Insider Ownership: 17%

Earnings Growth Forecast: 73.3% p.a.

RH, demonstrating substantial insider ownership, is trading at 14.2% below its estimated fair value. Despite a forecasted 73.34% annual earnings growth outpacing the US market, recent financials show declining profit margins and net income compared to last year. The company reported Q2 sales of US$829.66 million but faced reduced earnings per share from continuing operations. While insiders have been more active in selling shares recently, RH's return on equity is expected to be very high in three years.

• Click to explore a detailed breakdown of our findings in RH's earnings growth report.

• The analysis detailed in our RH valuation report hints at an inflated share price compared to its estimated value.

Warby Parker

Simply Wall St Growth Rating: ★★★★☆☆

Overview: Warby Parker Inc. operates by providing eyewear products in the United States and Canada, with a market cap of approximately $1.93 billion.

Operations: The company generates revenue from its Medical - Optical Supplies segment, amounting to $719.93 million.

Insider Ownership: 19.3%

Earnings Growth Forecast: 116.2% p.a.

Warby Parker, with significant insider buying recently, is poised for profitability within three years, surpassing average market growth. Its revenue is projected to grow at 11.4% annually, outpacing the US market's 8.7%. Despite past shareholder dilution and a forecasted low return on equity of 11%, earnings are expected to increase significantly by 116.18% annually. Recent board changes include Gabrielle Sulzberger's resignation and Teresa Briggs' reclassification to balance director terms.

• Unlock comprehensive insights into our analysis of Warby Parker stock in this growth report.

• Our comprehensive valuation report raises the possibility that Warby Parker is priced higher than what may be justified by its financials.

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• Unlock our comprehensive list of 183 Fast Growing US Companies With High Insider Ownership by clicking here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.The analysis only considers stock directly held by insiders. It does not include indirectly owned stock through other vehicles such as corporate and/or trust entities. All forecast revenue and earnings growth rates quoted are in terms of annualised (per annum) growth rates over 1-3 years.

Companies discussed in this article include NasdaqGS:SEAT NYSE:RH and NYSE:WRBY.

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