12:05 PM EDT, 03/18/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

Our 12-month target price of $273, down from $395, is 23x our FY 26 (Jan.) EPS view of $11.87, a premium to the 10-year mean of 21.5x, justified by the accelerating momentum in RH's internal demand metrics. We trim our FY 25 EPS view to $5.43 from $6.10 and lower our FY 26 EPS view to $11.87 from $12.15. Shares have fallen 41% since our last note, reflecting uncertainty surrounding tariff policy and allegations from a Hunterbrook Media publication suggesting potential investor misrepresentation. While we share concerns regarding inventory, margin performance, and international expansion execution, we do not anticipate the macroeconomic environment will further constrain RH's cash generation capabilities. We believe RH's internal demand metrics will catalyze positive sentiment given recent momentum, but we anticipate margin expansion will materialize more gradually vs. consensus. Due to the substantial share price correction, we view the current valuation as a compelling entry point for investors.