RH's (RH) guidance on fiscal 2025 cash flow and Q1 demand reduced some investor concerns as tariff turmoil roiled markets, Wedbush Securities said Monday in a report.

Projected free cash flow of $250 million to $350 million and indications the furniture retailer is on track to meet Q1 guidance are viewed "favorably," indicating support for RH stock after the selloff in the previous two sessions, Wedbush said.

"RH shares are best positioned to rebound should proposed reciprocal tariffs on Vietnam and Indonesia be eliminated or sharply reduced," Wedbush said.

The company still faces hurdles from the prospect of tariffs eroding consumer spending,

Wedbush has an outperform rating on RH stock with a price target of $250.

RH shares rose 14% in recent Monday trading as benchmark equity indexes fell.

Price: 165.48, Change: +20.82, Percent Change: +14.29