Long Position on RH @ $82.25 on 8/7/2014 (Momentum)

Restoration Hardware Holdings, Inc. (RH) is engaged in the retail of home furnishings.

Its product categories include furniture, lighting, textiles, bathware, décor, outdoor and garden, tableware, and children’s furnishings.

The company sells its products through its stores and catalogs, as well as through its Websites, such as restorationhardware.com, rh.com, and rhbabyandchild.com.

As of February 1, 2014, it operated 70 retail stores consisting of 62 Galleries, 5 full line Design Galleries, and 3 Baby & Child Galleries, as well as 17 outlet stores in the United States and Canada.  

Restoration Hardware Holdings operates three store types: the Company's full line Design Gallery format, approximately between 22,000 and 28,000 gross square feet; its Gallery format of approximately 7,000-15,000 gross square feet, and its Baby & Child Gallery format of approximately 2,000-3,000 gross square feet.

Shares have formed a bullish "flag" following the company's better than expected quarterly report. Shares have pulled back and are near an entry point. Higher share prices are expected for this stock.

52-Week Trading Range: $54.61 - $94.50

Entry Point: $82.25

Stop Loss: $78.14

Target Price: $90.47

Updates

8/22/2014 10:25:48 AM

We are taking profits on RH at $90.70 after it reached our target price.

Position closed on 8/22/2014 at price of $90.70 with a 10.27% gain in 15 days.

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