RH reported mixed Q2 fiscal 2026 results, with adjusted EPS beating estimates but revenue missing. Following this, several analysts lowered their price targets, though one maintained a Buy rating and raised estimates due to the potential of the new RH Estates collection.
RH reported adjusted earnings that beat Street estimates but revenue that missed, leading to a mixed Q2 performance. This mixed bag prompted several analysts to revise their price targets downwards, indicating a cautious outlook. However, the Guggenheim analyst maintained a Buy rating and raised estimates, citing the potential of the new RH Estates collection to significantly expand the company's total addressable market and drive future growth. This suggests a short-term negative sentiment due to the mixed results and price target cuts, but a long-term opportunity if the Estates collection proves as successful as anticipated, potentially offsetting current concerns.