WallStSmart

RH (RH) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

RH stock (RH) is currently trading at $128.78. RH PE ratio is 23.08. RH PS ratio (Price-to-Sales) is 0.70. Analyst consensus price target for RH is $207.24. WallStSmart rates RH as Hold.

  • RH PE ratio analysis and historical PE chart
  • RH PS ratio (Price-to-Sales) history and trend
  • RH intrinsic value — DCF, Graham Number, EPV models
  • RH stock price prediction 2025 2026 2027 2028 2029 2030
  • RH fair value vs current price
  • RH insider transactions and insider buying
  • Is RH undervalued or overvalued?
  • RH financial analysis — revenue, earnings, cash flow
  • RH Piotroski F-Score and Altman Z-Score
  • RH analyst price target and Smart Rating
RH

RH

NYSECONSUMER CYCLICAL
$128.78
$1.39 (-1.07%)
52W$123.03
$264.58
Target$207.24+60.9%

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IV

RH Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · RH (RH)

Margin of Safety
-56.4%
Significantly Overvalued
RH Fair Value
$127.85
Graham Formula
Current Price
$128.78
$0.93 above fair value
Undervalued
Fair: $127.85
Overvalued
Price $128.78
Graham IV $127.85
Analyst $207.24

RH trades 56% above its Graham fair value of $127.85, indicating the stock may be overvalued at current levels.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

RH (RH) · 10 metrics scored

Smart Score

64
out of 100
Grade: C+
Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in peg ratio, return on equity, price/sales. Concerns around price/book and profit margin. Fundamentals are solid but monitor weak areas for improvement.

RH (RH) Key Strengths (5)

Avg Score: 9.4/10
PEG RatioValuation
0.4110/10

Growing significantly faster than its price suggests

Return on EquityProfitability
29.90%10/10

Every $100 of shareholder equity generates $30 in profit

Price/SalesValuation
0.7010/10

Paying less than $1 for every $1 of annual revenue

Institutional Own.Quality
95.64%10/10

95.64% of shares held by major funds and institutions

Market CapQuality
$2.40B7/10

Mid-cap company balancing growth potential with stability

Supporting Valuation Data

Forward P/E
11.25
Attractive
Price/Sales (TTM)
0.703
Undervalued
EV/Revenue
1.855
Undervalued

RH (RH) Areas to Watch (5)

Avg Score: 3.6/10
Price/BookValuation
716.372/10

Very expensive at 716.4x book value

Profit MarginProfitability
3.22%2/10

Very thin margins, barely profitable

Operating MarginProfitability
12.00%4/10

Thin operating margins with cost pressures present

Revenue GrowthGrowth
8.90%4/10

Modest revenue growth at 8.90%

EPS GrowthGrowth
10.20%6/10

Solid earnings growth at 10.20%

RH (RH) Detailed Analysis Report

Overall Assessment

This company scores 64/100 in our Smart Analysis, earning a C+ grade. Out of 10 metrics analyzed, 5 register as strengths (avg 9.4/10) while 5 fall into concern territory (avg 3.6/10). All four categories (Growth, Profitability, Valuation, and Quality) show healthy scores, indicating broadly sound fundamentals.

The Bull Case

The strongest argument centers on PEG Ratio, Return on Equity, Price/Sales. Valuation metrics including PEG Ratio (0.41), Price/Sales (0.70) suggest the stock is attractively priced. Profitability is solid with Return on Equity at 29.90%.

The Bear Case

The primary concerns are Price/Book, Profit Margin, Operating Margin. Some valuation metrics including Price/Book (716.37) suggest expensive pricing. Growth concerns include Revenue Growth at 8.90%, EPS Growth at 10.20%, which may limit upside. Profitability pressure is visible in Operating Margin at 12.00%, Profit Margin at 3.22%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Price/Book improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 29.90% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at 8.90% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. Strengths and concerns are roughly balanced. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (PEG Ratio, Return on Equity) and negatives (Price/Book, Profit Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

RH Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

RH's Price-to-Sales ratio of 0.70x trades 48% below its historical average of 1.35x (17th percentile). The current valuation is 85% below its historical high of 4.66x set in Aug 2021, and 206% above its historical low of 0.23x in Jan 2017. Over the past 12 months, the PS ratio has compressed from ~1.4x as trailing revenue scaled faster than the stock price.

Compare RH with Competitors

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WallStSmart Analysis Synopsis

Data-driven financial summary for RH (RH) · CONSUMER CYCLICALSPECIALTY RETAIL

The Big Picture

RH is a mature, profitable business with steady cash generation. Revenue reached 3.4B with 9% growth year-over-year. Profit margins are strong at 322.0%, reflecting pricing power and operational efficiency.

Key Findings

Excellent Capital Efficiency

ROE of 2990.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.

Cash Flow Positive

Generating 83M in free cash flow and 132M in operating cash flow. Earnings are translating into actual cash generation.

What to Watch Next

Volatility is elevated with a beta of 2.10, so expect amplified moves relative to the broader market.

Sector dynamics: monitor SPECIALTY RETAIL industry trends, competitive moves, and regulatory changes that could impact RH.

Bottom Line

RH is a well-established business delivering consistent profitability with 322.0% margins. The growth phase may be slowing, but strong cash generation and operational efficiency make it suitable for investors seeking reliability over excitement.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions

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About RH(RH)

Exchange

NYSE

Sector

CONSUMER CYCLICAL

Industry

SPECIALTY RETAIL

Country

USA

RH, is a home furnishings retailer. The company is headquartered in Corte Madera, California.