Guggenheim Lowers RH Price Target to $200.00

Analysts remain divided on the home furnishings retailer's near-term outlook

Apr. 1, 2026 at 7:03pm

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Guggenheim research analysts have lowered their price target for RH (NYSE:RH) stock from $275.00 to $200.00, while maintaining a 'buy' rating. This comes after RH reported Q4 results that missed analyst expectations on both earnings and revenue. The company also provided guidance that suggests near-term margin compression as it invests in expansion and pre-opening costs.

Why it matters

RH's stock price has fallen sharply following the earnings miss, hitting a new 52-week low. Analysts are divided on the company's near-term prospects, with some remaining constructive on the long-term growth potential, while others have cut forecasts and price targets amid concerns over the softer housing and consumer backdrop, high leverage, and recent insider sales.

The details

In their research note, Guggenheim analysts cited the Q4 revenue and earnings miss, as well as RH's guidance for fiscal 2026 revenue growth of 4-8% and an adjusted EBITDA margin target of 14-16%. This implies near-term margin compression as the company spends on expansion and pre-opening costs. Management also noted about $30 million in late-quarter disruptions from tariffs, resourcing, and backlogs, as well as $10 million in weather-related impacts.

  • RH reported Q4 2025 results on March 31, 2026.
  • Guggenheim issued its updated price target and rating on April 1, 2026.

The players

Guggenheim

An American financial services firm that provides research coverage on RH.

RH

An American luxury home furnishings retailer, formerly known as Restoration Hardware.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee

The takeaway

RH's Q4 results and guidance have sparked a sharp selloff in the stock, with analysts divided on the company's near-term outlook. While some remain constructive on the long-term potential, others have cut forecasts and price targets amid concerns over the softer housing and consumer backdrop, high leverage, and recent insider sales. The company's ability to navigate these headwinds and execute on its expansion plans will be key to restoring investor confidence.