RH (NYSE:RH) is a luxury lifestyle brand known for its curated collections available through retail galleries, sourcebooks, and online platforms. The company is set to release its fourth-quarter fiscal 2025 earnings on March 31, 2026. Analysts estimate an earnings per share (EPS) of $2.21 and project revenue to be around $873.2 million.
RH has seen a significant increase in short interest, rising by 28.3% to 4.8 million shares by March 13th. This represents 35.3% of RH's shares being sold short. With an average trading volume of 1.25 million shares, the days-to-cover ratio is 3.9 days. This indicates a high level of investor skepticism about RH's future performance.
Despite the challenges, RH anticipates a 39.9% year-over-year increase in EPS to $2.21, driven by new collections and global expansion. However, tariffs are expected to impact the fourth-quarter operating margin by 170 basis points. In the previous quarter, RH's earnings fell short of expectations by 19.7%, but net revenues exceeded expectations by 0.1%.
Insider trading activity has been notable, with Director Mark S. Demilio selling 2,254 shares at $220 per share, reducing his position by 10.15%. Insider Eri Chaya also sold 7,000 shares in March. These transactions may reflect insiders' perspectives on the company's future performance.
RH's previous quarterly revenue was approximately $884 million, with a net income of $36.3 million. The company achieved a gross profit of $390 million and an operating income of $104.7 million. Despite a previous EPS of $1.93, RH aims to improve its financial performance in the upcoming earnings report.
