RH (RH) Stock Fundamental Analysis
USA - NYSE:RH - US74967X1037 - Common Stock
162.475 USD
+4.41 (+2.79%)
RH gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. RH has a medium profitability rating, but doesn't score so well on its financial health evaluation. RH has a correct valuation and a medium growth rate.
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.
Each year in the past 5 years RH has been profitable.
Each year in the past 5 years RH had a positive operating cash flow.
1.2 Ratios
RH has a Return On Assets (2.27%) which is comparable to the rest of the industry.
RH has a better Return On Invested Capital (8.46%) than 71.07% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RH is in line with the industry average of 11.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | N/A | ||
| ROIC | 8.46% |
ROA(3y)4.87%
ROA(5y)7.29%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.73%
ROIC(5y)14.31%
1.3 Margins
RH has a better Profit Margin (3.20%) than 70.25% of its industry peers.
RH's Profit Margin has declined in the last couple of years.
RH's Operating Margin of 10.68% is amongst the best of the industry. RH outperforms 83.47% of its industry peers.
In the last couple of years the Operating Margin of RH has declined.
RH's Gross Margin of 44.61% is fine compared to the rest of the industry. RH outperforms 71.07% of its industry peers.
RH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.68% | ||
| PM (TTM) | 3.2% | ||
| GM | 44.61% |
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%
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
RH has less shares outstanding than it did 5 years ago.
The debt/assets ratio for RH has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.27, we must say that RH is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.27, RH is not doing good in the industry: 67.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.27 |
ROIC/WACC0.84
WACC10.08%
2.3 Liquidity
RH has a Current Ratio of 1.26. This is a normal value and indicates that RH is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.26, RH perfoms like the industry average, outperforming 43.80% of the companies in the same industry.
RH has a Quick Ratio of 1.26. This is a bad value and indicates that RH is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.26, RH is doing worse than 85.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.26 |
3. Growth
3.1 Past
RH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 347.80%, 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 9.56% in the past year. This is quite good.
RH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.74% yearly.
EPS 1Y (TTM)347.8%
EPS 3Y-41.01%
EPS 5Y-14.46%
EPS Q2Q%73.37%
Revenue 1Y (TTM)9.56%
Revenue growth 3Y-5.41%
Revenue growth 5Y3.74%
Sales Q2Q%8.38%
3.2 Future
Based on estimates for the next years, RH will show a very strong growth in Earnings Per Share. The EPS will grow by 47.65% on average per year.
RH is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.41% yearly.
EPS Next Y73.57%
EPS Next 2Y57.63%
EPS Next 3Y50.61%
EPS Next 5Y47.65%
Revenue Next Year9.16%
Revenue Next 2Y9.65%
Revenue Next 3Y9.41%
Revenue Next 5Y8.41%
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 22.82, the valuation of RH can be described as rather expensive.
RH's Price/Earnings ratio is a bit cheaper when compared to the industry. RH is cheaper than 67.77% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.67. RH is around the same levels.
A Price/Forward Earnings ratio of 12.22 indicates a correct valuation of RH.
RH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. RH is cheaper than 71.90% of the companies in the same industry.
RH is valuated cheaply when we compare the Price/Forward Earnings ratio to 31.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.82 | ||
| Fwd PE | 12.22 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as RH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.45 |
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.
A more expensive valuation may be justified as RH's earnings are expected to grow with 50.61% in the coming years.
PEG (NY)0.31
PEG (5Y)N/A
EPS Next 2Y57.63%
EPS Next 3Y50.61%
5. Dividend
5.1 Amount
No dividends for RH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:RH (11/7/2025, 3:09:56 PM)
162.475
+4.41 (+2.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners89.63%
Inst Owner Change-1.98%
Ins Owners18.49%
Ins Owner Change0.6%
Market Cap3.05B
Revenue(TTM)3.34B
Net Income(TTM)106.83M
Analysts72.86
Price Target254.39 (56.57%)
Short Float %20.81%
Short Ratio2.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)1
Avg EPS beat(2)115.8%
Min EPS beat(2)-11.15%
Max EPS beat(2)242.76%
EPS beat(4)1
Avg EPS beat(4)50.63%
Min EPS beat(4)-19.91%
Max EPS beat(4)242.76%
EPS beat(8)2
Avg EPS beat(8)-26.14%
EPS beat(12)5
Avg EPS beat(12)-13.06%
EPS beat(16)8
Avg EPS beat(16)-6.17%
Revenue beat(2)0
Avg Revenue beat(2)-3.45%
Min Revenue beat(2)-3.5%
Max Revenue beat(2)-3.41%
Revenue beat(4)0
Avg Revenue beat(4)-3.7%
Min Revenue beat(4)-4.92%
Max Revenue beat(4)-2.96%
Revenue beat(8)0
Avg Revenue beat(8)-3.89%
Revenue beat(12)1
Avg Revenue beat(12)-3.04%
Revenue beat(16)2
Avg Revenue beat(16)-2.7%
PT rev (1m)-3.85%
PT rev (3m)-3.59%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-47.05%
EPS NY rev (1m)0%
EPS NY rev (3m)-14.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.66%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.82 | ||
| Fwd PE | 12.22 | ||
| P/S | 0.91 | ||
| P/FCF | N/A | ||
| P/OCF | 17.5 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.45 |
EPS(TTM)7.12
EY4.38%
EPS(NY)13.29
Fwd EY8.18%
FCF(TTM)-2.88
FCFYN/A
OCF(TTM)9.29
OCFY5.72%
SpS177.99
BVpS-2.18
TBVpS-14.1
PEG (NY)0.31
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | N/A | ||
| ROCE | 9.53% | ||
| ROIC | 8.46% | ||
| ROICexc | 8.54% | ||
| ROICexgc | 9.09% | ||
| OM | 10.68% | ||
| PM (TTM) | 3.2% | ||
| GM | 44.61% | ||
| FCFM | N/A |
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-Score8
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.42 | ||
| Cap/Depr | 166.49% | ||
| Cap/Sales | 6.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 35.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.26 | ||
| Altman-Z | 1.27 |
F-Score8
WACC10.08%
ROIC/WACC0.84
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)347.8%
EPS 3Y-41.01%
EPS 5Y-14.46%
EPS Q2Q%73.37%
EPS Next Y73.57%
EPS Next 2Y57.63%
EPS Next 3Y50.61%
EPS Next 5Y47.65%
Revenue 1Y (TTM)9.56%
Revenue growth 3Y-5.41%
Revenue growth 5Y3.74%
Sales Q2Q%8.38%
Revenue Next Year9.16%
Revenue Next 2Y9.65%
Revenue Next 3Y9.41%
Revenue Next 5Y8.41%
EBIT growth 1Y38.53%
EBIT growth 3Y-30.35%
EBIT growth 5Y-2.9%
EBIT Next Year70.77%
EBIT Next 3Y35.37%
EBIT Next 5Y26.15%
FCF growth 1Y-120.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-62.12%
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.
What is the valuation status for RH stock?
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 5 / 10.
Can you provide the PE and PB ratios for RH stock?
The Price/Earnings (PE) ratio for RH (RH) is 22.82 and the Price/Book (PB) ratio is -74.48.