RH Management
Management criteria checks 4/4
RH's CEO is Gary Friedman, appointed in Jan 2014, has a tenure of 12.33 years. total yearly compensation is $1.26M, comprised of 99% salary and 1% bonuses, including company stock and options. directly owns 17.55% of the company’s shares, worth $442.51M. The average tenure of the management team and the board of directors is 3.5 years and 12.6 years respectively.
Key information
Gary Friedman
Chief executive officer
US$1.3m
Total compensation
| CEO salary percentage | 99.05% |
| CEO tenure | 12.3yrs |
| CEO ownership | 17.5% |
| Management average tenure | 3.5yrs |
| Board average tenure | 12.6yrs |
Recent management updates
Recent updates
Narrative Update • May 06
RH: Future Returns Will Depend On Execution Against Higher P E Expectations
RH's updated fair value estimate has been reduced from about $210 to about $159 as analysts lower price targets across the Street. This reflects adjusted assumptions for revenue growth, profit margins, discount rate and future P/E multiples.Seeking Alpha • May 01
Restoration Hardware: Sales Slowdown Is Concerning, Despite Cheap FCF Multiple (Downgrade)
Summary Restoration Hardware is downgraded to "Neutral" as consumer weakness drives a sharp slowdown in revenue growth and a ~30% YTD share price decline. RH maintains strong gross margins in the mid-40s and leverages upscale branding but faces a steep Q1 sales decline and rising leverage concerns. Management's FY26 guidance implies 4%-8% revenue growth, but near-term headwinds include a -2% to -4% Q1 revenue decline and heavy capex-funded debt. The company's outlook banks heavily on a successful launch of the high-end RH Estates brand, which may flop in a tough macroeconomy. Valuation is fair at ~9x EBITDA and ~14x FCF, but the chance for an upward re-rating is low as sales trends sour. Read the full article on Seeking Alpha
Narrative Update • Apr 21
RH: Premium Brand And Outdoor Focus Will Support Future Profitability
RH's updated fair value estimate moves from $295.00 to $265.61 as analysts incorporate lower price targets and reset expectations around growth, margins, and the P/E multiple following a broad wave of target cuts across the Street. Analyst Commentary The recent reset in RH's fair value estimate aligns with a cluster of updated price targets across Wall Street, as analysts factor in revised assumptions on growth, margins, and the P/E multiple.
Narrative Update • Apr 07
RH: Clustered Price Cuts And Leadership Turnover Will Pressure Future Share Performance
RH's analyst price target is revised lower from $130 to $88, as analysts factor in updated assumptions for slower revenue growth, reduced profit margins, a higher discount rate, and a higher future P/E multiple. Analyst Commentary Recent Street research on RH leans cautious, with a cluster of firms cutting price targets across the board.Narrative Update • Mar 24
RH: Outdoor Expansion And Brand Strength Will Support Future Profitability Potential
RH's updated analyst price target framework reflects mixed Street views, with some firms trimming targets, such as UBS cutting its target to $160 from $188, while others are raising their targets by $25 to $65 increments, as analysts reassess discount rates, revenue growth, profit margin and future P/E assumptions. Analyst Commentary Recent commentary around RH highlights a split view, with some firms trimming price targets and others lifting them by meaningful increments.Narrative Update • Mar 10
RH: Fine Tuned Expectations And Leadership Change Will Shape Future Share Performance
Analysts have raised their RH price targets by $25 to $65, citing updated views on the company's discount rate, revenue growth, profit margin and future P/E assumptions. Analyst Commentary Recent Street research continues to focus on RH's valuation framework, tying price target adjustments to assumptions around discount rates, revenue growth, profit margins and future P/E multiples.Narrative Update • Feb 24
RH: Raised Expectations And Leadership Turnover Will Pressure Future Share Performance
Analysts have nudged RH's long term outlook higher, with recent price target increases of $25, $65 and $25 indicating slightly stronger confidence in its revenue growth, profit margins and P/E assumptions, despite some leadership changes. Analyst Commentary Recent research updates on RH point to a mixed backdrop where higher price targets sit alongside a more cautious tone on execution, leadership stability and growth expectations.Narrative Update • Feb 10
RH: Lower Earnings Multiple Will Pressure Shares Despite Upbeat Guidance
Analysts have reduced their RH fair value estimate from $179.00 to $130.00, citing a higher discount rate, a lower assumed future P/E multiple of 7.90, and updated views on revenue growth and profit margins informed by recent target hikes from several firms and leadership changes. Analyst Commentary Recent Street research on RH has combined higher price targets with a more conservative framework for valuation and execution, which helps explain why some analysts are trimming fair value estimates even as individual targets move up.Narrative Update • Jan 25
RH: Future Returns Will Balance Higher P/E Expectations And Execution Risks
Narrative Update Analysts have raised their price expectations for RH, reflected in a higher fair value estimate from about US$200.65 to US$210.35. This change incorporates updated targets and supporting research on growth, discount rates and future P/E assumptions.Narrative Update • Jan 11
RH: New Detroit Gallery Expansion Will Support Future Profitability Potential
Analysts now see lower upside for RH, cutting their average price target from US$364.99 to US$295.00 as they factor in more moderate assumptions for revenue growth, profit margins and fair value, despite a similar forward P/E outlook. What's in the News RH issued earnings guidance for the fourth quarter, with expected revenue growth of 7% to 8% for that period.Analysis Article • Jan 07
RH (NYSE:RH) Looks Just Right With A 31% Price Jump
RH ( NYSE:RH ) shareholders would be excited to see that the share price has had a great month, posting a 31% gain and...Narrative Update • Dec 26
RH: Future Returns Will Reflect Higher Risk And Moderating Profit Outlook
Analysts have lowered their price target on RH from approximately $262 to $201 per share, citing more conservative assumptions for revenue growth, profit margins, and valuation multiples to reflect a higher perceived risk profile. What's in the News RH opened RH Detroit, The Gallery in Birmingham, a four level, 60,000 square foot immersive retail space that combines residential design with hospitality elements (company announcement).Narrative Update • Dec 12
RH: New Gallery Openings Will Support Stronger Profitability Ahead
Analysts have reduced their price target on RH to approximately $365 from about $412, citing slightly slower expected revenue growth, a higher discount rate, and a modestly lower future earnings multiple, partially offset by a small improvement in projected profit margins. What's in the News Opened RH Detroit, The Gallery in Birmingham, a four level, 60,000 square foot immersive space that combines residential design, retail, indoor and outdoor areas, and hospitality elements (company announcement) Launched RH Manhasset, The Gallery at Americana, a three level, 19,000 square foot gallery that integrates luxury home furnishings with curated art, antiques, and artifacts from around the world (company announcement) Valuation Changes The fair value estimate has fallen moderately to approximately $365 from about $412, reflecting a more conservative outlook.Analysis Article • Aug 04
Investors Still Waiting For A Pull Back In RH (NYSE:RH)
When close to half the companies in the United States have price-to-earnings ratios (or "P/E's") below 18x, you may...Analysis Article • May 14
Calculating The Fair Value Of RH (NYSE:RH)
Key Insights RH's estimated fair value is US$190 based on 2 Stage Free Cash Flow to Equity Current share price of...Analysis Article • Apr 18
RH (NYSE:RH) Shares Slammed 27% But Getting In Cheap Might Be Difficult Regardless
To the annoyance of some shareholders, RH ( NYSE:RH ) shares are down a considerable 27% in the last month, which...Analysis Article • Mar 04
RH (NYSE:RH) Shares Slammed 27% But Getting In Cheap Might Be Difficult Regardless
RH ( NYSE:RH ) shares have had a horrible month, losing 27% after a relatively good period beforehand. Looking back...Analysis Article • Dec 18
Why Investors Shouldn't Be Surprised By RH's (NYSE:RH) 30% Share Price Surge
RH ( NYSE:RH ) shares have had a really impressive month, gaining 30% after a shaky period beforehand. Looking back a...Seeking Alpha • Dec 13
RH: Demand Growth Is Accelerating, Initiate With 'Buy' Rating
Summary RH is well-positioned in the high-end furniture market, reporting 8.1% revenue growth and 120.9% adjusted operating income growth, with a 'Buy' rating and $482 target price. Strong demand and market share gains are driven by product transformations and unique targeted marketing via sourcebooks, with 80% of products selling at full price. RH forecasts 9.9%-10.4% demand growth for FY24, with expected benefits from price growth and new product categories, despite a weak housing market. Key risks include potential tariff increases, economic downturns in the housing market, fluctuating raw material costs, and high debt levels, but strong demand supports the 'Buy' rating. Read the full article on Seeking AlphaAnalysis Article • Dec 02
Returns On Capital Signal Tricky Times Ahead For RH (NYSE:RH)
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...Seeking Alpha • Oct 29
RH: Ambitious Luxury Vision Meets Liquidity Issues - Why I Sold
Summary I sold my RH shares at $340 due to liquidity risks from questionable capital allocation, despite a 17% profit and long-term confidence in CEO Gary Friedman. RH's aggressive debt-funded buybacks weakened its balance sheet, reducing cash reserves and increasing net debt, creating significant financial strain. Rising interest rates and a slowing housing market have severely impacted RH's cash flow, leading to negative free cash flow and heightened debt servicing obligations. While RH's long-term potential remains compelling, current liquidity challenges and financial instability make reinvestment speculative until the balance sheet strengthens. Read the full article on Seeking AlphaSeeking Alpha • Oct 16
RH's Transformation And Footprint Expansion Continue Amid Challenges
Summary RH demonstrates resilience with Q2 2024 net revenues of $830 million, a 3.6% YoY increase, and an 11.7% adjusted operating margin. RH's strategic investments in product transformation and Gallery expansion are paying off, despite margin pressures and a challenging housing market. Consolidating RH Contemporary into RH Interiors and RH Modern collections streamlines offerings, optimizing marketing strategies and maintaining high standards. Long-term growth hinges on global expansion and scaling Waterworks, but adapting to local preferences and managing startup costs are critical challenges. Read the full article on Seeking AlphaSeeking Alpha • Oct 01
RH: Demand Should Improve In FY25
Summary I reiterate my buy rating for RH, expecting a surge in demand and earnings growth acceleration in FY25 due to an improved macro situation. The recent rate cuts and anticipated further reductions should enhance home affordability, driving more home purchases and consequently, more furniture sales for RH. RH's new product strategy and upcoming design gallery openings will capitalize on the expected demand surge, positioning the company for significant growth. Read the full article on Seeking AlphaAnalysis Article • Sep 28
After Leaping 27% RH (NYSE:RH) Shares Are Not Flying Under The Radar
Despite an already strong run, RH ( NYSE:RH ) shares have been powering on, with a gain of 27% in the last thirty days...
New Narrative • Sep 24
Innovation, Expansion, And Elevated Experiences Propel Growth
Strategic investments in product transformation and international expansion position RH for long-term growth and increased market share.Analysis Article • Aug 29
RH's (NYSE:RH) Returns On Capital Not Reflecting Well On The Business
If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'll want to see a proven...Seeking Alpha • Aug 28
The RH Comeback Story: Why I'm Staying Long, Ignoring The Noise
Summary I invested in RH stock in March 2020 and has remained long despite substantial volatility in stock prices. RH has entered a difficult operating period, with growth proving to be hard to come by. RH is focused on reviving growth through product innovation, platform expansion, enhanced digital presence, and international expansion. Despite short-term challenges such as the housing market slowdown and delayed project execution, RH’s unique positioning in the luxury market and strategic initiatives position it for long-term success. Read the full article on Seeking AlphaAnalysis Article • Jul 21
RH's (NYSE:RH) P/E Is Still On The Mark Following 26% Share Price Bounce
RH ( NYSE:RH ) shareholders would be excited to see that the share price has had a great month, posting a 26% gain and...CEO Compensation Analysis
| Date | Total Compensation | Salary | Company Earnings |
|---|---|---|---|
| Jan 31 2026 | n/a | n/a | US$125m |
| Nov 01 2025 | n/a | n/a | US$110m |
| Aug 02 2025 | n/a | n/a | US$107m |
| May 03 2025 | n/a | n/a | US$84m |
| Feb 01 2025 | US$1m | US$1m | US$72m |
| Nov 02 2024 | n/a | n/a | US$70m |
| Aug 03 2024 | n/a | n/a | US$35m |
| May 04 2024 | n/a | n/a | US$82m |
| Feb 03 2024 | US$1m | US$1m | US$128m |
| Oct 28 2023 | n/a | n/a | US$223m |
| Jul 29 2023 | n/a | n/a | US$324m |
| Apr 29 2023 | n/a | n/a | US$370m |
| Jan 28 2023 | US$3m | US$1m | US$529m |
| Oct 29 2022 | n/a | n/a | US$569m |
| Jul 30 2022 | n/a | n/a | US$654m |
| Apr 30 2022 | n/a | n/a | US$759m |
| Jan 29 2022 | US$5m | US$1m | US$689m |
| Oct 30 2021 | n/a | n/a | US$672m |
| Jul 31 2021 | n/a | n/a | US$534m |
| May 01 2021 | n/a | n/a | US$406m |
| Jan 30 2021 | US$178m | US$1m | US$272m |
| Oct 31 2020 | n/a | n/a | US$210m |
| Aug 01 2020 | n/a | n/a | US$216m |
| May 02 2020 | n/a | n/a | US$181m |
| Feb 01 2020 | US$4m | US$1m | US$220m |
Compensation vs Market: Gary's total compensation ($USD1.26M) is below average for companies of similar size in the US market ($USD7.08M).
Compensation vs Earnings: Gary's compensation has been consistent with company performance over the past year.
CEO
Gary Friedman (67 yo)
12.3yrs
Tenure
US$1,262,000
Compensation
Mr. Gary G. Friedman has been the Chairman and Chief Executive Officer of Restoration Hardware Holdings, Inc. (now RH) since July 2, 2013 and January 31, 2014 respectively. He is a Founder of the RH brand...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 12.3yrs | US$1.26m | 17.55% $ 442.5m | |
| President | no data | US$4.69m | 0.26% $ 6.5m | |
| Chief Financial Officer | 7.2yrs | US$3.48m | 0.015% $ 373.2k | |
| President | 1yr | no data | 0.032% $ 803.4k | |
| President and Chief Manufacturing & Sourcing Officer | less than a year | no data | no data | |
| Chief Accounting Officer | 4.7yrs | no data | 0.013% $ 315.7k | |
| Chief People & Values Officer | no data | no data | no data | |
| Chief Real Estate & Transformation Officer | less than a year | US$801.84k | no data | |
| President of Furniture Operations & Home Delivery and Chief Supply Chain Officer | 7.3yrs | no data | no data | |
| Chief Real Estate & Development Officer | 2.3yrs | no data | no data | |
| CEO & Creative Director of Waterworks | no data | no data | no data |
3.5yrs
Average Tenure
51yo
Average Age
Experienced Management: RH's management team is considered experienced (3.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 12.8yrs | US$1.26m | 17.55% $ 442.5m | |
| President | 13.5yrs | US$4.69m | 0.26% $ 6.5m | |
| Director | 10.1yrs | US$238.40k | 0.030% $ 755.0k | |
| Independent Director | 12.1yrs | US$313.40k | 0.081% $ 2.0m | |
| Lead Independent Director | 16.7yrs | US$10.10m | 0.34% $ 8.6m | |
| Independent Director | 15.9yrs | US$238.40k | 0.12% $ 3.1m | |
| Independent Director | 9.9yrs | US$263.40k | 0.041% $ 1.0m | |
| Independent Director | 12.6yrs | US$263.40k | 0.064% $ 1.6m | |
| Independent Director | 11.3yrs | US$253.40k | 0.057% $ 1.4m |
12.6yrs
Average Tenure
67yo
Average Age
Experienced Board: RH's board of directors are seasoned and experienced ( 12.6 years average tenure).
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/05/11 05:36 |
| End of Day Share Price | 2026/05/08 00:00 |
| Earnings | 2026/01/31 |
| Annual Earnings | 2026/01/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
| |
| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
| |
| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
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Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
RH is covered by 30 analysts. 19 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Peter Benedict | Baird |
| Adrienne Yih-Tennant | Barclays |
| Seth Sigman | Barclays |