Why RH (RH) Went Up On Monday?

We recently published a list of AI Stocks Dominate Monday’s Top 10 Performers. In this article, we are going to take a look at where RH (NYSE:RH) stands against other AI stocks that dominate Monday’s top performers.

The stock market finished mixed on Monday as investors remained cautious over the escalating trade tensions globally, with President Donald Trump threatening to slap China with another 50-percent tariff if the latter does not withdraw a countermeasure.

The Dow Jones declined by 0.91 percent, while the S&P 500 dropped by 0.23 percent. In contrast, the tech-heavy Nasdaq inched up by 0.10 percent.

Meanwhile, 10 companies, predominantly in the Artificial Intelligence sector, bucked an overall market pessimism, posting strong gains during the day.

In this article, we have identified Monday’s top performers and detailed the reasons behind their gains.

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

Why RH (RH) Went Up On Monday?

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

RH (NYSE:RH)

RH, formerly Restoration Hardware, ended two days of consecutive losses on Monday, surging 12.92 percent to end at $164.48 apiece as investor sentiment was buoyed by an investment firm’s positive outlook for the company.

On Monday, analysts from Stifel lowered the company’s price target to $390 from $450 previously, following the company’s drop in its latest earnings performance, but gave RH a “buy” rating.

Last Friday, RH announced a more optimistic outlook following President Donald Trump’s recent “productive” call with Vietnam’s To Lam, General Secretary of the Communist Party. RH sources a significant chunk of its supplies from Vietnam.

“Just had a very productive call with To Lam … who told me that Vietnam wants to cut their tariffs down to zero if they are able to make an agreement with the US. I thanked him on behalf of our country, and said I look forward to a meeting in the near future,” he said.

If the president responds in kind, RH said its resourcing to Vietnam would be accretive to its margins.

“The company has been operating with 25 percent tariffs from China since the last Trump administration and has successfully resourced the majority of its China production to Vietnam at significantly better than pre-tariff landed China pricing. In addition, the company has successfully resourced a meaningful amount of its China production to its own factory in North Carolina,” RH said.

Overall, RH ranks 2nd on our list of AI stocks that dominate Monday’s top 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.