Market Overview

UPDATE: Bank of America Initiates Restoration Hardware at Neutral

Related RH
UPDATE: Barrington Initiates Coverage On Restoration Hardware
Kroger Boosts Shareholder Value with New Share Buyback Plan - Analyst Blog
Restoration Hardware Sparks Rally With Beat-And-Raise (Fox Business)

Bank of America initiated coverage on Restoration Hardware (NYSE: RH) with a Neutral rating and a $39 price objective.

Bank of America said, "We forecast a 20% long-term EPS growth rate, which is ahead of peers and should support a high multiple for the stock. We expect sales growth to be driven by outsized store comps from the rollout of new categories. RH's unique real estate strategy will drive sales productivity over the long term while its direct business benefits from effective catalog distribution, in our view. The stock's valuation reflects strong growth at 28x our F2013 EPS est. of $1.35 versus the peer group at 19x."

Restoration Hardware closed at $37.99 on Monday.

Posted-In: Bank of AmericaAnalyst Color Initiation Intraday Update Analyst Ratings

 

Related Articles (RH)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters