|Bid||48.00 x 1100|
|Ask||69.80 x 900|
|Day's range||53.49 - 55.97|
|52-week range||46.92 - 73.99|
|Beta (3Y monthly)||1.21|
|PE ratio (TTM)||16.39|
|Earnings date||14 Nov 2018 - 19 Nov 2018|
|Forward dividend & yield||1.72 (3.22%)|
|1y target est||56.28|
In the third quarter, RH (RH) posted EPS of $0.81. However, removing special items, the company’s adjusted EPS stood at $1.73, a rise of 66.3% from $1.04 in the third quarter of 2017. This EPS growth was driven by its revenue growth, the expansion of its adjusted operating margin, and its lower effective tax rate.
In the third quarter, RH (RH) posted an adjusted operating margin of 10.3% compared to 8.1% in the corresponding quarter of the previous year. The expansion in RH’s adjusted operating margin was driven by an improvement in its gross margin, which was partially offset by increased SG&A (selling, general, and administrative) expenses and the adoption of a new revenue recognition standard. Strong full-price sales, higher outlet margins, and the implementation of a new operating platform helped the company expand its gross margin from 36.9% in the third quarter of 2017 to 40.7% in the third quarter of 2018.
RH earns its revenue from both direct sales and store sales. During the third quarter, the company’s store sales formed 58% of its total revenue, while its direct sales generated the remaining 42%. RH’s revenue growth was driven by growth in both its store and direct sales.
RH (RH) posted its third-quarter earnings results after the market closed on December 3. For the quarter that ended on November 3, the company posted adjusted EPS of $1.73 on revenue of $638.5 million.
On November 29, At Home Group (HOME) was trading at a 12-month forward PE ratio of ~19.0x. In contrast, Williams-Sonoma (WSM), RH (RH), Bed Bath & Beyond (BBBY), and Home Depot (HD) were trading at a 12-month forward PE ratios of 12.6x, 14.0x, 7.3x, and 17.2x, respectively.
NEW YORK, Dec. 04, 2018 -- In new independent research reports released early this morning, Fundamental Markets released its latest key findings for all current investors,.
As of November 29, At Home Group (HOME) stock has fallen 8.8% YTD (year-to-date) to $27.71. In comparison, RH (RH) and Williams Sonoma (WSM) stocks have delivered YTD gains of 8.1% and 32.9%, respectively. On the other hand, Home Depot (HD) and Bed Bath and Beyond (BBBY) have fallen 7.3% and 41.9%, respectively, YTD.
Why are analysts bullish on HOME? Ahead of its upcoming fiscal 2019 third-quarter earnings announcement, At Home Group (HOME) has been rated as a “buy” by 100% of the analysts covering its stock. For the quarter, analysts expect At Home’s net sales to rise 24.6% to $265.4 million.
At Home Group (HOME) is set to announce its results for the third quarter of fiscal 2019 on December 4. On a reported basis, its EPS were -$0.16 compared to the EPS of $0.15 it reported in the same quarter of fiscal 2018. In the quarter, its advertising costs are expected to see a deleveraging of 35–45 basis points.
At Home Group (HOME) is scheduled to announce its earnings results for the third quarter of fiscal 2019 on December 4. Analysts expect At Home Group to report net sales growth of 24.6% to $265.4 million in the quarter. In the third quarter of fiscal 2018, Williams-Sonoma (WSM) reported sales of $1.36 billion, representing 4.4% growth YoY (year-over-year), but it missed analysts’ estimate by 0.8%.
Laura Alber has been the CEO of Williams-Sonoma Inc (NYSE:WSM) since 2010. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar Read More...
Comparable brand revenue (comps) growth, the addition of new galleries and improvement in direct sales will likely aid RH's fiscal third-quarter revenues.
Among the 32 analysts that follow Lowe’s (LOW), 75% recommended a “buy,” while 25% recommended a “hold.” None of the analysts recommended a “sell.” On average, analysts have given Lowe’s a 12-month target price of $111.14, which represents an upside potential of 18.6% from its stock price of $93.69. Since the announcement of Lowe’s third-quarter earnings on November 20, UBS, Baird, Wedbush, and Credit Suisse have all slashed their target prices. Credit Suisse lowered its target price rom $111 to $99.
On average, analysts have a 12-month price target of $154.32 on the stock, which represents a potential upside of 32.3% from its current price of $116.61. On November 27, Wells Fargo resumed coverage of RH with an “outperform” rating and a price target of $145.
For the first three quarters of 2018, Lowe’s (LOW) posted an adjusted EPS of $4.21—15.3% growth from $3.65 in the first three quarters of 2017. The EPS growth was driven by the company’s revenue growth, lower effective tax rate, and share repurchases. Lowe’s has repurchased shares worth ~2.5 billion in the first three quarter of 2018.
In the first three quarters of 2018, Lowe’s (LOW) posted revenues of $55.66 billion—4.8% growth from $53.13 in the same quarters the previous year. The revenue growth was driven by positive SSSG (same-store sales growth) and the adoption of a new accounting standard, which contributed ~$510 million. The company posted an SSSG of 0.6%, 5.2%, and 1.5% in the first, second, and third quarters, respectively.
As of November 28, Lowe’s (LOW) was trading at $93.69, which represents a rise of 2.6% since the announcement of its third-quarter earnings on November 20. Currently, the company is trading 15.4% higher than its 52-week low of $81.16 and 20.4% lower than its 52-week high of $117.70.
In the third quarter, analysts expect RH (RH) to post adjusted EPS of $1.27, a rise of 22.1% from $1.04 in the corresponding quarter of 2017. RH’s EPS growth is expected to be driven by revenue growth, net margin expansion, and share repurchases.
Analysts expect RH (RH) to post revenue of $632.2 million in the third quarter, a rise of 6.7% from $592.5 million in the third quarter of 2017. This revenue growth is expected to be driven by its SSSG (same-store sales growth), the addition of new galleries, and growth in its direct sales. In 2018, RH has opened three new galleries: the Portland gallery on April 9, the Nashville gallery on July 2, and the New York gallery on September 12.
RH (RH) is scheduled to post its third-quarter earnings results after the market closes on December 4. As of November 28, RH is trading at $116.61, a fall of 22.9% since its announcement of its second-quarter earnings results on September 4. In the second quarter, which ended on August 4, RH posted adjusted EPS of $2.05, outperforming analysts’ expectation of $1.74.
Has Home Depot Stock Bottomed Out? Of the 35 analysts that follow Home Depot (HD), 73.5% are favoring “buys,” and 26.5% are favoring “holds” on its stock. No analysts are currently favoring “sell” ratings on the stock.
Has Home Depot Stock Bottomed Out? For the next four quarters, analysts expect Home Depot (HD) to post adjusted EPS of $10.20, a rise of 9.4% from $9.33 in the corresponding four quarters of the previous year. For 2018, Home Depot’s management expects its diluted EPS to be in the range of $9.75, which represents a rise of 33.8% from $7.29 in 2017.
On November 26, Home Depot (HD) was trading at $168.85, a fall of 5.7% since its announcement of its fiscal 2018 third-quarter earnings results on November 13.
Efforts to redesign supply chain network as well as rationalize product offerings will aid RH to post improved fiscal Q3 numbers.