(ROST) Ross Stores - Overview
Sector: Consumer Cyclical | Industry: Apparel Retail | Exchange: NASDAQ (USA) | Market Cap: 75.948m USD | Total Return: 64.3% in 12m
Avg Turnover: 695M
EPS Trend: 88.6%
Qual. Beats: 3
Rev. Trend: 95.3%
Qual. Beats: 3
Warnings
Below Avwap Earnings
Tailwinds
Idiosyncratic Leader, Pead, Confidence
Ross Stores, Inc. (ROST) is a leading off-price retailer operating under the Ross Dress for Less and dd’s DISCOUNTS banners. Headquartered in Dublin, California, the company specializes in selling name-brand and designer apparel, accessories, footwear, and home goods at significant discounts compared to traditional department stores. Its primary customer base consists of middle-income and moderate-income households seeking value-oriented fashion and home products.
The off-price retail business model relies on opportunistic buying, where companies purchase excess inventory from manufacturers or cancelled orders from other retailers at a fraction of the cost. This sector typically benefits from a fragmented supply chain and maintains lean operating structures to preserve margins while offering low price points. Unlike traditional retailers, off-price stores rarely utilize e-commerce, focusing instead on high inventory turnover and a treasure hunt in-store experience to drive foot traffic.
Investors can further analyze the companys historical performance and valuation metrics on ValueRay. Founded in 1957, Ross Stores has expanded its footprint across the United States to become one of the largest players in the apparel retail sub-industry.
- Trade-down consumer behavior during economic volatility boosts comparable store sales
- Aggressive physical store expansion targets underserved middle and low-income demographics
- Supply chain efficiency and inventory turnover rates dictate operating margin stability
- Rising labor costs and freight expenses pressure bottom-line profitability growth
- Inflationary pressures on core customer base impact discretionary apparel spending volume
| Net Income: 2.32b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.17 > 0.02 and ΔFCF/TA 5.69 > 1.0 |
| NWC/Revenue: 11.18% < 20% (prev 11.48%; Δ -0.29% < -1%) |
| CFO/TA 0.22 > 3% & CFO 3.45b > Net Income 2.32b |
| Net Debt (4.29b) to EBITDA (3.78b): 1.13 < 3 |
| Current Ratio: 1.54 > 1.5 & < 3 |
| Outstanding Shares: last quarter (321.2m) vs 12m ago -1.77% < -2% |
| Gross Margin: 28.33% > 18% (prev 0.28%; Δ 2.80k% > 0.5%) |
| Asset Turnover: 159.3% > 50% (prev 148.6%; Δ 10.66% > 0%) |
| Interest Coverage Ratio: 46.54 > 6 (EBITDA TTM 3.78b / Interest Expense TTM 62.4m) |
| A: 0.17 (Total Current Assets 7.57b - Total Current Liabilities 4.91b) / Total Assets 15.6b |
| B: 0.30 (Retained Earnings 4.73b / Total Assets 15.6b) |
| C: 0.19 (EBIT TTM 2.90b / Avg Total Assets 14.9b) |
| D: 0.51 (Book Value of Equity 4.73b / Total Liabilities 9.25b) |
| Altman-Z'' = 3.96 = AA |
| DSRI: 1.05 (Receivables 212.5m/181.0m, Revenue 23.8b/21.3b) |
| GMI: 0.98 (GM 28.33% / 27.78%) |
| AQI: 1.00 (AQ_t 0.02 / AQ_t-1 0.02) |
| SGI: 1.12 (Revenue 23.8b / 21.3b) |
| TATA: -0.07 (NI 2.32b - CFO 3.45b) / TA 15.6b) |
| Beneish M = -2.99 (Cap -4..+1) = A |
As of May 29, 2026, the stock is trading at USD 227.20 with a total of 3,440,810 shares traded.
Over the past week, the price has changed by +4.32%,
over one month by +0.74%,
over three months by +10.72% and
over the past year by +64.26%.
Ross Stores has received a consensus analysts rating of 4.18. Therefore, it is recommended to buy ROST.
- StrongBuy: 11
- Buy: 4
- Hold: 7
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 256.2 | 12.8% |
P/E Trailing = 32.7947
P/E Forward = 32.3625
P/S = 3.1943
P/B = 11.9974
P/EG = 3.4116
Revenue TTM = 23.8b USD
EBIT TTM = 2.90b USD
EBITDA TTM = 3.78b USD
Long Term Debt = 1.02b USD (from longTermDebt, last fiscal year)
Short Term Debt = 976.9m USD (from shortTermDebt, last quarter)
Debt = 8.42b USD (from shortLongTermDebtTotal, last quarter) + Leases 3.69b
Net Debt = 4.29b USD (calculated: Debt 8.42b - CCE 4.13b)
Enterprise Value = 80.2b USD (75.9b + Debt 8.42b - CCE 4.13b)
Interest Coverage Ratio = 46.54 (Ebit TTM 2.90b / Interest Expense TTM 62.4m)
EV/FCF = 30.48x (Enterprise Value 80.2b / FCF TTM 2.63b)
FCF Yield = 3.28% (FCF TTM 2.63b / Enterprise Value 80.2b)
FCF Margin = 11.07% (FCF TTM 2.63b / Revenue TTM 23.8b)
Net Margin = 9.74% (Net Income TTM 2.32b / Revenue TTM 23.8b)
Gross Margin = 28.33% ((Revenue TTM 23.8b - Cost of Revenue TTM 17.0b) / Revenue TTM)
Gross Margin QoQ = 29.61% (prev 28.02%)
Tobins Q-Ratio = 5.16 (Enterprise Value 80.2b / Total Assets 15.6b)
Interest Expense / Debt = 0.74% (Interest Expense 62.4m / Debt 8.42b)
Taxrate = 22.39% (187.5m / 837.5m)
NOPAT = 2.25b (EBIT 2.90b * (1 - 22.39%))
Current Ratio = 1.54 (Total Current Assets 7.57b / Total Current Liabilities 4.91b)
Debt / Equity = 1.34 (Debt 8.42b / totalStockholderEquity, last quarter 6.30b)
Debt / EBITDA = 1.13 (Net Debt 4.29b / EBITDA 3.78b)
Debt / FCF = 1.63 (Net Debt 4.29b / FCF TTM 2.63b)
Total Stockholder Equity = 6.03b (last 4 quarters mean from totalStockholderEquity)
RoA = 15.51% (Net Income 2.32b / Total Assets 15.6b)
RoE = 38.42% (Net Income TTM 2.32b / Total Stockholder Equity 6.03b)
RoCE = 41.23% (EBIT 2.90b / Capital Employed (Equity 6.03b + L.T.Debt 1.02b))
RoIC = 20.11% (NOPAT 2.25b / Invested Capital 11.2b)
WACC = 7.30% (E(75.9b)/V(84.4b) * Re(8.04%) + D(8.42b)/V(84.4b) * Rd(0.74%) * (1-Tc(0.22)))
Discount Rate = 8.04% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -1.85%
[DCF] Terminal Value 77.97% ; FCFF base≈2.22b ; Y1≈2.55b ; Y5≈3.75b
[DCF] Fair Price = 161.8 (EV 56.4b - Net Debt 4.29b = Equity 52.1b / Shares 322.1m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 88.56 | EPS CAGR: 11.83% | SUE: 4.0 | # QB: 3
Revenue Correlation: 95.30 | Revenue CAGR: 6.41% | SUE: 3.61 | # QB: 3
EPS current Quarter (2026-07-31): EPS=1.93 | Chg30d=+8.07% | Revisions=+33% | Analysts=15
EPS next Quarter (2026-10-31): EPS=1.73 | Chg30d=-1.53% | Revisions=+14% | Analysts=15
EPS current Year (2027-01-31): EPS=7.80 | Chg30d=+6.06% | Revisions=+80% | GrowthEPS=+17.9% | GrowthRev=+10.5%
EPS next Year (2028-01-31): EPS=8.58 | Chg30d=+5.79% | Revisions=+40% | GrowthEPS=+10.0% | GrowthRev=+6.4%
[Analyst] Revisions Ratio: +80%