Ross Stores (ROST) - 10.88% Below 52-Week High: Buy or Wait?

Stock Details

Ross Stores, Inc. (ROST), a prominent company in the consumer cyclical sector within the apparel retail industry, is based in United States and primarily trades on the NMS.Currently, the stock is trading at $229.03. Over the past 52 weeks, it has ranged between $157.39 and $257.00. This places the current price at 89.1% of its 52-week high and 45.5% above its 52-week low. Recent trading volume was recorded at 2,105,121. The 14-day Relative Strength Index (RSI) stands at 46.07, suggesting neutral conditions. The stock is currently trading below its 50-day moving average of $231.19 by 0.93%. Similarly, it is above its 200-day moving average of $222.41 by 2.98%. The MACD histogram is -0.32, indicating bearish momentum (MACD Line: -0.12, Signal Line: 0.20). The International Securities Identification Number (ISIN) for this stock is US7782961038. There is currently 1 active alert set for ROST by users.

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

27.60

Above market average

Forward P/E

25.36

Earnings expected to grow

PEG Ratio

2.13

Potentially overvalued

Price to Book

10.82

EV/EBITDA

20.06

EPS (TTM)

$8.27

Price to Sales

2.98

Beta

0.84

Less volatile than market

Q:How is ROST valued relative to its earnings and growth?

Ross Stores, Inc. trades at a P/E ratio of 27.60, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 25.36 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 2.13 indicates a premium valuation even accounting for growth.

Q:What is ROST's risk profile compared to the market?

With a beta of 0.84, Ross Stores, Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 10.82 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

10.85%

Operating Margin

13.58%

EBITDA

$3.66B

Return on Equity

42.63%

Return on Assets

12.78%

Revenue Growth (YoY)

13.30%

Earnings Growth (YoY)

70.50%

Q:How profitable and efficient is ROST's business model?

Ross Stores, Inc. achieves a profit margin of 10.85%, meaning it retains $10.85 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 13.58% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 42.63% and ROA at 12.78%, the company generates strong returns on invested capital.

Q:What are ROST's recent growth trends?

Ross Stores, Inc.'s revenue grew by 13.30% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings increased by 70.50% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against Apparel Retail industry averages for proper context.

Dividend Information

Dividend Per Share

$1.78

Dividend Yield

0.77%

Ex-Dividend Date

Sep 8, 2026

Dividend Date

Sep 30, 2026

Q:What dividend income can investors expect from ROST?

Ross Stores, Inc. offers a dividend yield of 0.77%, paying $1.78 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of Sep 8, 2026.

Q:How reliable is ROST's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - Ross Stores, Inc. pays $1.78 per share in dividends against earnings of $8.27 per share, resulting in a payout ratio of 21.52%. This conservative payout below 30% indicates excellent dividend safety with substantial room for future increases. The company retains most earnings for growth while still rewarding shareholders. The next dividend payment is scheduled for Sep 30, 2026.

Company Size & Market

Market Cap

$72.9B

Revenue (TTM)

$24.51B

Revenue/Share (TTM)

$76.74

Shares Outstanding

319.45M

Book Value/Share

$21.09

Asset Type

EQUITY

Q:What is ROST's market capitalization and position?

Ross Stores, Inc. has a market capitalization of $72.9B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 319.45M shares outstanding, the company's ownership is relatively concentrated. As a participant in the Apparel Retail industry, it competes with other firms in this sector.

Q:How does ROST's price compare to its book value?

Ross Stores, Inc.'s book value per share is $21.09, while the current stock price is $229.03, resulting in a price-to-book (P/B) ratio of 10.86. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As EQUITY, this represents a specific type of security.

Analyst Ratings

Analyst Target Price

$271.83

18.69% upside potential

Analyst Recommendations

Strong Buy

Buy

Hold

Sell

Strong Sell

Q:How reliable are analyst predictions for ROST?

20 analysts cover ROST with 70% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $271.83 implies 18.7% upside, but targets are often adjusted to follow price moves rather than predict them.

Q:What is the Wall Street consensus on ROST?

Current analyst recommendations:2 Strong Buy, 12 Buy, 5 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Oct 31, 2026, 02:04 AM

Technical Indicators

RSI (14-day)

46.07

Neutral

50-Day Moving Average

$231.19

-0.93% below MA-50

200-Day Moving Average

$222.41

2.98% above MA-200

MACD Line

-0.12

MACD Signal

0.20

MACD Histogram

-0.32

Bearish

Q:What does ROST's RSI value tell investors?

The RSI (Relative Strength Index) for ROST is currently 46.07, indicating the stock is in neutral territory (40-60 range). Neither buyers nor sellers have clear control, suggesting consolidation or balanced market forces. Combined with the price being below the 50-day moving average, this confirms bearish conditions.

Q:How should traders interpret ROST's MACD and moving average crossovers?

MACD analysis shows the MACD line at -0.12 below the signal line at 0.20, with histogram at -0.32. This bearish crossover indicates downward pressure. The 50-day MA ($231.19) is above the 200-day MA ($222.41), forming a golden cross pattern that typically signals a long-term uptrend. Price is currently between the MAs, suggesting transition.

Indicators last updated: Oct 31, 2026, 12:38 AM

Condition	Threshold	Created At
Price decreases by	20%	Apr 27, 2026, 09:01 PM

Condition

Threshold

Created At

Price decreases by

20%

Apr 27, 2026, 09:01 PM

Ross Stores, Inc. (ROST) Stock