Press Release: Rh To Report Third Quarter Fiscal 2025 Financial Results On December 11, 2025

What Happened?

Shares of luxury furniture retailer RH jumped 4.1% in the afternoon session after the company announced the opening of a new large-scale design gallery in Detroit. The new location, named RH Detroit, The Gallery in Birmingham, was described as a 60,000-square-foot, four-level immersive retail experience. This concept blended retail with hospitality, featuring a Rooftop Restaurant and a landscaped outdoor lounge. Chairman and CEO Gary Friedman noted that the space was part of a quest to elevate the brand through experiences that "cannot be replicated online." The opening was part of RH's broader plan to establish immersive Design Galleries in every major market, a move the company believed would help it reach revenue goals of $5 to $6 billion in North America.

After the initial pop the shares cooled down to $163.54, up 4.1% from previous close.

Is now the time to buy RH? Access our full analysis report here.

What Is The Market Telling Us

RH’s shares are extremely volatile and have had 41 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 12 days ago when the stock gained 10.3% on the news that comments from a key Federal Reserve official boosted investor optimism for a potential interest rate cut. New York Federal Reserve President John Williams, a voting member of the rate-setting committee, suggested he sees room for "further policy easing," which sent a strong signal to the markets. Following his remarks, the probability of a December rate cut, as measured by the CME FedWatch Tool, surged from 39% to 71%. Lower interest rates can stimulate the economy by making borrowing cheaper for both consumers and businesses, which often translates to increased consumer spending. This prospect is outweighing recent reports of lower consumer confidence, as investors bet that a more accommodative Fed policy will support retailers through the holiday season.

RH is down 58.6% since the beginning of the year, and at $163.54 per share, it is trading 64% below its 52-week high of $454.52 from January 2025. Investors who bought $1,000 worth of RH’s shares 5 years ago would now be looking at an investment worth $356.95.

What Happened?

A number of stocks jumped in the afternoon session after comments from a key Federal Reserve official boosted investor optimism for a potential interest rate cut. 

New York Federal Reserve President John Williams, a voting member of the rate-setting committee, suggested he sees room for "further policy easing," which sent a strong signal to the markets. Following his remarks, the probability of a December rate cut, as measured by the CME FedWatch Tool, surged from 39% to 71%. Lower interest rates can stimulate the economy by making borrowing cheaper for both consumers and businesses, which often translates to increased consumer spending. This prospect is outweighing recent reports of lower consumer confidence, as investors bet that a more accommodative Fed policy will support retailers through the holiday season.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Home Furniture Retailer company RH jumped 10.3%. Is now the time to buy RH? Access our full analysis report here, it’s free for active Edge members.
• Apparel Retailer company Torrid jumped 11.8%. Is now the time to buy Torrid? Access our full analysis report here, it’s free for active Edge members.
• Vehicle Retailer company Camping World jumped 10.9%. Is now the time to buy Camping World? Access our full analysis report here, it’s free for active Edge members.
• Boat & Marine Retailer company MarineMax jumped 10.5%. Is now the time to buy MarineMax? Access our full analysis report here, it’s free for active Edge members.

Zooming In On Torrid (CURV)

Torrid’s shares are extremely volatile and have had 49 moves greater than 5% over the last year. But moves this big are rare even for Torrid and indicate this news significantly impacted the market’s perception of the business.

The biggest move we wrote about over the last year was 5 months ago when the stock dropped 36.4% on the news that the company announced a public offering of 10 million shares of its common stock by selling stockholders. The offering was priced at $3.50 per share, and the company itself will not receive any proceeds from the sale. This type of secondary offering can concern investors as it increases the number of shares available for trade, potentially diluting the value of existing shares, and can signal that major investors are looking to sell their positions. Separately, Torrid has agreed to buy back $20 million of its stock from one of the selling stockholders, Sycamore Partners, at the same offering price. However, this repurchase was not enough to offset the negative sentiment from the large secondary offering, leading to a significant sell-off in the stock.

Torrid is down 76% since the beginning of the year, and at $1.27 per share, it is trading 82.1% below its 52-week high of $7.06 from January 2025. Investors who bought $1,000 worth of Torrid’s shares at the IPO in June 2021 would now be looking at an investment worth $52.38.

What Happened?

A number of stocks fell in the afternoon session after markets faded the Nvidia rally in the morning session, as investors remained uncertain about future rate cuts. 

While the trading day began with significant enthusiasm, pushing the Dow Jones Industrial Average up more than 700 points and the Nasdaq Composite up 2.6%, momentum quickly evaporated as the session wore on. The primary catalyst for this sharp reversal was a stronger-than-expected jobs report, which reduced the implied odds of a December interest rate cut to less than 40%.This macroeconomic anxiety overshadowed stellar corporate performance. Nvidia initially surged 5% on blockbuster earnings and CEO Jensen Huang's bullish outlook on "off the charts" demand for Blackwell chips. However, the stock eventually turned negative, acting as a heavy weight that dragged the broader indices into the red. The sell-off partly reflects a deepening caution regarding high-flying tech valuations in a "higher-for-longer" rate environment. 

Consequently, investors appeared to rotate capital away from volatile growth sectors and toward defensive staples, evidenced by Walmart's 6% gain following its own earnings beat. Ultimately, the market could not sustain the morning's euphoria, as traders prioritized rate realities over AI potential.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Home Furniture Retailer company RH fell 2.8%. Is now the time to buy RH? Access our full analysis report here, it’s free for active Edge members.
• Auto Parts Retailer company Advance Auto Parts fell 3.1%. Is now the time to buy Advance Auto Parts? Access our full analysis report here, it’s free for active Edge members.

Zooming In On Advance Auto Parts (AAP)

Advance Auto Parts’s shares are extremely volatile and have had 36 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 20 days ago when the stock dropped 7.6% on the news that several analysts cut their price targets on the stock following the company's third-quarter earnings report, raising concerns about its turnaround plan and future performance. 

Although the company reported a 3.0% increase in comparable store sales and a return to adjusted profitability, the news was overshadowed by analyst skepticism. DA Davidson and Morgan Stanley both lowered their price targets on Advance Auto Parts to $55. Analysts from UBS also expressed caution, maintaining a hold rating and citing worries about whether the positive trends could last given potential "consumer headwinds." Broader concerns also lingered, as the company had been dealing with deepening losses in previous years and faced costs tied to store closures, adding to uncertainty about its path to profitability.

Advance Auto Parts is flat since the beginning of the year, and at $48.40 per share, it is trading 27.2% below its 52-week high of $66.50 from July 2025. Investors who bought $1,000 worth of Advance Auto Parts’s shares 5 years ago would now be looking at an investment worth $335.31.