A legal investigation is underway following a significant drop in stock value triggered by disappointing earnings results released earlier this month. The inquiry focuses on whether misleading statements or material omissions may have been made to investors.
Robbins Geller Rudman & Dowd LLP is examining potential violations of U.S. federal securities laws. The investigation centres on whether executives provided false or incomplete disclosures regarding the company's financial position. Investors who experienced losses or those with relevant information have been encouraged to come forward.
The company under investigation, RH, operates as a high-end home furnishings retailer and lifestyle brand. On 2 April 2025, it reported fourth-quarter and full fiscal year 2024 results, with earnings per share of $1.58 on revenue of $812 million. Both figures fell short of earlier guidance, which had projected earnings per share of $1.92 and revenue of $830 million.
The unexpected financial performance triggered a sharp market response, with RH's stock price dropping more than 40% following the announcement.
Investors seeking further information or wishing to join the investigation can contact Robbins Geller attorneys J.C. Sanchez or Jennifer N. Caringal, or visit the law firm's website.
Source: www.hfbusiness.com