat(4)-4.92%
Max Revenue beat(4)-2.9%
Revenue beat(8)0
Avg Revenue beat(8)-3.8%
Revenue beat(12)0
Avg Revenue beat(12)-3.34%
Revenue beat(16)2
Avg Revenue beat(16)-2.84%
PT rev (1m)5.24%
PT rev (3m)-16.9%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-38.9%
EPS NY rev (1m)0%
EPS NY rev (3m)-21.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.64%
Valuation
Industry RankSector Rank
PE 28.98
Fwd PE 17.11
P/S 1.01
P/FCF 27.66
P/OCF 10.24
P/B 1032.79
P/tB N/A
EV/EBITDA 13.24
EPS(TTM)6.35
EY3.45%
EPS(NY)10.76
Fwd EY5.85%
FCF(TTM)6.65
FCFY3.62%
OCF(TTM)17.97
OCFY9.76%
SpS181.54
BVpS0.18
TBVpS-11.72
PEG (NY)0.8
PEG (5Y)N/A
Graham Number5.05
Profitability
Industry RankSector Rank
ROA 2.29%
ROE 3285.39%
ROCE 9.3%
ROIC 8.26%
ROICexc 8.35%
ROICexgc 8.87%
OM 10.49%
PM (TTM) 3.22%
GM 44.5%
FCFM 3.67%
ROA(3y)4.87%
ROA(5y)7.29%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.73%
ROIC(5y)14.31%
ROICexc(3y)13.37%
ROICexc(5y)19.61%
ROICexgc(3y)14.37%
ROICexgc(5y)21.51%
ROCE(3y)12.08%
ROCE(5y)16.12%
ROICexgc growth 3Y-40.85%
ROICexgc growth 5Y-20.42%
ROICexc growth 3Y-40.13%
ROICexc growth 5Y-18.93%
OM growth 3Y-26.37%
OM growth 5Y-6.4%
PM growth 3Y-50.1%
PM growth 5Y-22.84%
GM growth 3Y-3.41%
GM growth 5Y1.47%
F-Score7
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 944.39
Debt/FCF 25.66
Debt/EBITDA 6.32
Cap/Depr 149.24%
Cap/Sales 6.23%
Interest Coverage 250
Cash Conversion 67.48%
Profit Quality 113.67%
Current Ratio 1.19
Quick Ratio 0.26
Altman-Z 1.31
F-Score7
WACC10.21%
ROIC/WACC0.81
Cap/Depr(3y)187.83%
Cap/Depr(5y)173.54%
Cap/Sales(3y)6.99%
Cap/Sales(5y)5.96%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)41.43%
EPS 3Y-41.01%
EPS 5Y-14.46%
EPS Q2Q%-31.05%
EPS Next Y36.4%
EPS Next 2Y41.79%
EPS Next 3Y40.1%
EPS Next 5Y45.55%
Revenue 1Y (TTM)9.74%
Revenue growth 3Y-5.41%
Revenue growth 5Y3.74%
Sales Q2Q%8.88%
Revenue Next Year8.46%
Revenue Next 2Y8.69%
Revenue Next 3Y8.43%
Revenue Next 5Y8.19%
EBIT growth 1Y16.26%
EBIT growth 3Y-30.35%
EBIT growth 5Y-2.9%
EBIT Next Year55.61%
EBIT Next 3Y25.79%
EBIT Next 5Y26.15%
FCF growth 1Y-33.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-12.11%
OCF growth 3Y-70.44%
OCF growth 5Y-44.98%

RH / RH 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 6 / 10 to RH (RH). This can be considered as Fairly Valued.


Can you provide the profitability details for RH?

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


What is the valuation of RH based on its PE and PB ratios?

The Price/Earnings (PE) ratio for RH (RH) is 28.98 and the Price/Book (PB) ratio is 1032.79.