Demystifying Ross Stores: Insights From 11 Analyst Reviews

During the last three months, 11 analysts shared their evaluations of Ross Stores ROST, revealing diverse outlooks from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $162.09, a high estimate of $176.00, and a low estimate of $147.00. Marking an increase of 1.83%, the current average surpasses the previous average price target of $159.18.

Decoding Analyst Ratings: A Detailed Look

In examining recent analyst actions, we gain insights into how financial experts perceive Ross Stores. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Ross Stores. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Ross Stores compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Ross Stores's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into Ross Stores's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Ross Stores analyst ratings.

All You Need to Know About Ross Stores

Ross Stores operates as an off-price apparel and accessories retailer with the majority of its sales derived from its Ross Dress for Less banner. The firm opportunistically procures excess brand-name merchandise made available via manufacturing overruns and retail liquidation sales at a 20%-60% discount to full prices. As such, its stores are often filled with a vast array of stock-keeping units, each with minimal product depth that creates a treasure hunt shopping experience. The firm's more than 1,750 Ross Dress for Less stores are primarily located in densely populated suburban communities and typically serve middle-income consumers. Ross also operates nearly 350 DD's Discounts chains targeting lower-income shoppers.

Understanding the Numbers: Ross Stores's Finances

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: Ross Stores's remarkable performance in 3 months is evident. As of 30 April, 2024, the company achieved an impressive revenue growth rate of 8.08%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Ross Stores's net margin is impressive, surpassing industry averages. With a net margin of 10.04%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Ross Stores's ROE stands out, surpassing industry averages. With an impressive ROE of 9.94%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Ross Stores's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.39% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Ross Stores's debt-to-equity ratio is below the industry average. With a ratio of 1.18, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Analyst Ratings: What Are They?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.