RH price target lowered to $300 from $530 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on RH (RH) to $300 from $530 and keeps an Overweight rating on the shares. The earnings path the firm had been optimistic about a couple of months ago is “not playing out” due to lower demand, higher costs, and “potentially some more margin/markdown pain than we were anticipating,” says the analyst, who notes that the firm’s lowered target reflects a 45% lower FY26 adjusted EPS forecast and 2% higher target multiple following the company’s Q4 report.