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Ross Stores Inc

Ross Stores Inc

ROST
$230.74USD↑+2.33%+5.26 today

MARKET CAP

73.7B

P/E (TTM)

34.9x

FWD P/E

—

DAY RANGE

$225 – $231

52W RANGE

$143
$257

AI Summary

Stalk
Sell NowMedium

ROST is in a Stage 3 distribution phase with a clear breakdown below the 9/20/50 EMA zone and a bearish pivot point signaling further structural repair. Short-term momentum is negative, evidenced by price rejection at key EMAs and a downtrend in the ST trend. Medium-term bias remains bearish with no bullish patterns active, while the long-term uptrend above the 200-day SMA provides structural context but lacks a fresh catalyst. Execution favors active selling into the 230–233 resistance range rather than initiating new longs.

  • ↑Q1 sales reached $6.0B (+21% YoY); comps up 17%.
  • ↑EPS rose 37% to $2.02; margins expanded 120 bps to 13.4%.
  • ↓Tariff-related costs trimmed ~5¢ EPS in Q3, pressuring margins.
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Ross Stores, Inc. (NASDAQ: ROST) is a prominent off-price retailer in the U.S., operating under the Ross Dress for Less and dd's DISCOUNTS brands. The company specializes in offering high-quality branded merchandise at discounted prices, making it a significant player in the retail sector. As part of the broader theme of consumer spending driven by economic pressures, Ross capitalizes on shifting shopping behaviors towards value-oriented buying, targeting a diverse demographic that spans various income levels and age groups.

Bull says

  • ↑Q1 sales reached $6.0B (+21% YoY); comps up 17%.
  • ↑EPS rose 37% to $2.02; margins expanded 120 bps to 13.4%.
  • ↑FY26 EPS guidance lifted to $7.02–$7.36; comps seen +6–8%.
  • ↑Inventories up 12% YoY, well stocked for peak season.
  • ↑Marketing drove younger shopper growth; broad 13F support.
  • ↑High profitability, strong momentum and low volatility factors.

Bear says

  • ↓Tariff-related costs trimmed ~5¢ EPS in Q3, pressuring margins.
  • ↓Negative earnings yield signals cautious valuation and value-trap risk.
  • ↓110 new store openings could saturate competitive markets.
  • ↓Inflation-driven consumer belt-tightening may slow comp growth.
  • ↓Aggressive pricing from peers could erode Ross’s value edge.
  • ↓Negative revisions factor highlights uncertain future earnings.

Investment themes with ROST

SPY↑ +0.09%

NVDA · AAPL · GOOGL

Earnings Call · Q1 2025 · Mgmt. Guidance

Updated 08-16-2026neutral

Transcript signals

Bull points

  • A portion of that, not all of it, a portion of that was the shift in Easter. In terms of traffic or transactions, if we look at just the April business, we had a pretty solid comp there, and it was largely transactions-based, a little bit of help from AUR, but a very small increase in AUR. And then we had a bigger basket driven by more units per transaction. So if I were to look at the April business in a vacuum, I would be pretty pleased. We had growth across all three elements, transactions, AUR, and UPT, sort of a very healthy way to drive a comp.
  • we feel very good about the team's execution of the branded strategy, and I think at this point we can say we're sort of hitting the guidelines or targets that we had hoped to.
  • There was a slight tail of an impact in margin in the beginning of this quarter, but now we've fully anniversaried it. So we don't expect margin headwinds going forward any longer from the brand strategy.

Bear points

  • Merchandise margin declined 45 basis points, mainly due to higher ocean freight costs and the initial impact of tariffs. A portion of this tariff impact was caused by purchase orders for goods that were on the water when tariffs were increased.
  • 11 to 16 cents from the announced tariffs.
  • operating margin for the second quarter is projected to be in the 10.7 to 11.4% range, which includes a 90 to 120 basis point negative impact from announced tariffs, mostly in merchandise margin.
Read full transcript analysis ›