Why RH Stock Gained 19% in September
RH (NYSE: RH) investors beat the market month as the stock gained 19% compared to a 2% increase in the S&P 500, according to S&P Global Market Intelligence. The rally put Restoration Hardware shares back in solidly positive territory for the year, up 42% after having been down more than 20% in early June.
September's jump was powered by surprisingly strong second-quarter earnings results. RH revealed on Sept. 10 that adjusted sales rose 10% and adjusted operating margin shot up to 14.7% of sales from 12.8% a year earlier. These wins combined to push adjusted earnings to $3.20 per share, or far above the figure Wall Street was expecting.
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Source Fool.com
