Why RH Shares Plunged Thursday
RH (NYSE: RH), the luxury furnishings company formerly known as Restoration Hardware, just shocked investors by slashing its outlook for its current fiscal quarter as well as the full year. Investors poured out of the stock on the news. Shares were down 11% as of 10:45 a.m. ET.
RH now sees revenue dropping year over year in its second quarter and the second half of the fiscal year. Net revenue soared 32% in fiscal 2021 compared to the prior-year period. And in its first-quarter report earlier this month, the company said it expected fiscal 2022 sales to continue to grow as much as another 2%. But now the company has adjusted that outlook and expects full-year net revenue to drop in a range of 2% to 5% compared to last year.
Source Fool.com
