RH Sees "Worst Housing Market"

And, explaining Ethereum's bad 2025.

April 03, 2025

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Today is Thursday, April 3, 2025.

The Early Bird Index today is 70.60

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RH Sees "Worst Housing Market"

Home furnishings company RH $RH ( ▲ 1.13% ) plunged 26.11% in after-hours trading on Wednesday after reporting bad financial earnings results.

Financials: RH reported earnings of $1.58 per share and revenue of $812 million in the last quarter; both were lower than expected.

Powering the Story: While demand was good in the quarter, RH expects to face more challenges this year due to tariffs, market volatility, and inflation.

Quote: “We’ve been operating in the worst housing market in almost 50 years.” - CEO Gary Friedman.

Early Bird’s Nest Egg Gains: The current housing market poses significant challenges for RH, which has faced ballooning interest payments on its debt.

  • Rising mortgage rates, which are at 20-year highs, have reduced demand in the luxury housing market.

  • Declining luxury housing activity and shifting consumer preferences are also problems.

Final Thoughts: Before these results, RH’s stock was down 36% in 2025.

Notables

Notable Earnings Today: Conagra (NYSE: CAG), Guess? (NYSE: GES), Simulations Plus (Nasdaq: SLP), Lamb Weston (NYSE: LW), MSC Industrial (NYSE: MSM), Acuity (NYSE: AYI), Lindsay Corp (LNN), Lifecore Biomedical (Nasdaq: LFCR).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: Perfect Seasoning Jamaican Cuisine (Honeycomb), What’s the Dill (Honeycomb), Diga Coffee Bar (Honeycomb).

Notable Economic Events Today: Jobless Claims (8:30 a.m. ET), Trade Balance / Exports / Imports (8:30 a.m. ET), S&P Global Services PMI (9:45 a.m. ET), ISM Non-Manufacturing PMI / Prices / Employment (10:00 a.m. ET), Fed's Balance Sheet (4:30 p.m. ET).

Ethereum's Bad 2025, Explained

Ethereum $ETH.X ( ▲ 3.53% ) , the second-largest cryptocurrency, is in the middle of a bad year. It is down about 44%. Here’s why:

Market Problems: Ethereum has been affected by the broader bearish market. As a result, U.S. spot Ether ETFs saw massive outflows recently.

Also, Ethereum faces increased competition from rival blockchains that offer faster and cheaper alternatives. That includes Solana and Sui. There have also been some technical challenges impacting the ability of Ethereum’s blockchain to make money.

Bigger Picture: Regulatory pressures are still a concern for Ethereum as governments worldwide continue to scrutinize crypto networks. 

Final Thoughts: And the outlook for Ethereum for the rest of 2025 isn’t promising either.

Stocks Slump After New Trump Tariffs

President Trump imposed higher-than-expected tariffs on Wednesday and several stocks fell in after-hours trading.

Final Thoughts: Among the notable laggards were Apple $AAPL ( ▲ 0.08% ) , which fell 7.14%, and Nike $NKE ( ▲ 1.31% ) , which fell 7.31%.

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.