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RH BREAKING NEWS: RH’s 60% Stock Drop Triggers Securities Fraud Investigation; Contact BFA Law about how to Potentially Recover Investment Losses

Leading securities law firm Bleichmar Fonti & Auld LLP announces an investigation into RH (NYSE: RH) for potential violations of the federal securities laws.

If you invested in RH, you are encouraged to obtain additional information by visiting https://www.bfalaw.com/cases-investigations/rh.

Why is RH being Investigated?

RH is a retailer and luxury lifestyle brand operating primarily in the home furnishings market that offers merchandise assortments across a number of categories, including furniture, lighting, textiles, bathware, décor, outdoor and garden, and baby, child and teen furnishings.

During the relevant period, RH announced accelerated demand “despite operating in the most challenging housing market in 3 decades,” and “a higher level of inventory” to be used as “downside protection.” The Company also announced “additional new collections and an expanded assortment,” and stated that due to its “new collections and improved in-stocks, our demand should continue to build throughout the second half of 2024.”

In truth, RH was facing softening demand and macroeconomic factors that would require the company to delay its new collections.

The Stock Declines as the Truth is Revealed

On April 2, 2025, RH reported disappointing earnings for FY 2024, citing “softening demand” in the housing market, an “uncertain macroeconomic environment,” and “excess inventory of $200 to $300 million at cost.” The Company also announced that it would be delaying “a higher amount of new collections . . . due to the rapidly changing economic outlook.” This news caused the price of RH stock to fall nearly 60%, from $249.35 per share on April 2, 2025 to $149.39 per share on April 3, 2025.

Click here for more information: https://www.bfalaw.com/cases-investigations/rh.

What Can You Do?

If you invested in RH you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases-investigations/rh

Or contact:

Ross Shikowitz

ross@bfalaw.com

212-789-3619

Why Bleichmar Fonti & Auld LLP?

Bleichmar Fonti & Auld LLP is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs’ Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases-investigations/rh

Attorney advertising. Past results do not guarantee future outcomes.

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