Investors are warming back up to RH (NYSE: RH) stock. The high-end furnishings giant's shares jumped nearly 50% over the past three months despite the fact that sales are down and the industry remains in price-cutting mode.
Is Wall Street right to sound the all-clear signal for this stock, or should investors wait for more clarity around consumer spending patterns before buying? Let's take a closer look.
RH's latest results show that the furniture seller is making the best out of a bad situation. Sales fell to $869 million in the most recent quarter from $1 billion a year earlier. Revenue is down modestly over the last three full quarters, too.
Source Fool.com