Over 1 Year Ago
1 Min Read

Hold on to ya butts. RH's earnings report drops next week.



We're just a few days out from Restoration Hardware Holdings (RH) reporting earnings. Lets take a look at how the stock is doing.

Analysts are thinking we'll see an EPS (earnings per share) of $6.62, GAAP of $5.63, on revenue of $969.20M for Restoration Hardware Holdings on Wednesday. Over the last 90 days, analysts have lowered estimates 11 times and raised them 6 times.

If you're a bull you'll primarily care about three things. The first is that the reported EPS beat analysts estimates. The second is that the beat is on higher than expected revenues. Third, that the company guides analysts to robust growth going forward. If all check out, the stock should react accordingly.

Bears are one of the most intelligent land animals in North America. Which is why they'll be listening for news that the company misses on EPS, Revenues, or future guidance. They will look to push a negative growth story for the stock in the coming quarters, and will gain more traction in a generally down market as opposed a market that is generally trending upwards.

Regardless of which side of the fence you're on, it's important to note that sometimes the company's earnings report plays less of a role in moving the price than the analysts' estimates. This can be caused by a change in the analysts' estimates based on the Q&A from the conference call with management discussing the earnings report.

Share price moves can have an impact on existing shareholder sentiment. As of August 30 shares of RH are trading at $266.94. Over the last 52-week period, the price is down -63.63%.