RH price target lowered to $300, removed from ‘Best Idea’ list at Guggenheim

Guggenheim lowered the firm’s price target on RH (RH) to $300 from $500 and keeps a Buy rating on the shares, on which the analyst is removing a “Best Idea” designation given how impactful the reciprocal tariffs could be to the furniture and furnishings industry. Though the firm views RH’s Q4 demand strength favorably, the reciprocal tariffs announced by the Trump administration have “brought forth an enormous amount” of near-term sales and margin uncertainty given the potential for a 30%-35% potential increase in product costs, the analyst tells investors in a post-earnings note.