RH (RH)vsWilliams-Sonoma Inc (WSM)
RH
RH
$146.63
-4.32%
CONSUMER CYCLICAL · Cap: $2.89B
WSM
Williams-Sonoma Inc
$204.98
-1.49%
CONSUMER CYCLICAL · Cap: $26.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Williams-Sonoma Inc generates 130% more annual revenue ($7.88B vs $3.43B). WSM leads profitability with a 13.8% profit margin vs 3.0%. RH appears more attractively valued with a PEG of 0.79. RH earns a higher WallStSmart Score of 61/100 (C+).
RH
Buy61
out of 100
Grade: C+
WSM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+4.3%
Fair Value
$208.94
Current Price
$146.63
$62.31 discount
Intrinsic value data unavailable for WSM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 112.5% YoY
Every $100 of equity generates 30 in profit
Growing faster than its price suggests
Every $100 of equity generates 58 in profit
Safe zone — low bankruptcy risk
Areas to Watch
Moderate valuation
3.0% margin — thin
Operating margin of 0.3%
Trading at 45.5x book value
Moderate valuation
Trading at 11.7x book value
4.4% revenue growth
4.3% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull Case : RH
The strongest argument for RH centers on EPS Growth, Return on Equity, PEG Ratio. PEG of 0.79 suggests the stock is reasonably priced for its growth.
Bull Case : WSM
The strongest argument for WSM centers on Return on Equity, Altman Z-Score.
Bear Case : RH
The primary concerns for RH are P/E Ratio, Profit Margin, Operating Margin. Debt-to-equity of 65.50 is elevated, increasing financial risk. Thin 3.0% margins leave little buffer for downturns.
Bear Case : WSM
The primary concerns for WSM are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
RH carries more volatility with a beta of 1.90 — expect wider price swings.
WSM is growing revenue faster at 4.4% — sustainability is the question.
WSM generates stronger free cash flow (99M), providing more financial flexibility.
Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RH scores higher overall (61/100 vs 54/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
RH
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
RH, is a home furnishings retailer. The company is headquartered in Corte Madera, California.
Williams-Sonoma Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Williams-Sonoma, Inc. is an omnichannel specialty retailer of various home products. The company is headquartered in San Francisco, California.
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