RH (NYSE:RH) shares are trading lower after the company reported worse-than-expected fourth-quarter financial results and issued fiscal-year 2026 revenue guidance below estimates.
- RH stock is testing lower boundaries. Why did RH hit a new low?
Q4 Results
RH reported adjusted earnings per share of $1.53, missing the consensus estimate of $2.22, In addition, it reported revenue of $842.62 million, missing the consensus estimate of $873.32 million.
The company said net revenues were reduced by about $30 million due to higher-than-expected backorders and special orders tied to tariff-related resourcing, along with an additional $10 million impact from adverse weather conditions.
Looking ahead, RH sees fiscal-year revenue of $3.57 billion to $3.71 billion, versus the consensus estimate of $3.77 billion. RH expects first-quarter revenue of $781.39 million to $797.69 million, versus the consensus estimate of $880.66 million.
Momentum Stabilizing Despite Weak Broader Trend
RH is trading 18.8% below its 20-day SMA and 36.6% below its 100-day SMA, keeping the stock firmly under its key trend gauges. Shares are down 41.51% over the past 12 months and are now sitting below the prior 52-week low, meaning the stock is positioned beyond the low end of its recent range rather than closer to the highs.
The RSI is at 41.82, which sits in neutral territory but still reflects weak demand after the recent selloff. Meanwhile, MACD is at -11.3217 versus a signal line of -13.9146, a bullish configuration that hints downside momentum is easing even though the trend remains pressured.
RSI in the 30–50 range with bullish MACD indicates momentum leaning bullish.
- Key Resistance: $136.50
- Key Support: $112.50
RH Stock Falls
RH Price Action: At the time of publication, RH shares are trading 22.97% lower at $107.77, according to data from Benzinga Pro.
This image was generated using artificial intelligence via Midjourney.
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