Is RH Stock a Buy as Furniture Tariff Increases Get Delayed?

The furniture industry just got a bit of breathing room on the tariff front. On Dec. 31, the White House said it would delay a planned increase in tariff rates for upholstered furniture, kitchen cabinets, and vanities that was scheduled to take effect on Jan. 1, 2026, while leaving the current 25% tariff in place.

Shares of RH (NYSE: RH) and other furniture companies rose on the news. Tariff uncertainty has been one more weight on an already choppy backdrop for the luxury furniture specialist. The company has been up against "the worst housing market in almost 50 years," RH CEO Gary Friedman told investors in the company's third-quarter update.

Despite the challenges it has faced, RH has returned to top-line growth and is reporting substantial free cash flow. In addition, it has been investing heavily in a global expansion it hopes will dramatically expand its addressable market.

Source Fool.com

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