Arhaus

ARHS · NASDAQ

$10.73+$0.50 (+4.89%)TodayMarket closed · Oct 20, 4:05 PM ET

Prev close $10.23

ARHS analyst rating

BuyConsensus of 7 analysts over the last 12 months. 71% rate it a buy.

Strong buy0
Buy5
Hold2
Underperform0
Sell0

12-month price target · 15 analysts

Average $10.75 (+0.2% upside)

Low: $9.09
Now: $10.73
High: $13.65

Upgrades and downgrades

The latest rating actions, newest first

ARHS analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
Telsey Advisory Group	Oct 20, 2026	Maintains	Market Perform	$10.00 → $11.00	50%
Piper Sandler	Oct 20, 2026	Upgrade	Neutral → Overweight	$9.00 → $13.00	59%
Jefferies	Sep 21, 2026	Upgrade	Hold → Buy	$9.50 → $10.00	58%
Telsey Advisory Group	Aug 7, 2026	Maintains	Market Perform	$8.00 → $10.00	50%
Morgan Stanley	Aug 7, 2026	Maintains	Equal-Weight	$9.00 → $10.00	61%
Piper Sandler	Aug 7, 2026	Maintains	Neutral	$8.00 → $9.00	59%
TD Cowen	May 11, 2026	Maintains	Buy	$9.00 → $8.00	54%
Stifel	May 11, 2026	Maintains	Buy	$12.00 → $11.00	26%
Piper Sandler	May 11, 2026	Maintains	Neutral	$11.00 → $8.00	59%
Guggenheim	May 8, 2026	Maintains	Buy	$14.00 → $12.00	49%

The case for and against

Updated Oct 14, 2026

Bull case

Arhaus is benefiting from broad-based demand strength, with Q2 revenue rising 7.4% year over year to $385 million and written demand comp accelerating to 12.5%, supported by stronger traffic, higher AOV, and healthy large-ticket order trends across upholstery, outdoor, and connected home. Its profitability also improved meaningfully, as adjusted EPS of $0.28 and adjusted EBITDA of $70 million both exceeded expectations, while gross margin expanded to 44.7% despite ongoing fuel and shipping pressures. The outlook remains constructive because management raised 2026 adjusted EBITDA guidance to $160 million-$171 million, inventory is well positioned, in-stock levels are the best in over a year, and tariff refunds, cost actions, and operating leverage should help sustain momentum.

Bear case

Arhaus is facing a deteriorating fundamental setup as Q1 revenue of $314.3 million and adjusted EBITDA of $18.0 million were overshadowed by a 70 bps gross margin contraction to 36.4%, driven by freight and fuel-related headwinds that management sees as ongoing. Demand quality also weakened, with written comp sales falling 5.7% year over year and management lowering full-year gross margin expectations to flattish, while the recent rebound in April-May appears potentially promotional rather than durable. Although SG&A leverage helped earnings in the quarter, strategic infrastructure investments in TMS, OMS, and ERP are still expected to pressure the P&L through the remainder of 2026, limiting margin recovery and leaving estimates under pressure.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.