Why RH (RH) Went Down On Thursday?

We recently published a list of 10 Firms Take a Beating on Tariff Worries. In this article, we are going to take a look at where RH (NYSE:RH) stands against other Thursday’s worst performers.

Wall Street’s three major indices suffered a bloodbath on Thursday as investors continued to digest news of President Donald Trump’s tariff rollout on imports.

The tech-heavy Nasdaq fell the heaviest, down by nearly 6 percent. The S&P 500 dropped by 4.84 percent and the Dow Jones was down by 3.98 percent.

Ten individual stocks, predominantly under the retail sector, mirrored a broader market pessimism, finishing the day in the negative territory as investors sold off positions to mitigate risks.

In this article, we named Thursday’s worst performers and detailed the reasons behind their drop.

To come up with the list, we considered only the stocks with $2-billion market capitalization and $5 million in trading volume.

A customer happily browsing aisles of high-end furniture in a large showroom.

RH (NYSE:RH)

Luxury furniture retailer RH plunged by 40.09 percent on Thursday to end at $149.39 apiece as investors reacted negatively to President Donald Trump’s reciprocal tariffs alongside the company’s dismal earnings performance.

RH sources a number of its products from overseas, including China and other Asian countries which were Trump’s recent target of steep tariffs.

During the company’s earnings call, RH CEO Gary Friedman was caught cussing after the stock’s price drop.

“Oh sh—I just looked at the screen,” he was quoted as saying.

Friedman said it was not a secret that RH sources products from Asian countries, but said that the company was not alone.

“Anybody of scale in the home business has a high percentage of their content coming out of Asia,” he said.

Overall, RH ranks 1st on our list of Thursday’s worst performers. While we acknowledge the potential of RH as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than RH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.