Ross Stores, Inc. (ROST)

In the past six months, Ross Stores' stock price has experienced some fluctuations. As of July 22, 2025, the stock price is $134.02, showing a -9.75% decrease over the last six months. Ross Stores reported its Q1 CY2025 earnings, with revenue topping market expectations and GAAP profit beating analyst estimates, but revenue guidance for Q2 CY2025 was less impressive. Ross Stores, Inc. increased its quarterly cash dividend. The share price was $131.17, representing an 11.42% decline from July 15, 2024. The company withdrew its full-year FY25 guidance, citing market uncertainties, and provided conservative Q2 2025 guidance. Jefferies Financial Group upgraded Ross Stores from a "hold" to a "buy" rating and raised their target price from $135.00 to $150.00. Wells Fargo & Company cut their price objective from $155.00 to $150.00, while Telsey Advisory Group reiterated a "market perform" rating with a $150.00 price target. Barclays also reduced their price target from $157.00 to $156.00.

Demand for Ross Stores' products exhibits seasonality, which the company considers in its dynamic pricing strategies and inventory management. The retail sector experiences seasonal fluctuations, with increased demand typically seen during holiday periods. Ross Stores prepares for holidays months in advance by adding significant inventory. The company's business model thrives on rapid inventory turnover and opportunistic merchandise acquisition, which are influenced by seasonal market demand.

Ross Stores, Inc. is an American off-price retail company operating under the Ross Dress for Less and dd's DISCOUNTS brands. The company offers name-brand and designer apparel, accessories, footwear, and home fashions at discounted prices by purchasing excess inventory from manufacturers and vendors. Ross Stores falls under the Consumer Discretionary sector and the Specialty Retail industry.

As of July 2024, Ross Stores operates 1,795 Ross Dress for Less stores in 43 U.S. states, Washington, D.C., Puerto Rico, and Guam. The company also operates over 353 dd's DISCOUNTS locations across the United States, primarily in Sun Belt states. As of February 1, 2025, the total store count was 2,186, comprising 1,831 Ross Dress for Less and 355 dd's DISCOUNTS stores. Ross Stores has been actively expanding its retail footprint, with plans to open approximately 90 new stores in fiscal 2025. All sales are made within the United States.

Ross Stores maintains a strong market position in the off-price retail sector, known for offering value to customers. Its business model, focusing on a "treasure hunt" shopping experience with discounted brand-name merchandise, has garnered a loyal customer base. The company's ability to adapt to changing consumer behaviors and its focus on cost control contribute to its robust outlook. Ross Stores is often viewed as a defensive play in the retail sector, showing resilience during economic downturns. The company has consistently paid dividends for 32 consecutive years and raised its dividend for 4 consecutive years, indicating financial stability. The company's overall impact score is considered "below-average" with a 'D' rating for overall impact.

Institutional investors hold a significant ownership stake in Ross Stores, Inc., approximately 89.14% to 92.30% of the shares. Major institutional owners include Vanguard Group Inc., BlackRock, Inc., and JPMorgan Chase & Co. Individual ownership accounts for 5.82% of the company, with insiders holding 5.05%. The largest individual shareholder is George Orban, owning 10.77 million shares, representing 3.29% of the company.