Group 1 - Ross Stores is expected to announce fiscal first-quarter earnings on May 22, 2025, with analysts predicting earnings of $1.43 per share and revenue of $4.96 billion, reflecting a 3% decrease in earnings and a 2% increase in sales year-over-year [1] - The company has a market capitalization of $51 billion and reported $21 billion in revenue over the last 12 months, resulting in an operating profit of $2.6 billion and net income of $2.1 billion [2] - Ross anticipates comparable store sales to be flat to a 3% decrease for the first quarter due to cautious macroeconomic conditions, with full-year EPS expected to be between $5.95 and $6.55, slightly down from $6.32 the previous year [2] Group 2 - Historical data shows that Ross Stores' stock has risen 50% of the time after earnings announcements, with a median one-day gain of 3.6% and a maximum increase of 10% [1][4] - Over the past five years, there have been 20 earnings data points, with positive one-day returns occurring approximately 50% of the time, increasing to 73% when considering the last three years [6] - The correlation between one-day and five-day post-earnings returns can provide a less risky trading strategy, particularly if a strong correlation is identified [4][5]

Wall Street analysts forecast that Ross Stores (ROST) will report quarterly earnings of $1.43 per share in its upcoming release, pointing to a year-over-year decline of 2.1%. It is anticipated that revenues will amount to $4.97 billion, exhibiting an increase of 2.3% compared to the year-ago quarter.The current level reflects an upward revision of 0.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised thei ...

Core Viewpoint - Ross Stores, Inc. is anticipated to experience revenue growth while facing a decline in earnings per share for the first quarter of fiscal 2025, with earnings estimated at $1.43 per share, a decrease of 2.1% from the previous year [1][2]. Revenue and Earnings Estimates - The consensus estimate for quarterly revenues is $4.97 billion, reflecting a growth of 2.3% compared to the same quarter last year [2]. - The company has a trailing four-quarter earnings surprise average of 7.7%, with the last reported quarter showing an earnings surprise of 8.5% [2]. Earnings Prediction Model - The earnings prediction model indicates a likely earnings beat for Ross Stores, supported by a positive Earnings ESP of +1.27% and a Zacks Rank of 3 [3]. Factors Influencing Q1 Results - Strong growth across merchandise categories and positive customer responses are expected to bolster performance, particularly appealing to price-conscious consumers [4]. - The off-price retail model and micro-merchandising strategy are anticipated to attract value-focused shoppers and optimize inventory allocation [5]. Store Expansion and Market Conditions - Consistent execution of store expansion plans is expected to contribute to top-line growth, with new store contributions reflected in the upcoming results [6]. - The company remains cautious about macroeconomic uncertainties and inflation affecting consumer spending on essentials [6]. Sales and Margin Expectations - For Q1 fiscal 2025, Ross Stores anticipates comparable store sales (comps) to decline between 3% and flat, with total sales projected to decrease by 1% to increase by 3% year-over-year [7]. - Operating margin is expected to be in the range of 11.4% to 12.1%, down from 12.2% last year, with a projected operating margin of 11.7% for the quarter [7][8]. Valuation and Stock Performance - Ross Stores is trading at a forward 12-month price-to-earnings ratio of 23.13x, which is lower than the industry average of 32.49x [9]. - The stock has gained 9.5% over the past three months, outperforming the industry growth of 3.8% [10].

Ross Stores (ROST) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended April 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on May 22, 2025, might help the stock move higher if these key numbers are better than expect ...

Core Viewpoint - Off-price retail is gaining traction as consumers remain price-conscious in a challenging economy, with The TJX Companies, Inc. (TJX) and Ross Stores, Inc. (ROST) being the two major players in this space [1] Group 1: Company Performance - The TJX Companies has shown strong and steady performance across its diverse retail banners, reporting solid comparable store sales growth supported by increased foot traffic and higher average basket sizes [4] - Ross Stores has returned to positive same-store sales in the fourth quarter of fiscal 2024, driven by better inventory flow and fewer promotions, indicating a recovery in its core budget-conscious apparel business [7] Group 2: Geographic and Product Diversification - TJX benefits from a global footprint with operations in the U.S., Canada, Europe, and Australia, allowing for geographic diversification that helps mitigate regional economic challenges [5] - Ross Stores has a narrower focus, primarily operating in the U.S. and lacking exposure to the home goods category, which limits its growth potential in the long term [8] Group 3: Profitability and Financial Estimates - TJX has improved profitability with expanded gross and operating margins, driven by leaner inventory levels and disciplined expense management, while also returning value to shareholders through dividends and share repurchases [6] - The Zacks Consensus Estimate projects TJX's earnings per share (EPS) for fiscal 2026 at $4.43, suggesting year-over-year growth of 4%, while Ross Stores' EPS estimate is $6.42 with projected earnings growth of 1.6% for fiscal 2025 [10] Group 4: Valuation and Stock Performance - TJX trades at a forward 12-month P/E ratio of 28.83x, below the industry average of 32.64x, indicating a reasonable valuation given its strong fundamentals, while Ross Stores trades at a lower multiple of 22.95x [11] - Over the past year, TJX has delivered a 32.7% gain, significantly outperforming Ross Stores' 12.2% increase and the industry's 14% growth, highlighting TJX's superior stock performance [11] Group 5: Investment Outlook - The TJX Companies is viewed as the better investment option due to its stronger earnings momentum, diversified global presence, and superior stock performance, making it well-positioned for long-term success in the value-driven retail environment [13][14]

Ross Stores (ROST 0.27%) might get an initial boost due to tariffs, which will likely become a headwind for the business if the tariffs remain in place for longer.*Stock prices used were the afternoon prices of May 6, 2025. The video was published on May 8, 2025. ...

Ross Stores (ROST) closed the most recent trading day at $141.47, moving +0.7% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.64%. Meanwhile, the Dow lost 0.24%, and the Nasdaq, a tech-heavy index, lost 0.74%. In the context of valuation, Ross Stores is at present trading with a Forward P/E ratio of 21.93. This denotes no noticeable deviation relative to the industry's average Forward P/E of 21.93. Heading into today, shares of the discount retailer had gained 7.81% over ...

Ross Stores (ROST) closed at $140.78 in the latest trading session, marking a +1.01% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.58%. Elsewhere, the Dow gained 0.75%, while the tech-heavy Nasdaq added 0.55%.Prior to today's trading, shares of the discount retailer had gained 9.06% over the past month. This has outpaced the Retail-Wholesale sector's loss of 0.19% and the S&P 500's loss of 0.84% in that time.Analysts and investors alike will be keeping a close eye on the performa ...

Core Viewpoint - Ross Stores, Inc. (ROST) is trading at a discount compared to its industry peers, with a forward P/E ratio of 21.41X, significantly lower than the industry average of 31.61X, making it an attractive opportunity for long-term, value-focused investors [1][4]. Valuation Comparison - ROST's valuation is compelling when compared to major discount retailers such as Costco (51.07X), Burlington (23.14X), and TJX (27.93X) [4]. Stock Performance - ROST stock has shown a growth of 9.3% over the past month, outperforming the broader Retail-Wholesale sector's decline of 0.2% and the Zacks Retail - Discount Stores industry's growth of 3% [5]. - In comparison, peers like TJX and Costco gained 3.9% and 3.3%, while Burlington lost 6.4% during the same period [6]. Sales Growth - ROST experienced a 3% improvement in comparable store sales in Q4 fiscal 2024, driven by increased customer traffic and larger basket sizes, resulting in a year-over-year sales growth of 3% [10]. - The company's business model focuses on competitive bargains and off-price retailing, which has helped maintain its appeal across various economic conditions [11][12]. Expansion Plans - ROST plans to open 19 new stores in Q1 fiscal 2025, including 16 Ross and 3 dd's DISCOUNTS, with an overall target of approximately 90 new locations for fiscal 2025 [13]. Earnings Estimates - The Zacks Consensus Estimate for ROST's earnings per share has increased by 1.4% and 7.8% for fiscal 2025 and 2026, respectively [14]. Near-Term Challenges - Despite its strengths, ROST faces challenges due to macroeconomic volatility, rising inflation, and geopolitical uncertainty, which have affected consumer confidence and discretionary spending [15][16]. - For Q1 fiscal 2025, ROST anticipates comparable store sales to be flat to down by 3%, with total sales projected to decline by 1% to increase by 3% year-over-year [16][17]. Strategic Focus - ROST's strategy emphasizes value-oriented off-price retailing, delivering branded and designer goods at discounted prices, which has helped maintain its competitive advantage [19].

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Ross Stores (ROST), and emphasizes the importance of using these recommendations in conjunction with other analytical tools like the Zacks Rank to make informed investment decisions [1][5][10]. Brokerage Recommendations - Ross Stores has an average brokerage recommendation (ABR) of 1.52, indicating a consensus between Strong Buy and Buy, based on recommendations from 23 brokerage firms [2]. - Out of the 23 recommendations, 17 are Strong Buy, accounting for 73.9% of all recommendations [2]. Limitations of Brokerage Recommendations - Studies indicate that brokerage recommendations have limited success in guiding investors towards stocks with the highest price increase potential [5]. - The vested interests of brokerage firms often lead to a positive bias in their analysts' ratings, with a ratio of five Strong Buy recommendations for every Strong Sell [6][10]. - This misalignment of interests can mislead retail investors regarding future stock price movements [7]. Zacks Rank as an Alternative - The Zacks Rank is presented as a more reliable indicator of near-term price performance, utilizing earnings estimate revisions rather than solely brokerage recommendations [8][11]. - The Zacks Rank is distinct from ABR, as it is based on a quantitative model and is displayed in whole numbers, while ABR is calculated from brokerage recommendations and shown in decimals [9]. Current Earnings Estimates for Ross Stores - The Zacks Consensus Estimate for Ross Stores has remained unchanged at $6.41 over the past month, indicating a decline in analysts' earnings prospects [13]. - The recent consensus estimate changes have led to a Zacks Rank of 4 (Sell) for Ross Stores, suggesting caution despite the Buy-equivalent ABR [14].