Ross Stores, Inc.
- Open
- 220.76
- Day high
- 223.70
- Day low
- 220.60
- Prev close
- 220.60
- Volume
- 2.2M
- Mkt cap
- $71.8B
- P/E (TTM)
- 30.9
- EPS (TTM)
- $7.22
- P/B
- 11.4
- P/S
- 3.0
- Yield
- 0.76%
- Per share
- $1.70
Ross Stores, Inc. (ROST) is a Consumer Cyclical company listed on NASDAQ. The stock is up 69% over the past year. Drillr has 3 published research articles covering ROST.
Ross Stores, Inc. (ROST) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 7 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ROST earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 21, 2026 | $1.73 | $2.02 | +16.8% | $6.0B | +6.5% |
| Mar 3, 2026 | $1.90 | $2.00 | +5.3% | $6.6B | +3.4% |
| Nov 20, 2025 | $1.42 | $1.58 | +11.3% | $5.6B | +3.4% |
| Aug 21, 2025 | $1.53 | $1.56 | +2.0% | $5.5B | -0.3% |
| May 22, 2025 | $1.44 | $1.47 | +2.1% | $5.0B | +0.5% |
| Mar 4, 2025 | $1.66 | $1.79 | +7.8% | $5.9B | -0.5% |
| Nov 21, 2024 | $1.41 | $1.48 | +5.0% | $5.1B | -1.5% |
| Aug 22, 2024 | $1.50 | $1.59 | +6.0% | $5.3B | +0.8% |
| May 23, 2024 | $1.35 | $1.46 | +8.1% | $4.9B | +0.5% |
| Mar 5, 2024 | $1.65 | $1.82 | +10.3% | $6.0B | +3.4% |
| Nov 16, 2023 | $1.22 | $1.33 | +9.0% | $4.9B | -14.3% |
| Aug 17, 2023 | $1.16 | $1.32 | +13.8% | $4.9B | +3.9% |
ROST insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| May 26, 2026 | Sutton Donieldirector | Grant | 896 | — |
| May 26, 2026 | BJORKLUND GUNNAR Kdirector | Grant | 896 | — |
| May 26, 2026 | Cannizzaro Edward Gdirector | Grant | 896 | — |
| May 26, 2026 | MILLIGAN STEPHEN Ddirector | Grant | 896 | — |
| May 26, 2026 | BUSH MICHAEL Jdirector | Grant | 896 | — |
| May 26, 2026 | GARRETT SHARON Ddirector | Grant | 896 | — |
| May 26, 2026 | Mueller Patricia Hdirector | Grant | 896 | — |
| May 26, 2026 | BJORKLUND GUNNAR Kdirector | Grant | 643 | — |
| Mar 30, 2026 | Sheehan William W IIofficer: EVP, CHIEF FINANCIAL OFFICER | Sell | 4,883 | $216.95 |
| Mar 27, 2026 | Sykes Karenofficer: PRESIDENT, CMO DD'S DISCOUNTS | Sell | 5,506 | $213.40 |
| Mar 26, 2026 | Brinkley Stephen Cofficer: PRESIDENT, OPERATIONS | Sell | 4,154 | $212.91 |
| Mar 26, 2026 | Hartshorn Michael J.director, officer: GROUP PRESIDENT, COO | Sell | 6,061 | $214.52 |
| Mar 26, 2026 | Fleming Karenofficer: PRES, CMO ROSS DRESS FOR LESS | Sell | 7,000 | $212.75 |
| Mar 26, 2026 | Hartshorn Michael J.director, officer: GROUP PRESIDENT, COO | Sell | 15,813 | $214.91 |
| Mar 24, 2026 | Conroy James Grantdirector, officer: CHIEF EXECUTIVE OFFICER | Tax | 8,268 | $211.19 |
Source: ROST SEC Form 4 filings, latest May 26, 2026. For informational purposes only — not investment advice.
See the full ROST insider & 13F page →ROST research & analysis
Off-Price Retail Scorecard: Ranking OLLI, FIVE, BURL, TJX, and ROST on Growth and Margins
TJX leads the off-price retail group with 12% operating margins and 54% ROE, while Ollie's offers the best value at 23x forward P/E with double-digit revenue growth. Five Below commands the richest valuation despite the weakest earnings track record, making it the least attractive risk/reward in the group.
OLLIFIVEBURLHow do TJX and Ross's margins compare to Ollie's and Burlington as the off-price sector matures?
Burlington and Ollie's carry significantly higher gross margins (41.9% and 40.3%) than TJX and Ross (31.1% and 27.9%), but the larger players convert more efficiently — TJX and Ross deliver 12.0% and 11.9% operating margins respectively versus Burlington's 8.9%. Ross emerges as the quiet margin leader with a best-in-class 9.7% FCF margin, while Burlington's 21.6% EBITDA growth signals the fastest margin expansion trajectory in the group.
TJXOLLIBURLHow does Ollie's gross margin compare to TJX and Burlington as closeout deal flow tightens?
Ollie's 40.3% TTM gross margin ranks between Burlington (41.9%) and well above TJX (31.1%) and Ross (27.9%), but OLLI's quarterly margins compressed 180bps YoY in Q4 2025 while TJX expanded by 140bps. The divergence highlights OLLI's vulnerability to tightening closeout supply versus TJX's diversified sourcing model, with operating margin (10.2% vs TJX's 13.0%) further constrained by SGA deleveraging at smaller scale.
OLLITJXBURL
Ross Stores, Inc. company profile
Overview
Ross Stores, Inc. (NASDAQ:ROST) is a leading American off-price retail chain founded in 1957 and headquartered in Dublin, California. The company went public in 1985 and has grown to become one of the largest off-price apparel and home fashion retailers in the United States. Ross operates approximately 2,186 stores across 40 states, the District of Columbia, and Guam under two primary banners: Ross Dress for Less and dd's DISCOUNTS. The company has built its reputation on offering brand-name merchandise at significantly discounted prices, typically 20-60% below regular retail prices.
Business
Ross Stores operates in the off-price retail industry, a specialized segment of retail that sells brand-name merchandise at substantial discounts. Off-price retailers acquire excess inventory from manufacturers, traditional retailers, and other sources, then sell these goods at reduced prices. This business model differs from traditional retail in that inventory is opportunistic and constantly changing, creating a "treasure hunt" shopping experience for customers. The company operates two distinct retail banners that serve different customer demographics: Ross Dress for Less represents approximately 84% of total stores (1,831 locations) and targets middle-income households. These stores offer a wide selection of apparel, accessories, footwear, and home fashions from recognizable brands at department store quality but at significantly lower prices. The stores typically range from 25,000 to 28,000 square feet and feature departments including women's, men's, and children's apparel, shoes, home goods, and beauty products. dd's DISCOUNTS comprises about 16% of locations (355 stores) and targets households with more moderate incomes, typically those earning less than $50,000 annually. These stores offer similar merchandise categories but focus on providing even deeper value with brands and price points specifically curated for budget-conscious shoppers. dd's DISCOUNTS stores are generally smaller than Ross locations and concentrate on basic necessities and everyday items. The company's merchandise mix spans several categories: women's apparel (the largest category), men's apparel, children's clothing, footwear, accessories, beauty products, and home goods including bedding, bath items, luggage, and seasonal merchandise. Ross has been particularly successful in categories like cosmetics and children's apparel, which have consistently been among their best-performing segments.
Revenue model
Ross Stores generates revenue primarily through direct product sales to consumers in its retail locations. The company's business model is built on purchasing excess inventory from manufacturers, other retailers, and vendors at significant discounts, then selling these goods to consumers at prices typically 20-60% below regular retail prices while maintaining healthy gross margins. The company's off-price procurement model is central to its profitability. Ross buyers work with over 8,000 vendors worldwide to source merchandise through several channels: manufacturer overruns, order cancellations, closeouts from other retailers, and specially-made goods produced exclusively for the off-price market. This opportunistic buying approach allows Ross to maintain merchandise margins while offering compelling value to customers. Revenue streams include sales from both store banners, with Ross Dress for Less generating the majority of revenue due to its larger store count and higher average transaction values. The company also generates modest income from credit card partnerships and gift card programs, though these represent a small fraction of total revenue. Several factors influence Ross's profitability margins. Positive margin drivers include the company's scale advantages in procurement, efficient distribution network, disciplined inventory management, and the ability to capitalize on retail industry disruptions that create closeout opportunities. The company's "packaway" strategy, where it purchases and stores seasonal merchandise for future selling periods, helps optimize buying opportunities and margin realization. Margin pressures come from the company's strategic shift toward more branded merchandise, which typically carries lower gross margins but drives higher sales volumes. Inflationary pressures on wages, transportation costs, and occupancy expenses also impact profitability. Additionally, economic downturns can pressure the company's target demographic, particularly affecting dd's DISCOUNTS customers who are more sensitive to economic volatility. Competition from other discount retailers and online platforms can also pressure pricing and market share.
Competitive moat
Ross Stores possesses a moderately strong competitive moat built primarily on its scale advantages and operational expertise in off-price retailing. The company's most significant competitive advantage lies in its vendor relationships and buying scale. With over 8,000 vendor relationships and substantial purchasing volume, Ross can access merchandise opportunities that smaller competitors cannot, while its experienced merchant team of approximately 900 professionals provides deep expertise in identifying and acquiring profitable inventory. The company's distribution and logistics infrastructure represents another moat element. Ross operates multiple distribution centers strategically located to serve its store network efficiently, and its sophisticated inventory management systems enable rapid merchandise turnover and optimal allocation across stores. The company's "packaway" inventory strategy, representing about 40% of total inventory, demonstrates operational sophistication that creates buying advantages during optimal market conditions. Geographic density and real estate positioning provide additional competitive advantages. Ross's established presence in key markets, particularly California and Texas, creates barriers for new entrants while generating operational efficiencies. The company's ability to secure favorable lease terms due to its proven track record and expansion capability strengthens its market position. However, Ross faces significant competitive threats that limit the strength of its moat. The rise of e-commerce platforms, particularly Amazon and other online discount retailers, poses a fundamental challenge to the treasure-hunt shopping experience that has traditionally driven store traffic. Additionally, traditional retailers' increasing focus on clearance and outlet channels creates more direct competition for both customers and merchandise sources. The off-price retail model itself provides limited differentiation, as competitors like TJX Companies (T.J. Maxx, Marshalls) operate with similar business models and vendor relationships. The company's moat is further challenged by changing consumer shopping patterns, particularly among younger demographics who increasingly prefer online shopping over physical store browsing.
Risks & safety
Ross Stores demonstrates strong financial stability with minimal solvency risk and conservative capital management. • Cash Position: $4.7 billion in cash and short-term investments provides substantial liquidity buffer • Debt Level: Debt-to-equity ratio of 0.98, indicating moderate leverage that is well-manageable • Cash Flow: Strong operational cash flow of $2.4 billion annually with free cash flow of $1.6 billion, demonstrating robust cash generation • Current Ratio: 1.62 indicates healthy short-term liquidity to meet obligations • Solvency Risk: Minimal, given strong cash position and consistent profitability • Valuation Metrics: P/E ratio of 20.9 suggests reasonable valuation relative to earnings; EV/EBITDA of 13.9 indicates moderate valuation premium • Profitability: ROE of 10.2% demonstrates adequate returns on shareholder equity • Graham Number: Current price near Graham intrinsic value suggests fair valuation • Other Considerations: Consistent dividend payments with recent 10% increase, active share repurchase program ($1.05 billion in 2024), and defensive characteristics of discount retail model during economic uncertainty.
Recent development
Over the past few years, Ross Stores has undergone significant strategic evolution focused on enhancing its branded merchandise strategy. The company has systematically expanded its vendor relationships and shifted toward offering more recognizable brand names across all product categories, implementing what management describes as a "good, better, best" pricing strategy. This initiative aims to capture market share by providing superior value propositions, particularly targeting customers affected by persistent inflation. The company has also navigated a leadership transition, with Jim Conroy becoming CEO in February 2025, succeeding Barbara Rentler who moved to an advisory role focused on merchandising strategy. This transition represents continuity in strategic direction while bringing fresh leadership perspective to the organization. Operational enhancements have been a key focus, with continued investments in distribution center automation and productivity initiatives. The company has maintained disciplined store expansion, opening approximately 90 new locations annually while optimizing the geographic mix between Ross Dress for Less and dd's DISCOUNTS formats. Notably, Ross has moderated dd's DISCOUNTS expansion in newer markets while conducting deeper analysis of customer demographics and performance patterns. The company has demonstrated opportunistic inventory management, increasing packaway inventory levels to approximately 40% of total inventory to capitalize on favorable buying opportunities created by retail industry disruptions. This strategy positions Ross to benefit from closeout merchandise availability while maintaining inventory flexibility. Capital allocation priorities have emphasized shareholder returns, with Ross repurchasing $1.05 billion in shares during 2024 and increasing its quarterly dividend by 10%. The company approved a new $2.1 billion share repurchase program, demonstrating confidence in its cash generation capabilities and commitment to returning capital to shareholders.
ROST company profile · for informational purposes only — not investment advice.
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