Why Is RH Stock Down 40%?
1. RH stock has dropped 40% year-to-date amid housing market concerns. 2. Q1 FY2025 revenue increased 12% to $814 million, exceeding expectations. 3. RH now trades at 15x forward earnings, down from 25-30x historically. 4. Management forecasts revenue growth of 10-13% despite market challenges. 5. Expansion into lifestyle branding may yield higher margins and growth.